1. Presentation to Portfolio Committee on Public Enterprises
Norman Mbazima- CEO Anglo American Thermal Coal
Cape Town 28th January 2010

2. Discussion points Coal supply and security of supply
Current stock levels
Quality of coal
Other matters

3. Reliable long-term supplier for Eskom
59.9
Reliable long-term supplier for Eskom
Our products
Our approach
Zimbabwe
Namibia
Mozambique
Botswana
AATC has long term relationships with customers
Historical relationship with Eskom is the corner stone of SA coal business
New Vaal
New Denmark
Kriel
Isibonelo
Domestic (2010)
Export/Domestic
Greenside
Kleinkopje
Goedehoop
Landau
Mafube
Zondagsfontein
Swaziland
AATC continues embedded and enduring partnership with Eskom
Share of total Eskom burn tons ~28%
AATC consumes ~5% of electricity in SA
Lesotho
South Africa
AATC domestic sales split
Avg. CV (air dry) (2010E)
AATC pursues further opportunities with Eskom and local customers depending on production availability
AATC serves local pulp/paper, cement, and steel industry
~4,550 kc/kg1
Eskom
Eskom
59%
61%
61%
61%
A brief overview of our position in the market
We sell a range of products from four different mines
~4,870 kc/kg2
Sasol
Sasol
~6,610 kc/kg3
Other 9%
Other
inland 9% 9% 9% 3% 4% 3% 2%
29%
27%
28%
28%
~6,550 kc/kg4
Export
Eskom relationship and volumes lay the foundation for Anglo's SA business
Export
2007
2008
2010 Plan2010 Plan
Note: All data in this presentation is based on 8+4 budget figures
MJ/kg MJ/kg MJ/kg, incl. met coal MJ/kg. Approximate nar value (FOB): 5,980 kc/kg
Source: AA; AATC; BCG analysis

4. Security of Supply
We will meet our contractual obligations and work with Eskom to evaluate the potential for lifex beyond the current life of existing mines

5. Overview of mines Mine name Sales tons (2010) Established End
Planned expansions
Power Station
Kriel
10.250
1979
2029
2012 / 2014 
New Vaal
17.300
1987
2050
2016 / 2020 
Lethabo
New Denmark
4.810
1990
2041
Tutuka
Kleinkopje  
2.250
2022
Majuba
Landau  
210
2025
2016
Duvha/Hendrina
Mafube
939
2027
Arnot/Camden
Zondagsfontein  
729
Majuba/Kusile
Total Eskom
36.550

6. Coal Supply 2010
We are committed to meeting the Eskom tonnage requirement for 2010 and continue to seek opportunities to provide additional tonnes

7. Eskom 2010 planned volumes covered by long-term and medium term contracts …
Composition of 2010 Eskom volumes
Description of categories
Demand covered via Coal supply agreement (CSA)
20+ years for Cost+
No short-term demand change
Annual volume budget agreement
11% of volume sold to Eskom via medium term contracts
Set for 2010 sales plan
Medium-term demand volume depending on AATC price position
Mine
Volume in kt
New Vaal
17,300
Cost+ mines
New Denmark
4,810
Kriel
10,250
Goedehoop
Kleinkopje
2,250
Fixed price mines
Landau
Mafube
Zondagsfontein
Total Eskom
30,618
5,932
36,550
20,000
40,000
Sales to Eskom for 2010 and beyond are contracted for

8. Stock Levels
Stocks are in-line with the Eskom targeted levels for 2010 and we expect to maintain these levels throughout the year
All mines are currently above Eskom’s system average of 36 days

9. Coal Quality
We expect to meet our contractual obligations and through initiatives like the Optimal Coal Processing Initiative (OCPI) we are working with Eskom to improve power station performance
Challenges:
Geology
Adverse weather conditions

10. Other matters Discussing New Largo supply to Kusile power station
Future projects and Eskom demand
Lifex

11. Message Eskom is our largest customer and a significant stakeholders
We are committed to ensuring security of supply for the country
We lead the Coal Working Group during Electricity Challenges in 2008, to ensure that stockpiles returned to comfortable levels and to identify logistical synergies key to improving other logistical challenges
Constructing new mines to meet Eskom’s new build programme
We are committed to meeting our contractual obligations in terms of quality and quantity
We continue to invest in and look for energy efficiency solutions at all our operations