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Thu 12 Oct 2006, 14:13 ARM / Xstrata - Exercise Of Option To Acquire A Fu
ARI
 ARIM                                                                            
ARM / Xstrata - Exercise Of Option To Acquire A Further 10% Interest            
African Rainbow Minerals Limited                                                
(Incorporated in the Republic of South Africa)                                  
(Registration number 1933/004580/06)                                            
JSE Share code: ARI                                                             
ISIN: ZAE000054045                                                              
("ARM")                                                                         
Xstrata plc                                                                     
(Incorporated in England)                                                       
(Registered number 4345939)                                                     
LSE Share code: XTA.L                                                           
ZSE Share code: XTA.S                                                           
("Xstrata")                                                                     
EXERCISE OF OPTION TO ACQUIRE A FURTHER 10% INTEREST IN XSTRATA"S SOUTH AFRICAN 
COAL BUSINESS, EXCLUDING GOEDGEVONDEN JV                                        
Further to the announcements dated 31 August 2006 and 11 September 2006, ARM and
Xstrata are pleased to announce that the final transaction documents in relation
to ARM exercising the option granted by Xstrata South Africa (Proprietary)      
Limited ("XSA") to acquire a direct equity-based participation interest in XSA"s
coal business, excluding the Goedgevonden joint venture, of 10%, have been      
signed.                                                                         
Johannesburg                                                                    
12 October 2006                                                                 
Financial adviser and sponsor to ARM                                            
Deutsche Securities (SA) (Pty) Ltd                                              
Investment Bank to Xstrata                                                      
Standard Bank                                                                   
Attorneys to ARM                                                                
Bowman Gilfillan                                                                
Attorneys to Xstrata                                                            
Werksmans Inc.                                                                  
Date: 12/10/2006 02:13:06 PM Produced by the JSE SENS Department                
                                                                                
                                                                                
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