Xstrata Remains Committed To A Sustainable Future For Mount Isa

Xstrata Remains Committed to a Sustainable Future For Mount Isa

Mount Isa, 15 April 2008

Xstrata Mount Isa Mines takes its environmental responsibility seriously and has implemented a number of environmental improvements, since Xstrata acquired the mine in 2003, to ensure our operations are environmentally sustainable and that our impact on the environment is minimised.

Chief Operating Officer Xstrata Copper North Queensland Steve de Kruijff said: "the safety of our employees and the community is our highest priority and we aim to continually improve our environmental performance".

"Since Xstrata's involvement began in 2003, we have spent hundreds of millions of dollars on over 80 environmental improvements which are enabling us to progress towards capturing 95% of our emissions," he said

These improvements include:

* the installation of four converter hoods in the copper smelter in September 2007 to reduce the likelihood of fugitive emissions coming from this part of the smelting process
* purchasing an in-line stack monitor for real time measurement of sulphur dioxide emissions not captured and treated in the third party owned Acid Plant
* the installation of a new furnace cooling water system in the lead smelter to enable improved process control in the blast furnace, and
* the purchase of heavy duty industrial vacuum trucks and sweepers to collect dust within our operation.

"We have a comprehensive sulphur dioxide, dust and heavy metals monitoring network that measures emission levels in the community," Mr de Kruijff said.

"Fifteen monitoring stations throughout the town measure air quality levels, 10 sulphur- dioxide real-time monitoring stations ensure smelters operate within accepted regulatory limits. We also have five high volume dust samplers."

High levels of lead naturally occur in Mount Isa. Mineralised outcrops were identified in Mount Isa around 80 years ago as part of the early exploration program.

"There are high levels of lead in the dirt and rock on which Mount Isa is built," Mr de Kruijff said.

"That is why the mine is here and it is why the town was built in this location.

"Xstrata Mount Isa Mines has for many years been playing an active role in partnership with local and State Government to manage the issue of living with naturally occurring lead.

"In particular, throughout last year, we met regularly with the Queensland Government and Mount Isa City Council to discuss and actively support the progress of Queensland Health's Get Bled for Lead awareness campaign."

The campaign encouraged Mount Isa residents to have their children's blood tested for lead. Queensland Health expects to release its official screening program report in the coming weeks.

"Recently our activities and those of other key stakeholders in the local community have been formalised into the Living with Lead Alliance. As a member of this Alliance, we look forward to receiving Queensland Health's recommendations regarding the ongoing monitoring and reporting of children's lead levels," Mr de Kruijff said.

"Xstrata Mount Isa Mines will continue to operate in an environmentally sustainable way and is working closely on this with the Queensland State Government and the Mount Isa City Council."


XSTRATA CONTACTS
Melanie Edgar
Manager Community Relations NQ
Telephone +61 7 4744 2832
Mobile +61 7 423 820 701
Email [email protected]

Sue Sara
General Manager Corporate Affairs
Queensland
Telephone +61 7 3295 7535
Mobile +61 7 411 206 090
Email [email protected]

Jemma Schweikert
Community Relations Advisor
Telephone +61 7 4744 6552
Mobile +61 7 412 126 510
Email [email protected]

www.xstrata.com

ABOUT XSTRATA PLC
Xstrata is a global diversified mining group, listed on the London and Swiss Stock Exchanges, with its headquarters in Zug, Switzerland. Xstrata's businesses maintain a meaningful position in seven major international commodity markets: copper, coking coal, thermal coal, ferrochrome, nickel, vanadium and zinc, with additional exposures to platinum group metals, gold, cobalt, lead and silver, recycling facilities and a suite of global technology products, many of which are industry leaders. The Group's operations and projects span 18 countries: Argentina, Australia, Brazil, Canada, Chile, Colombia, the Dominican Republic, Germany, New Caledonia, Norway, Papua New Guinea, Peru, the Philippines, South Africa, Spain, Tanzania, the USA and the UK. Xstrata employs approximately 56,000 people, including contractors.

ABOUT XSTRATA COPPER
Headquartered in Brisbane, Xstrata Copper is one of the commodity business units within the major global diversified mining group Xstrata plc. Its operations and projects span eight countries: Australia, Argentina, Chile, Peru, Canada, the USA, the Philippines and Papua New Guinea. Its operations are administered by five separate divisions, based close to the mining operations, namely the North Queensland, Minera Alumbrera, North Chile, Southern Peru and Canada divisions. It also has a recycling business (Xstrata Recycling) with plants in the United States and offices in Canada and Asia.

Xstrata Copper is the fourth largest global copper producer with annual attributable production capacity of over one million tonnes.

ABOUT XSTRATA ZINC
Headquartered in Madrid, Spain, Xstrata Zinc is one of the world's largest producers of zinc and one of the commodity business units within the major global diversified mining group Xstrata plc. Xstrata's zinc and lead operations and exploration projects are located in Australia, Canada, Germany, Peru, Spain and the United Kingdom.

Xstrata Zinc's operations in Spain comprise the San Juan de Nieva zinc smelter and the Arnao zinc semis plant in Asturias, and the Hinojedo roasting plant in Cantabria. In Australia, operations comprise the Mount Isa, George Fisher underground and Black Star open cut zinc lead mines, zinc lead concentrator, lead smelter and Bowen Coke Works in north Queensland; 75% of the Lady Loretta zinc lead deposit in north-west Queensland; the McArthur River open pit zinc lead mine, processing and port operations in the Northern Territory; and 50% of the Lennard Shelf underground zinc lead mine and processing operations in Western Australia.

In Canada, operations and exploration projects include the Brunswick zinc-lead mine and lead smelter in New Brunswick; 25% of the CEZ zinc smelter near Montreal; and the Perseverance zinc deposit in Quebec. Xstrata Zinc also operates the Nordenham zinc smelter in northern Germany; the Northfleet lead refinery in the United Kingdom; and owns 33.75% of the Antamina mine in Peru.

Around half of all zinc currently consumed is used for galvanizing steel, which is an environmentally friendly method of protecting steel against corrosion. Zinc also finds application in the manufacture of die-cast alloys, brass and the production of zinc oxides and chemicals.

SOURCE: Xstrata