Voluntary Principles on Security and Human Rights for the Year Ending 31 December 2019 1 Policies, Procedures Introduction and Related Activities

ANGLO AMERICAN PLC: UPDATE REPORT FOR VOLUNTARY PRINCIPLES ON SECURITY AND HUMAN RIGHTS FOR THE YEAR ENDING 31 DECEMBER 2019 1 POLICIES, PROCEDURES INTRODUCTION AND RELATED ACTIVITIES Anglo American is a leading global As a responsible miner – of diamonds (through Social Way Responsible Sourcing Standard De Beers), copper, platinum group metals, iron ore, mining company, with a world class The Social Way defines Anglo American’s governing With regards to supply chain risk: Human rights coal and nickel – we are the custodians of what are portfolio of mining and processing framework for social performance. In early 2020, we considerations have been strengthened in the precious natural resources. We work together with launched an updated Social Way 3.0. Human rights Responsible Sourcing Standard RSS) for suppliers, operations and undeveloped resources. our business partners and diverse stakeholders to have been embedded throughout Social Way 3.0, which and the UK and Australian Modern Slavery Acts We provide the essential metals and unlock the sustainable value that those resources includes a policy, toolkit and assurance framework. The have prompted us to broaden the scope of our represent for our shareholders, the communities policy is underpinned by core human rights principles and human rights risk management. minerals that enable a cleaner, greener, and countries in which we operate, and for society based on international reference standards. The toolkit more sustainable world and that meet as a whole. Anglo American is re-imagining mining includes procedures, guidelines, and standards required Training the growing consumer-driven demands to improve people’s lives. to implement our human rights approach as it relates to social and security risks. The assurance framework, In 2019, a total of 6,710 employees, contractors and of the world’s developed and The purpose of this report is to disclose material through which compliance is assessed annually, is used members of police services received VPs training maturing economies. changes since the submission of our 2018 V to (a) show process against human rights targets; and across our operations and corporate offices. Some of oluntary Principles (VPs) Report. The report (b) helps to identify gaps for additional training support. the training was conducted by International Alert, which will focus on country implementation. also facilitated a conflict risk management workshop The NGO, International Alert, provided expert review in South Africa. of security and human rights and conflict management guidance in Social Way 3.0. Camping at Gahcho Kué diamond project, Northwest Canada – a joint Technician, Hendrik Lottering and Project Manager, Juan Pieterse at venture between De Beers and Mountain Province Diamonds, Inc. the condition monitoring centre, Mogalakwena mine, South Africa. The Sakatti Project, Finland – a greenfields Training Admin Officer, Tara Stevens and Training co-ordinator, project of copper-nickel-platinum Natalie Gassman – part of the HR team at Dawson Mine, Australia. group metals. 1In this document, references to “Anglo American”, the “Anglo American Group”, the “Group”, “we”, “us”, and “our” are to refer to either Anglo American plc and its subsidiaries and/or those who work for them generally, or where it is not necessary to refer to a particular entity, entities or persons. The use of those generic terms herein is for convenience only, and is in no way indicative of how the Anglo American Group or any entity within it is structured, managed or controlled. Anglo American produces group-wide policies and procedures to ensure best uniform practices and standardisation across the Anglo American Group but is not responsible for the day to day implementation of such policies. Such policies and procedures constitute prescribed minimum standards only. Group Ariel view of Minas-Rio operating subsidiaries are responsible for adapting those policies and procedures to reflect local conditions where appropriate, and for implementation, oversight and monitoring within their specific iron ore plant, Brazil. businesses. Anglo American subsidiaries, and their management, are responsible for their own day-to-day operations, including but not limited to securing and maintaining all relevant licences and permits, operational adaptation and implementation of Group policies, management, training and any applicable local grievance mechanisms. Voluntary Principles on Security and Human Rights - 2019 Report 3 COUNTRY BRAZIL NAMIBIA Anglo American has two businesses in Brazil: Iron Namdeb, De Beers Marine Namibia and the Namibian IMPLEMENTATION Ore (Minas-Rio) and Nickel. Diamond Trading Company, are wholly owned subsidiaries of Namdeb Holdings (Proprietary) Limited, which is owned The internal procedures related to the security function in equal shares by the Government of the Republic of Anglo American business units manage were revised, aiming to reinforce the company´s Namibia and De Beers. more than 30 mining operations and commitment to the VPs. Key improvements include 10 processing operations in Australia, guidelines governing the relationship between Anglo There are no public security forces deployed at the American and the public security forces. The latter Namibian operations, although they are used to protect Botswana, Brazil, Canada, Chile, Namibia, includes training for security teams and human rights diamonds under transportation. risk assessments. South Africa and Zimbabwe. Exploration A combination of in-person and e-learning human rights activities are conducted in, Australia, In 2019, Anglo American worked with a consultant to and VPs training is provided for all security officials and Botswana, Brazil, Canada, Chile, Colombia, conduct a security and human rights risk assessment relevant De Beers functions. of Minas-Rio and Nickel’s operations. The risk Ecuador, Finland, Greenland, Namibia Pit operations at the Copper In 2019, a further 123 candidates completed the assessment focused on the company’s relationship El Soldado mine in Chile. standardised Anglo American VPs training course. Peru, South Africa, the United States with, and reliance on, public security forces for security and Zambia. Exploration activities are provision. The assessment concluded that the risk expected to start in Angola in 2020. rating is “significant” for Minas-Rio and “low” for Nickel. CHILE PERU Corporate representative, sales and A total of 137 employees and public security Anglo American manages two copper mines (Los Bronces Anglo American manages the Quellaveco copper project marketing offices are located in representatives received VPs training at our and El Soldado) and one copper smelter (Chagres) in Chile. in Peru. In late 2019, Anglo American assumed control China and Singapore. operations in Brazil. Since 2018, Los Bronces has contracted security provider, of the security arrangements for Quellaveco (previously Somacor, which has received regular VPs training. At managed by a contractor) and appointed private Exploration in Brazil beginning of 2019, Somacor updated its corporate private security firm, Liderman. security standard which incorporates specific elements AUSTRALIA A comprehensive stakeholder communication plan on human rights. There were four invasions of Anglo American property was implemented for airborne geophysical survey in 2019. These resulted in the lawful eviction of In 2019, our Metallurgical Coal business undertook a activities carried out by the Exploration team in Brazil. In October 2019, protests occurred in Chile that mobilised trespassers by Liderman. A legal claim against Liderman baseline VPs risk assessment across all operations, The plan involved formal meetings with a wide range citizens in every region of the country. The protests was made in relation to the evictions, alleging excess in accordance with Social Way 3.0. Although a number of stakeholders, including local police commanders, resulted in confrontations between people and the police, force during one of the interventions. Liderman, in of low-level VPs-relevant risks and impacts were unions and mayors. creating a climate of social tension (which is ongoing). response, has filed claims against the protesters owing to identified, the controls in place were deemed to be injuries suffered by its personnel. Both cases are under For each project, as standard practice, Group Anglo American operations in Chile recorded no incidents investigation and being monitored by our effective. The risks are monitored regularly and relating to security and human rights. The business are reported on quarterly to the Metallurgical Coal Discovery and Geosciences (GDG) Brazil included in-house Legal department. clauses on compliance with the VPs in its contracts constantly monitored protests close to operations and Leadership Team. Training on VPs will be conducted monitored developments that could affect our facilities. across all operations in 2020. for outsourcing of services and labour. In the last quarter of 2019, Anglo American undertook Approximately six people received VPs training at our human rights due diligence with the support of the Chilean operations. Vincular Center of the Pontifical Catholic University BOTSWANA CANADA of Valparaíso. The Centre also provided human rights COLOMBIA training to 38 senior management and members of staff. Anglo American’s interests in Botswana are linked to its De Beers manages three diamond mines in Canada: indirect shareholding in Debswana, a 50% joint venture

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