Sustainable Development

Xstrata produces a separate, comprehensive Sustainability Report, which is expected to be published in April 2009. The section below provides a summary of our policies and practices in a number of key areas: vision and strategy; governance; our people; health and safety; environment and community.

Vision and strategy

To achieve our Mission and deliver industry-leading returns to our shareholders over the long term, we recognise that we must balance social, environmental and economic considerations in how we manage our business.

We are committed to the goal of sustainable development. We believe that operating to leading standards of health, safety and environmental management, contributing to the development of sustainable communities, and engaging with our stakeholders in two-way, open dialogue, regardless of our location, enhances our corporate reputation and is a source of competitive advantage. This enables us to gain access to new resources, maintain a licence to operate, attract and retain the best people, access diverse and low-cost sources of capital, identify and act upon business opportunities, and optimise our management of risks.

We comply in full with the laws and regulations in each country where we operate. In addition, we operate in accordance with Xstrata’s sustainable development framework, aspiring to achieve the highest international standards regardless of location and without exception. We conduct regular internal and external audits of our businesses and operations to assure compliance with our business principles, policies and standards.

Our aim is to be a leader in our industry in delivering value to our shareholders, contributing to the sustainable development of communities associated with our operations, operating safely, contributing to the well-being of our workforce and local communities and preserving the long-term health and viability of the environment in which we operate. We achieve this through integrating sustainable development considerations into our day-to-day management practices, business planning and core strategy; monitoring and reporting on our performance and systems on a regular basis; and benchmarking against our competitors and other sectors to achieve our aim of continuous improvement. In 2008, Xstrata was recognised by the Dow Jones Sustainability Index as the leading company in the basic resources sector for the second consecutive year.

For more information visit: www.xstrata.com/sustainability