Iron ore price settlement

22 May 2006

Hamersley Iron has today reached agreement with POSCO, on the price for Hamersley lump
iron ore deliveries for the contract year commencing 1 April 2006.

Under this agreement, the price of lump ore will increase by 19 per cent.

Sam Walsh, Chief Executive of Rio Tinto’s Iron Ore Group, said, “This agreement with
POSCO, the world’s fourth largest steelmaker, reflects the long-standing relationship
between our two companies.”

”This settlement confirms the tightness of the iron ore market and the very strong demand
for Australian iron ore,” he said