TIDMLONR 
 
RNS Number : 3258V 
Lonrho PLC 
01 November 2010 
 

1 November 2010 
                                   Lonrho Plc 
                          ('Lonrho' or 'The Company') 
 
        Xstrata contracts Lonrho to establish agri processing and farming 
                    operations at its Thorncliff Alloys Mine 
 
Lonrho Plc (AIM : LONR) is pleased to announce that XSTRATA South Africa (pty) 
Ltd has contracted Lonrho Projects Agri Business, a Lonrho Plc subsidiary,  to 
develop and operate a commercial farming and agri processing development for 
XSTRATA's Thorncliff Alloys mine within the Sekhukhune District, in the Limpopo 
Province in South Africa. 
 
The innovative project is part of Xstrata's community enterprise development 
programme established to provide sustainable economic growth and diversification 
in the mining communities where Xstrata operates. 
 
Under the agreement, Lonrho will work with local subsistence farmers to develop 
a farming cooperative that will deliver the yield, volume and quality of 
production necessary to establish a commercially viable agricultural business. 
The agreement with Xstrata will provide the funding necessary for Lonrho to 
design and develop the infrastructure, irrigation, farming and agri-processing 
facilities necessary for the cooperative to be able to produce on a commercially 
viable  scale. 
 
Through its existing agri-logisitics business and cold chain management services 
Lonrho will provide access for the farming cooperative to the formal commercial 
market. This is essential to ensure that the project can maximise prices for the 
fruit and vegetables that it produces. The project is valued at 42 million Rand 
( GBP 3.7m ), with an immediate 14.4 million Rand (GBP 1.3m ) first phase that 
will include the establishment of a core anchor farm, Global GAP packhouse and 
the training, mentoring and management of 300 Rural Community Outgrowers  and is 
scheduled to be completed before December 2011. 
 
The investment from XSTRATA is part of their Social & Labour Plan (SLP) and is 
aligned with the Comprehensive Rural Development Programme (CRDP) strategy as 
launched by the State President, His Excellency Jacob Zuma and Minister Gugile 
Nkwinti of Rural Development & Land Reform in April 2009. 
David Lenigas, Executive Chairman of Lonrho commented : 
 
' We are delighted to have been chosen by XSTRATA to develop this project. The 
Lonrho Agriculture cold chain logistical capabilities to take production from 
projects such as this and provide the essential access to market is a 
fundamental necessity for these projects to be commercially viable.  The 
0pportunity to replicate this project across Southern Africa can have a 
significant impact on rural agricultural communities and their sustainability ' 
 
LONRHO ENQUIRIES 
 
+-----------------------------------------+----------------------------------------+ 
| Lonrho Plc                              | +44 (0)20 7016 5105                    | 
+-----------------------------------------+----------------------------------------+ 
| David Lenigas, Executive Chairman       | +44 (0)7881 825 378                    | 
+-----------------------------------------+----------------------------------------+ 
| Geoffrey White, Chief Executive Officer | +44 (0)7717 307 308                    | 
+-----------------------------------------+----------------------------------------+ 
| David Armstrong, Finance Director       | +44 (0)7833 054 693                    | 
|                                         |                                        | 
+-----------------------------------------+----------------------------------------+ 
|                                         |                                        | 
+-----------------------------------------+----------------------------------------+ 
| Pelham Bell Pottinger PR                |                                        | 
+-----------------------------------------+----------------------------------------+ 
| Charles Vivian                          | +44 (0) 20 7861 3126                   | 
+-----------------------------------------+----------------------------------------+ 
|                                         | +44 (0) 7977 297903                    | 
+-----------------------------------------+----------------------------------------+ 
| James MacFarlane                        | +44 (0) 20 7861 3864                   | 
|                                         | +44 (0) 7841 672 831                   | 
+-----------------------------------------+----------------------------------------+ 
|                                         |                                        | 
| Beaumont Cornish Limited  (Nomad)       |                                        | 
+-----------------------------------------+----------------------------------------+ 
| Rosalind Hill Abrahams                  | +44 (0) 20 7628 3396                   | 
+-----------------------------------------+----------------------------------------+ 
| Roland Cornish                          | +44 (0) 20 7628 3396                   | 
+-----------------------------------------+----------------------------------------+ 
 
 
This information is provided by RNS 
            The company news service from the London Stock Exchange 
   END 
 
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