Slide 1: Building a Sustainable Business at US$1,300/oz
Building a Sustainable Business at US$1,300/oz Q4 2013 and 2013 Year-End Results NICK HOLLAND 13 February 2014
Slide 2: Forward looking statements
Forward looking statements Certain statements in this document constitute “forward looking statements” within the meaning of Section 27A of the US Securities Act of 1933 and Section 21E of the US Securities Exchange Act of 1934. In particular, the forward looking statements in this document include
Slide 3: Q4 2013 Results: Salient Features
Q4 2013 Results Salient Features ● Attributable production up 21% to 598,000 gold equivalent ounces (Q3 2013: 496 Koz) ● AISC US$1,054/oz ● AIC US$1,095/oz ● Net cash generated pre-financing and acquisition US$38 million (Q3 2014 – US$3 million) ● Normalised earnings US$14 million (Q3 2013 US$12 mil
Slide 4: Q4 2013 Results: Key Achievements
Q4 2013 Results Key Achievements ● Yilgarn South assets fully integrated ̵ 114,000 ounces maiden contribution ̵ AIC of US$940/oz Q4 2013 All-in Costs* (US$/oz) 1600 ● Damang - improved performance 1 436 1400 Gold Price – US$ 1 265/oz ̵ Production up 39% qoq to 45 Koz 1 261 1200 1 132 ̵ AIC down 27%
Slide 5: Scorecard: Commitments Made on Aug 2013
Q4 2013 Results Scorecard: Commitments Made on 22 Aug 2013 Underway Position Gold Fields To Make Cash At US$1,300/oz Gold Price Nick Holland | Building a Sustainable Business at US$1,300/oz | Q4 2013 and 2013 Year-end Results | 13 February 2014 5
Slide 6: 2013 Results: Salient Features
2013 Results Salient Features ● Attributable production of 2.022 million gold equivalent ounces (F2012* - 2.031 Moz) ● Total cash cost US$803/oz (F2012*- US$779/oz) ● NCE US$1,146/oz (F2012* - US$1,348/oz) ● NCE margin 17% (F2012* - 19%) ● AISC US$1,202/oz (F2012* - US$1,310/oz) ● AIC US$1,312/oz (F
Slide 7: 2013 Achievements: Cost Trend Analysis
2013 Achievements Cost Trend Analysis $/oz oz 2 100 700 000 1 900 600 000 1 700 500 000 1 500 400 000 1 300 300 000 1 100 200 000 900 100 000 700 500 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 2012 2012 2012 2012 2013 2013 2013 2013 Gold Produced Gold Price AIC A Structural Shift In The Cost Base Nick Holland | Buil
Slide 8: US$450 Million Removed From Cost, Capital, Exploration and Project Expenditure
2013 Achievements US$450 Million Removed From Cost, Capital, Exploration and Project Expenditure ● Marginal mining eliminated ̵ St Ives: heap leach operations ̵ Agnew: Rajah and Main lodes ̵ Tarkwa: South heap leach operations ● Corporate, regional and operational structures rationalised ̵ Fit for p
Slide 9: 2013 Cost And Production Versus Guidance
2013 Achievements 2013 Cost And Production Versus Guidance 2013 Production Versus Guidance 2013 Costs Versus Guidance (Moz) (US$/oz) 2.5 1600 1,360 1400 1.92 – 2.00 2.03 1,240 16% 2 1.83 – 1.90 1,146 1200 1.5 1000 860 860 830 4% 800 1 600 400 0.5 200 0 0 27 Feb 13 20 Nov 13 Actual Production 27 Feb
Slide 10: Geographic Distribution Of Portfolio
2013 Achievements Geographic Distribution Of Portfolio Q4 2013 Production 13% 13% 31% 43% South Africa Ghana Australia Peru 8 Operating Mines In Four Regions Nick Holland | Building a Sustainable Business at US$1,300/oz | Q4 2013 and 2013 Year-end Results | 13 February 2014 10
Slide 11: Balance Sheet
2013 Achievements Balance Sheet ● Total outstanding debt US$2.06 billion ● Cash on hand US$325 million ● Net debt US$1.74 billion ● Net debt / EBITDA: 1.53 (Q4 2013 annualised) ● 49% of debt is a 10-year US$ bond (US$1.0bn), no covenants, fixed coupon of 4.875%, maturity 10/2020 ● 35% of debt (US$72
Slide 12: It's not about ounces
OPERATIONS REVIEW It’s not about ounces Its about cash!
Slide 13: South Deep Project
South Deep Project Q4 Q3 2013 2012 Production 2013 2013 (Koz) Production Koz 79 82 302 270 90 81.9 77.8 79.4 80 AISC US$/oz 1,399 1,448 1,541 1,732 70 63.0 AIC US$/oz 1,436 1,599 1,763 2,308 60 50 40 2013 results in line with guidance 30 20 • Gold production up 12% to 302 Koz 10 0 • Destress up 24%
Slide 14: South Deep Project: Build-up review concluded February 2014
South Deep Project Build-up review concluded February 2014 Fleet Availability & Utilisation Operator & Ore Handling Technician Infrastructure Skills Destress Step Change Improved Productivity ● Steady state run rate by end of 2017 ̵ 300,000 to 330,000 reef tonnes per month ̵ 650 to 700 Koz of gold p
Slide 15: South Deep: Progress With Destress Mining
South Deep Project Progress With Destress Mining Destress m² 80 000 Steady State circa 70,000 m2 p.a. 70 000 60 000 50 000 40 000 30 000 20 000 10 000 - 2011 2012 2013 Destress Doubled In Two Years Nick Holland | Building a Sustainable Business at US$1,300/oz | Q4 2013 and 2013 Year-end Results | 13
Slide 16: South Deep: Destress Mining Progression
South Deep Project Destress Mining Progression Conventionally mined destress voids (pre 2009) Mechanised destress voids - pre 2012 Mechanised destress voids - C2012 Mechanised destress voids – C2013 2014 Plan 2015 Plan 2016 Plan 2017 Plan 4W 3W 2W 1W Nick Holland | Building a Sustainable Business at
Slide 17: South Deep: Opening Up The Ore Body
South Deep Project Opening Up The Ore Body Nick Holland | Building a Sustainable Business at US$1,300/oz | Q4 2013 and 2013 Year-end Results | 13 February 2014 17
Slide 18: South Deep: Opening Up The Ore Body
South Deep Project Opening Up The Ore Body Nick Holland | Building a Sustainable Business at US$1,300/oz | Q4 2013 and 2013 Year-end Results | 13 February 2014 18
Slide 19: South Deep: Opening Up The Ore Body
South Deep Project Opening Up The Ore Body Nick Holland | Building a Sustainable Business at US$1,300/oz | Q4 2013 and 2013 Year-end Results | 13 February 2014 19
Slide 20: Tarkwa
Tarkwa Q4 Q3 2013 2012 Production 2013 2013 (Koz) Production Koz 160 163 632 719 180 170.1 162.9 160.0 160 139.2 AIC US$/oz 1,096 1,124 1,291 1,117 140 120 100 • Successful transition to CIL only 80 ‒ South heap leach closed in early 2013 60 40 ‒ North heap leach closed in Dec 2013 20 0 ‒ Higher rec
Slide 21: Damang
Damang Q4 Q3 Production 2013 2012 2013 2013 (Koz) Production Koz 45 33 153 166 50 45.4 43.3 AIC US$/oz 1,261 1,727 1,558 1,753 40 31.8 32.6 30 • Significant improvement in operational 20 performance in Q4 2013 10 ‒ Focussed costs control, reduced cash burn 0 Q1 2013 Q2 2013 Q3 2013 Q4 2013 ‒ Quality
Slide 22: Damang: On-lease Exploration Opportunities
Damang On-lease Exploration Opportunities HUNI SADDLE PIT JUNO PIT NYAME TOMENTO NORTH & DIP EXTENSION 17km AMOANDA CHIDA REX More Than 17 Kilometre Strike Length Nick Holland | Building a Sustainable Business at US$1,300/oz | Q4 2013 and 2013 Year-end Results | 13 February 2014 22
Slide 23: Damang: The Way Forward
Damang The Way Forward ● 1.1 Moz Mineral Reserves @ US$1,300/oz gold price ● 6.6 Moz Mineral Resources provide significant optionality ● Focus areas 2014 ̵ Grade and dilution control ̵ Mining efficiencies ̵ Cost optimization ̵ Resource development, add satellite pits to improve flexibility and exten
Slide 24: St Ives
St Ives Q4 Q3 2013 2012 Production 2013 2013 (Koz) Production Koz 99 104 403 450 120 102.0 103.8 99.1 97.7 AIC US$/oz 1,091 1,116 1,218 1,659 100 • Significant improvement in AIC 80 60 • On-site discovery leads Reserve Growth 40 • Invincible – a significant discovery 20 ‒ Mineral Resources*: 9.2mt @
Slide 25: St Ives: Invincible Ore Body
St Ives Invincible Ore Body ● Large high grade open pit and potential underground operation ● 2.25 km strike length ● Wide mineable zones (up to 20m) ● 2014 Drill focus on expanding the open pit and full UG potential NW 2.25 km SE 11m @ 11.2g/t 300m 21m @ 3.0g/t Model Limit 10m @ 11.0g/t 17m @ 11.4g
Slide 26: Location of Invincible and Neptune Relative To Lefroy Mill
St Ives Location of Invincible and Neptune Relative To Lefroy Mill • Within Operating Radius of Existing Operations • Limited to Lake Disturbance Only Within Trucking Distance From The Plant Nick Holland | Building a Sustainable Business at US$1,300/oz | Q4 2013 and 2013 Year-end Results | 13 Februa
Slide 27: Agnew/Lawlers
Agnew/Lawlers Q4 Q3 2013 2012 Production 2013 2013 (Koz) Production Koz 74 45 216 177 80 73.6 AIC US$/oz 929 842 919 1,253 70 60 53.0 50 43.7 45.2 • Agnew/Lawlers integration well advanced 40 30 ‒ Employees reduced by 14% 20 10 ‒ Lawlers processing plant on care and 0 Q1 2013 Q2 2013 Q3 2013 Q4 2013
Slide 28: Agnew/Lawlers: Waroonga Complex
Agnew/Lawlers Waroonga Complex Kath Upper Rajah Main Waroonga North Kath Kim Yeoman FBH Main South Link Significant Exploration Potential Nick Holland | Building a Sustainable Business at US$1,300/oz | Q4 2013 and 2013 Year-end Results | 13 February 2014 28
Slide 29: Agnew/Lawlers: New Holland/Genesis Complex
Agnew/Lawlers New Holland/Genesis Complex Hidden Secret New Holland Genesis Hidden Secret 200 Series Genesis 500 Series New Holland Hidden Secret Significant Exploration Potential Nick Holland | Building a Sustainable Business at US$1,300/oz | Q4 2013 and 2013 Year-end Results | 13 February 2014 29
Slide 30: Darlot
Darlot Q4 F2013 Managed production Koz 20 AIC US$/oz 1,132 • Transition to Gold Fields ownership successfully completed Site picture • Significant restructuring since acquisition (AIC > A$1,600/oz pre acquisition) • Targeted brownfields exploration to establish mine life beyond existing reserves 201
Slide 31: Granny Smith
Granny Smith Q4 F2013 Managed production Koz 62 AIC US$/oz 888 • Transition to Gold Fields ownership successfully completed Site picture • Restructuring largely done • Significant exploration potential • Spare processing capacity 2014 Guidance • 2014 Production 240 Koz • AISC & AIC: ~ A$1,115/oz ~(U
Slide 32: Granny Smith: Wallaby Underground
Granny Smith Wallaby Underground ● South dipping intrusives within conglomerate ● Stacked shear/lode system − 150m – 200m apart − 600m x 500m footprint Z250/60 − Gentle to Moderate dip to the NW − 5 – 10m thick lodes ● Geological model has been focused Lateral extension to all Z70 to the intrusive a
Slide 33: Granny Smith: Wallaby Underground
Granny Smith Wallaby Underground • Quality ore-body, high-grade with continuity • Positive reconciliation – consistently Z250/60 outperforming against resource and grade control Lateral extension to all Z70 • Entering best part of the ore-body (Zones 90 known lodes and 100) Z80 • Significant upside
Slide 34: Cerro Corona
Cerro Corona Q4 Q3 2013 2012 2013 2013 Production AU eq Prod Koz 79 91 317 342 (Koz) AU eq AIC US$/oz 707 609 713 775 100 90.7 76.9 79.2 AU only Prod Koz 36 45 159 170 80 70.0 AU only AIC US$/oz 207 (21) 206 82 60 40 • Consistent, world class mine 20 • Continued outperformance against resource 0 mod
Slide 35: 2014 Guidance
2014 Guidance Production AISC AIC (Koz) South Deep Project 360 US$1,290/oz US$1,350/oz Tarkwa 520 US$1,100/oz US$1,100/oz Damang 165 US$1,240/oz US$1,240/oz Cerro Corona1 290 US$865/oz US$865/oz St Ives 395 A$1,210/oz A$1,210/oz Agnew/Lawlers 260 A$1,170/oz A$1,170/oz Darlot 80 A$1,385/oz A$1,385/oz
Slide 36: Conclusions
Conclusions ● Gold Fields has been transformed into a global producer ● Delivery of South Deep is the top priority ● Focus on cash flow and margin – make money at current prices Nick Holland | Building a Sustainable Business at US$1,300/oz | Q4 2013 and 2013 Year-end Results | 13 February 2014 36
Slide 37: Building a Sustainable Business at US$1,300/oz
Building a Sustainable Business at US$1,300/oz Q4 2013 and Year-End Results NICK HOLLAND 13 February 2013