Gold Fields Limited · JSE:GFI
Gold Fields — Diggers & Dealers Conference 2015
31 slides from Gold Fields's conference presentation, Aug 5, 2015
Slide 1: Sustaining FCF and Growing the Exploration Pipeline
Sustaining FCF and Growing the Exploration Pipeline DIGGERS & DEALERS CONFERENCE 5 August 2015 STUART MATHEWS – VP OPERATIONS AUSTRALIA
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: Snapshot of Gold Fields
Snapshot of Gold Fields A global gold producer ● Gold Fields is the world’s 7th largest gold producer As at 31 July 2015 with 8 operations in 4 countries ̵ Australia: St Ives; Agnew/Lawlers; Granny Share price (JSE/ADR) R34.26/$2.76 Smith; Darlot ̵ Ghana: Tarkwa; Damang Market capitalisation ($m) 2,
Slide 4: The Transformation of Gold Fields
The Transformation of Gold Fields Strategic imperatives 1. Focus on Free Cash Flow ̵ Structural shift in cost base ̵ >15% free cash flow margin at a US$1,300/oz gold price ̵ Focus on quality, cash-generative ounces - no marginal mining and high-grading, maintain cut-off grades ̵ Protect sustainabili
Slide 5: The Transformation of Gold Fields: Active portfolio management
The Transformation of Gold Fields Active portfolio management Arctic Platinum Project Finland “The wrong metal” Woodjam British Columbia “The wrong metal” Talas Kyrgysztan “The wrong address” FSE Philippines “Great optionality” Yanfolila Mali Asosa “Not franchise asset” Ethiopia “The wrong address”
Slide 6: The Transformation of Gold Fields: Significant reduction in AIC
The Transformation of Gold Fields Significant reduction in AIC since Q4 2012 Production and Costs 700,000 1800 598,000 1600 600,000 557,000 548,000 559,000 556,000 534000 1400 496,000 501,000 500,000 477000 451,000 1200 Ounces US$/oz 400,000 1000 300,000 800 600 200,000 400 100,000 200 0 0 Q4 2012 Q
Slide 7: Operations & Exploration Overview – Australia Region
OPERATIONS & EXPLORATION OVERVIEW – Australia Region
Slide 8: Australia Region
Australia Region Regional Overview Regional Highlights •Consolidated portfolio of prospective, orogenic greenstone • Successful & rapid integration of new style ore bodies Region Yilgarn assets Delivering value •Demonstrated management 10 Moz • GFI process and protocols installed at new capability i
Slide 9: Gold Fields Australia: A Robust Portfolio – 2014 actual vs. 2015 guidance
Australia Region Gold Fields Australia: A Robust Portfolio – 2014 actual vs. 2015 guidance 400 Production AIC 1400 350 1200 300 1000 250 800 US$/oz 200 Koz 600 150 400 100 50 200 0 0 2014 2015 2014 2015 2014 2015 2014 2015 * 2015 guidance based on exchange St Ives Agnew/Lawlers Darlot Granny Smith r
Slide 10: Exploration Commitment & Focus
Exploration Commitment & Focus Our tenements are one of our greatest assets ● Exploration group resourced for target generation, technical strengths in geophysics & geological structure, and geochemistry ● Investing >A$85m exploration expenditure in 2015 across 4 mine sites ● One of the largest expl
Slide 11: Australia Region: St Ives Overview
Australia Region St Ives Overview Key Site Developments •Well established mix of owner • Investing in next generation of mines with mined open-pit and underground exploration focussed on the Speedway trend, operations St Ives Eastern causeway zone & recently acquired Delivering value 3.5 Moz •Invinc
Slide 12: Invincible Open Pit
Invincible Open Pit Nth Stage 2 2016 mining Nth Stage 1 Commence Feb 2015 Stage 1 Stage 4 Commence pre-strip Jan 2016 Stage 2 Stage 1 & 2 to be mined Stage 5 simultaneously Commence pre-strip 2016 Stage 3 2015 Plan Tonnes Grade Ounces Commence March 2015 Invincible 1,171 kt 3.44 g/t 130 koz 12
Slide 13: Invincible Open Pit: Production on-schedule
Invincible Open Pit Production on-schedule ● Commenced mining late-December 2014 ● Main & North pits are now in ore ● 5x excavators in operation ● Production mainstay for open pits next 4 years – reserve of 5.01Mt @ 3.85g/t for 628koz Dec-14 Jun-15 13
Slide 14: St Ives Exploration 2015
St Ives Exploration 2015 Budget Summary A$42m Cave Rocks ● A$7m – Neptune Paleo-channel infill & Trend South West drilling Dome ● A$10m - Extensional Exploration Eastern Developing Key Camps Causeway ● A$25m - Additional Exploration Exploring Kambalda for New Deposits & Developing Pipeline West ● Im
Slide 15: St Ives – Project Generation: Highly Prospective Speedway Corridor
St Ives – Project Generation: Highly Prospective Speedway Corridor Speedway Corridor Exploration Targets ● Poorly explored trend ● Proven to be able to deliver major deposits ● Multiple programmes in progress ● Evidence of gold along 22km strike length ● Rigorous staged exploration programmes to asc
Slide 16: Australia Region: Agnew
Australia Region Agnew Key Site Developments • FBH improved Reserve at 348koz & Resource •Agnew’s new FBH ore body Agnew at 585koz – take over mining front ex. Kim Delivering value development continues on plan 2.6 Moz • Continued positive exploration results at •Optimising Kim sequencing Resource W
Slide 17: Agnew – Waroonga Maintains High Potential Extensional Opportunities
Agnew – Waroonga Maintains High Potential Extensional Opportunities Robust Reserve Secured at FBH-Link – Additional Targets to be Tested in 2015 FBH-Link Probable Reserve: 1,19Mt at 9.1 g/t for 348 koz 17
Slide 18: Agnew/Lawlers - Genesis New Holland
Agnew/Lawlers - Genesis New Holland Genesis New Holland – 2015 Targets for Reserve Replacement and Growth Grade Control Advanced Drilling Initial Drilling BATAVIA 500 SERIES - EASTERLY EXTENSIONS GENESIS 200 - SERIES AREA 2/3 HIMITSU GENESIS 500 EXTENSIONS CINDERELLA CINDERELLA 600-700 SERIES HIDDEN
Slide 19: Agnew Gold Mine: Exploration Near-Mine
Agnew Gold Mine Exploration Near-Mine ● Exploration schedule accelerated & planned in 500 Series North detail “old” Barrick / Gold Fields Boundary ● Exploring all opportunities for extensions & Genesis discovery Cinderella ● Surface Rigs: 3 DDH + 1 RC active Trend New ● UG Rigs: 5 DDH active Holland
Slide 20: Agnew Gold Mine: Cinderella to Himitsu wireframe model
Agnew Gold Mine Cinderella to Himitsu wireframe model N S New Holland Open Pit Cinderella 141 Easterly structures Hidden Secret Open Pit 141 Lode 180 Lode 230 Lode Himitsu long section Looking East • Phase 1 of diamond drill program successfully completed. • Multiple structures intersected. • Wester
Slide 21: Australia Region: Darlot Overview
Australia Region Darlot Overview Key Site Developments •Delivering production that funds exploration • Returned to being cash accretive post •Emerging targets in mine & on acquisition Delivering value tenements • Imperative is to discover new Resources and •Value creation at Darlot focussed convert
Slide 22: Darlot - Exploration Drill Targets
Darlot - Exploration Drill Targets Targeting >300koz CDA Oval- 2016 Mining Opportunity LSL Extensions Darlot Heart CDA Lords Boon West Repeat Chappell - 2016 Mining Target MWS Target King of the Hills Legend MS2 MS3 MS4 Xx Drilling or to drill 500 1000 Xx Developing Target 0 Eastern Hinge Zone Xx Ge
Slide 23: Green Field Exploration Target Generation
Green Field Exploration Target Generation New Targets Mag. Limb East. Limb Focus on structure and geophysics Yorker E-W corridor defines Darlot-Centenary Delorian Cluster Limited drilling beyond 250m depth Googlie Longer lead time projects (+300m depth) Delorian, Bouncer and Yorker cluster
Slide 24: Australia Region: Granny Smith Overview
Australia Region Granny Smith Overview Historical Exploration Delivery and Targets 2,000 15 Wallaby Underground Reserves, Mined Production, Exploration Expenditure • Flagship high grade, high margin 1,500 Wallaby underground ore body 10 Delivering value • World class ore body enjoys good Millions ge
Slide 25: Granny Smith Mine: Operations Improvements
Granny Smith Mine Operations Improvements MINING PROCESSING ● Attention to drill & blast – stope design & ● Invested in the asset that makes you money development strategy (+A$25 Mill since acquisition) ● Dilution reduction in stoping by up to 20% ● Campaign milling – 15 days per month (dependent on
Slide 26: Processing: Dilution reduction & mine recovery impact
Processing Dilution reduction & mine recovery impact Mill Feed Grade per day 9.50 High grade zones in Z80/Z90/Z100 8.50 7.50 Gold Fields 6.50 5.50 4.50 3.50 2.50 ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' '
Slide 27: Granny Smith – Wallaby Underground Continues to Grow
Granny Smith – Wallaby Underground Continues to Grow Wallaby Deposit 2015 Focus On Reserve Replacement and Growth 1,800m Wallaby Southern Corridor Exploration Zone 60 Zone 250 Zone 70 Zone 70E Zone 90 North Step-Out Zone 80 Exploration Zone 90 Zone 100 Zone 90 N Infill Resource Drilling Zone 110 Zon
Slide 28: Granny Smith Gold Mine: 2014 Exploration – Target Areas
Granny Smith Gold Mine 2014 Exploration – Target Areas ● Wallaby and Environs: ̵ Resource Drilling ̵ Extensional targets ̵ Wallaby Deeps (Z110 – Z150) ● Granny Smith: ̵ Open pit extensions ̵ UG options ● Lake Carey: ̵ Geophysics (Gravity and SAM) ̵ RAB & Aircore programs ̵ Target Generation ̵ Early
Slide 29: Conclusion
Conclusion Major Producer and Actively Exploring ● A foundation of long-life producing assets ● Continuing to optimise extraction of the resource base ● Major commitment to Brownfields exploration ● A$85m approved exploration spend in 2015 ● Actively seeking Merger & Acquisition opportunities ● Prod
Slide 30: Questions
QUESTIONS
Slide 31: Investor Relations Contacts
Investor Relations Contacts Avishkar Nagaser Tel: +27 11 562 9775 Mobile: +27 82 312 8692 E-mail: avishkar.nagaser@goldfields.co.za Willie Jacobsz Tel: +1 617 535 7545 Mobile: +1 857 241 7127 E-mail: willie.jacobsz@goldfields.co.za Francie Whitley Tel: +27 11 562 9712 Mobile: +27 82 321 7433 E-mail: