Slide 1: Gold Fields H1 2020 results
Gold Fields H1 2020 results Nick Holland: CEO 20 August 2020
Slide 2: Forward looking statement
Forward looking statement 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 a
Slide 3: H1 2020 highlights
H1 2020 highlights Delivering the higher gold price ● Covid-19 impact largely contained thus far ● Net cash flow of US$320m ● Mine net cash flow of US$405m ● Net debt (excluding lease liabilities) down to US$876m ● Normalised earnings more than doubled to US$323m ● Interim dividend of R1.60/share =
Slide 4: Covid-19 update
Covid-19 update Current status South West Americas Australia Group Africa Africa Tested 11 801 11 3 952 4 327 20 091 Positive 857 - 330 256 1 443 Negative 10 400 11 3 503 4 021 17 935 Awaiting results 544 - 119 56 719 Active cases 464 - 148 46 658 In hospital 13 - - - 13 Recovered 393 - 181 210 784
Slide 5: A globally diversified gold miner
A globally diversified gold miner H1 2020 results Gold Fields Group Mines: 9 Projects: 1 Countries: 5 Att. production: 1,087koz AIC: US$1,065/oz Mine net cash flow: US$405m inflow Net cash flow**: US$320m inflow West Africa region Mines: Tarkwa, Damang and Asanko Att. production: 384koz AIC: US$1,09
Slide 6: Delivered on reinvestment plan
Delivered on reinvestment plan ● The Group has more or less achieved cost and production guidance over last 7 years ● Implemented the turnaround at South Deep which included a labour restructuring ● Reinvested in the future of the business ̵ Delivered Gruyere which was ramped up ahead of plan – low
Slide 7: Strong organic growth within the portfolio
Strong organic growth within the portfolio ● Extended the life-of-mine of Cerro Corona to 2030 ̵ Exploring potential upside ● St Ives: life extension driven by growth at the Invincible complex ● Exploration success at Agnew – best position the mine has been in for many years ● Have addressed concern
Slide 8: Tarkwa potential
Tarkwa potential Untapped Down Dip Potential along 22km Strike Length And Room For New Discoveries N Awonaben (PAMTA) Pepe – Atuabo – Mantraim –Tebberebie- Pepe Central Pepe East 1 Kottraverchy Pit Ulap-Pepe Dozer Build Yard Ulap Nth Ext 2 Akon Nth Ulap Nth Ext 1 Pepe East 2 West Hill Kottra-Ridge W
Slide 9: Damang complex
Damang complex W-E Section (25896mN) Assay (g/t) 0.3 0.6 1.0 2.0 Aug FC 771 RL As-mined (17th Aug) Huni Sandstone 25896m Tarkwa Phyllite N Intrusive/Dolerite DRP LoM Banket Hangingwall Banket K1 Banket K2 Banket Footwall H1 2020 results | 20 August 2020 9
Slide 10: Greater Agnew Project
Greater Agnew Project Gold Fields has made 2 strategic investments for the long term at Agnew ● A$112m sustainable power solution – hybrid Gas, Solar, Wind Power solution ● A$38m for new accommodation camp – investment for our people Next Investment Phase (2021-2023): Reserves, Process plant upgrade
Slide 11: Resource Potential – Greater Waroonga
Resource Potential – Greater Waroonga 2013 2019 Order of magnitude Resource Potential of North South Priority 1 500koz to 1.0Moz (over 3-year window) Order of magnitude Resource Potential of Priority 2 500koz to 1.0Moz (Over 5-year plus window) Saint Main/FBH Stated boreholes South are selected to i
Slide 12: Resource Potential – New Holland
Resource Potential – New Holland Greater New Holland Complex 2013 2017 EMSD1873W1 3m @ 32.64g/t 2019 North South Himitsu 200 Series Hidden Secret EMSD1867 4.07m @ 7.45g/t Genesis Lower Sheba South & Spitfire Sheba North Sheba Lower EMSD1632 – 5.3m @ 26.85g/t EMSD1632 – 300m 3.56m @ 3.52g/t Priority
Slide 13: Resource Potential – Redeemer Complex
Resource Potential – Redeemer Complex Greater Redeemer Complex Zone 2 North – southern infill North South Barren Lands Zone 2 North Zone 2 South EMSD1929 0.68m @ 33.1g/t, FW lode EMSD1929 1.81m @ 33.34g/t 1.81m @ 33.34g/t, FW lode EMSD1934 17.08m @ 1.94g/t from 874m – (Basalt) Redeemer North EMSD193
Slide 14: St. Ives
St. Ives LD830171: 22m at Invincible Camp Exploration 6.66g/t N S Invincible Invincible South Invincible Footwall South Invincible Stage 6 Fenton Drake 0m RL LD83046 42m at 1.99g/t Greater Invincible North Invincible Mids Invincible Deeps Invincible Deeps Invincible South ADEX Extensions -750m RL 20
Slide 15: Strong cash generation in H1 2020
Strong cash generation in H1 2020 Capital expenditure ● Strong cash generation 900 800 ̵ Mine cash flow: US$414m in 2019, 700 US$405m in H1 2020 600 500 ̵ Net cash flow: US$249m in 2019, 400 300 US$320m in H1 2020 200 100 ● De-geared faster than expected – 0 2013 2014 2015 2016 2017 2018 2019 H1 202
Slide 16: Balance sheet
Balance sheet ● Net debt (including lease liabilities) amounts to US$1,239m at end-June 2020 (leases relate to Genser, Gruyere power plant and gas pipeline, Granny Smith power plant), compared to US$1,664m at 31 December 2019 ̵ Net debt (excl. lease liabilities) was US$876m, compared to US$1,331m at
Slide 17: Salares Norte update
Salares Norte update ● Engineering progress 74.7% at end-June (plan: 76.0%) ● Camp Phase 1 progress 80.8% at end-March (plan: 84.3%) ̵ Camp Phase 1 spend of US$11m, in line with plan ● H1 pre-development cost of US$11m vs plan of US$12m, all spent in Q1 ● Mining contract awarded to ICV after a rigor
Slide 18: Salares Norte update continued
Salares Norte update continued Progress in pictures Diversion channel assembly Channel trenching Camp phase I Camp phase II structural excavation H1 2020 results | 20 August 2020 18
Slide 19: Regional overviews
Regional overviews KEG Fievvs
Slide 20: Australia
Australia H1 2020 H1 2019 Att. Production koz 494 435 44% of Group AIC US$/oz 960 1,185 managed production A$/oz 1,463 1,677 Net cash flow* US$m 208 92 * Net cash flow excludes Gruyere project capital for 2019 ● 14% year-on-year increase in gold produced driven by the inclusion of Gruyere which reac
Slide 21: Americas
Americas H1 2020 H1 2019 Au Eq production koz 109 157 Au Eq AIC US$/oz 984 698 Au only production koz 64 81 10% of Group Cu only production kt 13 16 managed production Au only AIC US$/oz 709 290 Net cash flow US$m 49 52 ● Cerro Corona was significantly impacted by the COVID-19 pandemic during H1 202
Slide 22: West Africa
West Africa H1 2020 H1 2019 Managed production koz 420 438 37% of Group AISC US$/oz 1,060 892 managed production AIC US$/oz 1,093 1,007 Net cash flow* US$m 139 72 * Net cash flow includes Damang project capital Numbers include 45% of Asanko Gold Mine ● Mining in main Damang pit transitioned through
Slide 23: South Africa
South Africa H1 2020 H1 2019 Att. Production koz 100 92 AISC US$/oz 1,227 1,529 AIC US$/oz 1,234 1,529 9% of Group managed production Net cash flow US$m 5 -18 ● 1 Fatality during H1 2020: Mr. Abel Magajane ● Q2 2020 severely impacted by COVID-19 related restrictions ̵ Was placed on care and maintena
Slide 24: Outlook
Outlook KEG Fievvs
Slide 25: 2020 outlook and guidance
2020 outlook and guidance 2020 revised Group guidance ● Attributable equivalent gold production: 2.20Moz – 2.25Moz ● AISC: US$960/oz – US$980/oz ● AIC: US$1,070/oz – US$1,090/oz Focus areas for H2 2020 ● Continue to navigate Covid-19 ● Damang: deliver higher grade from main part of the orebody ● Sal
Slide 26: Thank You
Thank You QUESTIONS AND ANSWERS