Slide 1: Gold Fields Australia Site Visit: Regional Overview
Gold Fields Australia Site Visit: Regional Overview RICHARD WESTON Executive Vice President: Australasia Region 13 July 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: Gold Fields Australia Introduction
Gold Fields Australia Introduction ● Low risk environment and mining friendly jurisdiction ● Western Australia government and community supportive towards mining ● Strong and experienced local management team ● Two well established mines, St Ives and Agnew, with well trained workforce ● Regional Oro
Slide 4: Regional Leadership Team
Gold Fields Australia Regional Leadership Team Richard Weston – Executive Vice President: Australasia ● 40 years of international mining industry experience with 30 years in gold ● BE (Civil), MAppSc., Fellow of AusIMM ● Constructed and operated mines in NSW, NT, NZ, Bolivia, Mexico, Indonesia and n
Slide 5: Regional Leadership Team
Gold Fields Australia Regional Leadership Team Wimpie Du Toit – VP Human Resources ● Internationally experienced HR Generalist with excellent track record ● B.Com plus postgraduate Executive Business Coach and MDP qualification Kelly Carter – Head of Legal ● Experienced legal generalist, providing b
Slide 6: Implementing The Gold Fields Franchise
Gold Fields Australia Before The Yilgarn South Acquisition Implementing The Gold Fields Franchise • Focus on free cash flow and growing the margin • Not ounces for ounces sake, no marginal mining St Ives Process Plant – 4.8mtpa • Optimised contractor vs owner mining • Right-sizing of all overhead st
Slide 7: Before The Yilgarn Acquisition: St Ives Gold Mine
Gold Fields Australia Before The Yilgarn Acquisition: St Ives Gold Mine ● 1897: Gold discovered near Kambalda St Ives Production History 700 14 ● 1980: Gold production commences CUMULATIVE TOTAL OUNCES MINED (Moz) WMC 5.1 Moz GFI 6.9 Moz 600 12 ● 2001: Acquired by Gold Fields ANNUAL MINED OUNCES Koz
Slide 8: St Ives Gold Mine: Extensive Tenement Position, Multiple Targets
Gold Fields Australia Before The Yilgarn Acquisition: St Ives Gold Mine Extensive Tenement Position, Multiple Targets, Significant New Discoveries Gold Fields Australia Site Visit: Regional Overview | Richard Weston | 13 July 2014 8
Slide 9: Before The Yilgarn Acquisition: Agnew Gold Mine
Gold Fields Australia Before The Yilgarn Acquisition: Agnew Gold Mine ● 1897: First discovery ● 1897 – 1911: Surface and shallow underground mining NORTH WAROONGA OPEN PIT SOUTH ● 1935 – 1948: Small underground mine ● 1987 – 1992: Open Pit mining by WMC RAJAH LODE ● 2001: Acquired by Gold Fields MAI
Slide 10: The Yilgarn South Acquisition: What Did We Buy?
The Yilgarn South Acquisition (Oct 2013) What Did We Buy? 1. Total final consideration - US$263 million Three operating mines: 2. Three operating mines 1. Lawlers Gold Mine: i. Lawlers Gold Mine ̵ Mineral Reserves 1.2Mt @6.27g/t for 237kozs ̵ Mineral Reserves 1.2Mt @ 6.24g/t for 238 Koz ̵ High grade
Slide 11: Why Did We Make The Acquisition?
The Yilgarn South Acquisition (Oct 2013) Why Did We Make The Acquisition? ● The price was right – three for the price of one! ● Immediate synergies through combination of Agnew and Lawlers ● Significant operational savings and improvements through application of Gold Fields operational franchise ● F
Slide 12: A Rapid and Well Executed Transition
The Yilgarn South Acquisition (Oct 2013) A Rapid and Well Executed Transition ● GFA gained control October 2013 ● During transition phase GFA undertook: ̵ Risk assessments ̵ Stakeholder engagement ̵ Transitional plans ̵ Introduction of GFI branding, DNA and operating franchise ̵ Full operational rev
Slide 13: Comprehensive Operational Reviews
The Yilgarn South Acquisition (Oct 2013) Comprehensive Operational Reviews ● Conducted in partnership with site leadership teams ● All sites completed in October 2013 ● Formed the baseline for 2014 budgeting process ̵ Human resources ̵ Finance ̵ Sustainable development ̵ Strategy and planning ̵ Mini
Slide 14: A Sharper Focus On Costs
The Yilgarn South Acquisition (Oct 2013) A Sharper Focus On Costs Yilgarn South AIC (US$/oz) 1 600 Barrick (Currency Hedge Excluded) Gold Fields 1 400 1 200 1 000 800 • Assets up for sale • Gold Fields operational franchise • High grading • Capital now being spent 600 • Capital constrained • Explora
Slide 15: The Impact of the Yilgarn Acquisition
The Yilgarn South Acquisition (Oct 2013) The Impact of the Yilgarn Acquisition Gold Fields Australia Production (oz) Gold Fields Australia AIC (US$/oz) 300 000 1 800 1 600 250 000 1 400 200 000 1 200 1 000 150 000 800 100 000 600 400 50 000 200 - - Q1 12 Q2 12 Q3 12 Q4 12 Q1 13 Q2 13 Q3 13 Q4 13 Q1
Slide 16: Changing Gold Fields' Global Footprint
The Yilgarn South Acquisition (Oct 2013) Changing Gold Fields’ Global Footprint Gold Fields Attributable Production 13% South America 43% West Africa 31% South Africa Australia 13% Australia 43% Of Gold Fields’ Attributable Production Gold Fields Australia Site Visit: Regional Overview | Richard Wes
Slide 17: A Major Focus On Our People
Gold Fields Australia A Major Focus On Our People ● 950 Barrick employees transferred to GFA systems within 6 weeks ● Combined workforce of 2,440 at end of Q1 2014 - 1,670 employees and 770 contractors ● Standardized conditions of employment and policies implemented across the Region ● Fair Work Aus
Slide 18: Sustainability - a Core Business Driver
Gold Fields Australia Sustainability - a Core Business Driver ● Alignment of new assets to GFI operating model in progress: ̵ St Ives and Agnew Certified to ISO 14001 and OHSAS 18001 ̵ Darlot: ISO 14001 certification achieved and initial OHSAS 18001 audit undertaken with no non-conformances ̵ Granny
Slide 19: Health And Safety – Not Negotiable
Gold Fields Australia Health And Safety – Not Negotiable Total Recordable Injury Frequency Rate (TRIFR = Lost Time Injury + Restricted Work Injury + Medically Treated Injury per Million Manhours Worked) 30 25 20 Target Vital Behaviours Programme 2 Months 2014 Workshops 94 15 Story Collection Attenda
Slide 20: Shaping Our Own Destiny
Gold Fields Australia Shaping Our Own Destiny ● US$50 million exploration spend in 2014 to crystalize known upside ● Leverage GFA orogenic expertise ̵ Granny Smith • Excellent potential to extend and possibly duplicate Wallaby ore body • Process plant under-utilized ̵ St Ives • Recent significant di
Slide 21: Conclusions
Gold Fields Australia Conclusions ● Yilgarn South a quality, cost effective acquisition ̵ A game changer for GFA and GFI ̵ Integration completed seamlessly ̵ Significant improvements since acquisition • Safety • Costs • Productivity • Exploration • Immediate cash generation ● 15% FCF target ● Signif
Slide 22: Gold Fields Australia Site Visit: Regional Overview
Gold Fields Australia Site Visit: Regional Overview RICHARD WESTON Executive Vice President: Australasia Region 13 July 2014