Slide 1: Gold Fields FY 2019 results
Gold Fields FY 2019 results Nick Holland: CEO 13 February 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: A globally diversified gold miner
A globally diversified gold miner FY 2019 results Gold Fields Group Mines: 9 Projects: 1 Countries: 5 Att. production: 2,195koz AIC: US$1,064/oz Mine net cash flow*: US$552m inflow Net cash flow: US$249m inflow West Africa region Mines: Tarkwa, Damang and Asanko Att. production: 768koz AIC: US$1,039
Slide 4: Positioned for sustainable cash flow generation
Positioned for sustainable cash flow generation ● Over the past 3 years, Gold Fields has been focused on reinvesting for the future ● We have built two new mines (Gruyere and Damang) and completed a project feasibility study (Salares Norte) ̵ Will extend life at lower cost ̵ Funded largely from oper
Slide 5: ESG Highlights
ESG Highlights ● Safety ̵ Ms M Ramela was fatally injured at South Deep as a result of rockburst (2018: 1 fatality) ̵ We recorded 12 serious injuries (2018: 16) ̵ The duration rate (average days lost per lost time injury, LTI) was 29 (2018: 48) ̵ Board, Exco and corporate, regional and site leadersh
Slide 6: Cash flow inflection ahead of plan
Cash flow inflection ahead of plan Capital expenditure 900 ● Net cash flow* of US$249m in 2019 800 700 compared to an outflow of US$122m 600 500 in 2018 400 300 ● Mine net cash flow of US$552m 200 100 (excluding projects) in 2019 compared 0 2013 2014 2015 2016 2017 2018 2019 Sustaining capital Proje
Slide 7: Balance Sheet in good shape
Balance Sheet in good shape ● Net debt (before IFRS16 adjustments) of US$1,331m at 31 December 2019 ̵ Net debt to EBITDA of 1.08x ● Net debt (after IFRS16 adjustments) of US$1,664m at 31 December 2019 ̵ Net debt to EBITDA of 1.29x ● Maturity extended and staggered through bond issues and new RCF agr
Slide 8: Growing R&R
Growing R&R December 2019 December 2018 Managed Attributable Managed Attributable Gold equivalent 146.8Moz 114.0Moz 140.5Moz 108.2Moz Resources Gold equivalent 54.1Moz 50.2Moz 54.0Moz 50.3Moz Reserves Att. Au equivalent Reserves: Dec-2019 Att. Au equivalent Reserves: Dec-2018 Americas: 7.0 Americas:
Slide 9: Waroonga Complex - Dec 2019
Waroonga Complex - Dec 2019 North South 450 South Main Main Rajah North South Waroonga Kath North Yeoman Drillhole pierce point 2019 Open Pit Reserve design FBH 2019 Underground Resource MSO 2019 Underground Reserve design Kim South Link Mined 500m 2015 2016 2017 2018 2019 Production (koz) 128 153 1
Slide 10: Invincible Complex - Dec 2019
Invincible Complex - Dec 2019 N S 0 RL Drake Fenton Invincible South -400 RL Proterozoic Dyke Drill Intercept Invincible Deeps Reserve Alpha Island Fault -800 RL Resource 1km FY 2019 results | 13 February 2020 10
Slide 11: Granny Smith Wallaby Deposit – December 2019
Granny Smith Wallaby Deposit – December 2019 7,722 koz Resource • 783 koz Measured • 5,337 koz Indicated • 1,601 koz Inferred Zone 250-60 Zone 70 Zone 80 2,072 koz Reserve • 130 koz Proven Zone 90 • 1,943 koz Probable Zone 100 1.9 km Mined Production TVD • 291 koz Zone 110-120 2018-2019 Zone 135 Yea
Slide 12: Tarkwa Exploration
Tarkwa Exploration Pepe North N Down Dip Potential Pepe – Atuabo – Mantraim -Tebberebie (PAMTA) Kottraverchy Pit Untapped Kottraverchy Ulap Discovery down dip potential Akontansi Pit along 22km strike length 0 1 2 3 Kilometer Unclassified Resources Inferred Resources Indicated Resources Measured Res
Slide 13: Update on projects
Update on projects | Govo (Aa
Slide 14: Gruyere
Gruyere ● First gold poured in June 2019, commercial levels of production achieved at end-September 2019 ● Ramped up to nameplate capacity (8.2Mt) by end-December, quicker than expected ● Final capital cost was A$610m – lower than most recent guidance of A$621m ̵ Gold Fields’ share of the capital co
Slide 15: Damang
Damang ● The Damang Reinvestment Project (DRP) has restored the mine to a 200koz pa producer ̵ Produced 208koz in 2019 ̵ Expected to produced 217koz in 2020 ● At end-December 2019 (36 months into the DRP): ̵ Total material mined = 120Mt (17% above project schedule) ̵ Gold produced = 533koz (17% abov
Slide 16: Salares Norte
Salares Norte ● Detailed Engineering 58% complete at end-December 2019 ̵ Plan is to be 80% complete by mid-2020 and 100% complete by end-2020 ● Environmental Impact Assessment (EIA) approved on 18 December 2019, earlier than anticipated in the project schedule ̵ Sectoral permits are in process under
Slide 17: Salares Norte: near-mine exploration
Salares Norte: near-mine exploration ● Salares Norte Near Mine: ̵ Brecha West: • Target defined using geological mapping (maar- diatreme confirmed), geophysical surveys and geochemistry • Exploratory drilling program to continue during 2020. ̵ Agua Amarga North: • SNDD551: › 130 m outside the curren
Slide 18: District exploration: Horizonte
District exploration: Horizonte ● Horizonte: ̵ 2019 (Punta de Opalo/Cruz Sur/Sol Naciente): • Interesting near surface oxide intercepts (inclined): 05/2019 › 47.20m @ 1.06 g/t Au (from 3.80m – HZDD044); 06/2019 › 20.20m @ 1.00 g/t Au & 6.95 g/t Ag (from 35.80m – HZDD054); • As well deeper oxide inte
Slide 19: Salares Norte
Salares Norte Execution Schedule Current Phase (EPS – 2020) FY 2019 results | 13 February 2020 19
Slide 20: Regional overviews
Regional overviews | Govo (Aa
Slide 21: Australia
Australia 2019 2018 2020 guidance Att. Production koz 914 886 985 40% of Group managed AIC US$/oz 986 943 930 production A$/oz 1,418 1,262 1,350 Net cash flow* US$m 206 192 * Net cash flow excludes Gruyere project capital ● Gruyere: First gold in June 2019 and nameplate capacity reached by end-2019
Slide 22: Americas
Americas 2019 2018 2020 guidance Au Eq production koz 293 314 275 Au Eq AIC US$/oz 810 699 830 Au only production koz 156 150 158 13% of Group managed Cu only production kt 31 32 28 production Au only AIC US$/oz 472 282 575 Net cash flow US$m 86 112 ● Feasibility study to extend life of mine to 2030
Slide 23: West Africa
West Africa 2019 2018 2020 guidance Managed production koz 840 750 840 37% of Group managed AISC US$/oz 942 926 980 production AIC US$/oz 1,039 1,098 1,006 Net cash flow* US$m 245 170 * Net cash flow excludes Damang project capital Numbers include 45% of Asanko Gold Mine, 2018 includes Asanko for fi
Slide 24: South Africa
South Africa 2019 2018 2020 guidance Att. Production koz 222 157 257 AISC US$/oz 1,259 1,903 1,281 10% of Group managed AIC US$/oz 1,259 2,012 1,340 production Net cash flow* US$m 15 (128) * Excluding project capital ● South Deep restructuring announced at end-2018 was fully embedded during 2019 ● 4
Slide 25: South Deep: key metrics
South Deep: key metrics m/rig/month Development metres advanced m/rig/month Destress metres advanced 90 14 45 41 9 78 80 12 40 8 69 70 35 31 7 59 10 60 30 26 6 50 8 25 5 40 6 20 4 30 15 3 4 20 10 2 10 2 5 1 0 0 0 0 2017 2018 2019 2017 2018 2019 Development metres advance No. of rigs (rhs) Detress me
Slide 26: Outlook
Outlook
Slide 27: Tactical hedging
Tactical hedging Underwriting debt reduction ● Oil hedge Australia: ̵ 75 million litres at an equivalent Brent Crude swap price of US$57.4/bbl hedged for the period January 2020 to December 2022 Ghana: ̵ 123.2 million litres at an equivalent Brent Crude swap price of US$59.2/bbl hedged for the perio
Slide 28: 2020 outlook and guidance
2020 outlook and guidance 2020 Group guidance ● Attributable equivalent gold production: 2.275Moz – 2.315Moz ● AISC: US$920/oz – US$940/oz ● AIC: US$1,035/oz – US$1,055/oz ● AIC excluding Salares Norte expenditure: US$975/oz – US$995/oz Focus areas for 2020 ● Gruyere: first full year of operation ●
Slide 29: Thank you
Thank you QUESTIONS AND ANSWERS