Chairperson's report

"Gold Fields will explore its growth options from a position of strength, bolstered by high-quality mines and projects, a robust balance sheet and world-class operational management."

Yunus Suleman

DEAR STAKEHOLDERS

This is my first report as Gold Fields' Chairperson since I took over from Cheryl Carolus at the Company's AGM on 1 June 2022. It was an eventful year, characterised by our nine-month takeover bid for Yamana Gold, a transaction we ultimately terminated, and leadership changes within the Company. However, as I reflect on the last year and review Gold Fields' performance, I am proud to report that the Group started implementing its new strategy, launched in December 2021, throughout 2022 and emerged from the year in a stronger position.

We maximised the potential from our current assets through people and innovation during 2022. Once again, Gold Fields met its production and cost guidance – one of the few gold miners that achieved this – while our mines generated almost US$900m in cash. This enabled us to fund growth, pay record dividends to shareholders and reduce net debt to the Company's lowest level in over a decade.

In 2022, management started implementing key programmes to evolve Gold Fields' culture, which we identified as part of our strategy development. The Board actively supports building a culture of care and respect among our increasingly diverse, inclusive and supportive workforce. Above all, this means keeping our workforce physically and psychologically safe, and, as such, Gold Fields expanded its definition of zero harm to embed our zero-tolerance approach to harassment, bullying and discrimination. The Board commissioned an independent review for employees to share their experiences in this regard, and we will use the feedback from our people to work with management in addressing any shortcomings. We will release the report's key findings and action programmes in H2 2023.

We still have a lot of work to do in all areas of safety. We recorded a fatal incident at our St Ives mine in Australia and five serious injuries during 2022. Subsequent to year-end, we had a fatal incident at our Tarkwa mine in Ghana, and two contractors died after a vehicle accident at the Galiano Gold-managed Asanko JV, also in Ghana. We again express our heartfelt condolences to the families of those affected and commit our teams to continuously strengthen our safety systems, standards and behaviours.

Successfully managing ESG issues is intrinsic to Gold Fields' long-term success, and we continue to build on our leading commitments to ESG. In December 2021, we took a significant step on this journey by committing to a range of 2030 ESG-related targets for our six sustainability priorities. We started implementing the targets in 2022 and are on track to meet them by 2030.

Two highlights for Pillar 2 during the year included the launch of two new solar plants and the almost US$1bn in value we created for our host communities.

The Yamana Gold transaction sought to address the third pillar of our strategy, namely to grow the value and quality of our portfolio of assets. The Board still believes a successful Yamana Gold bid would have been a composite solution by providing a portfolio of operating mines and a pipeline of longer-term growth or replacement options in favourable jurisdictions. But, in line with the Company's commitment to financial prudence, the Board decided to walk away from the deal when rival bidders emerged. The net break fee of US$202m (after taxes and costs) was a windfall to shareholders by boosting the final dividend and further reducing the Company's debt.

That we ultimately did not go through with the transaction is certainly not a failure of Gold Fields' strategy, as some market participants have suggested. Yamana Gold was not the only option Gold Fields considered when assessing future growth options, and our management team continues analysing other alternatives. Where these alternatives involve potential acquisitions, we are more focused on incremental growth at operational level than on transformational, large-scale mergers and acquisitions.

This approach is evidenced by our announcement on 16 March 2023 of the proposed JV between our Tarkwa mine in Ghana and the neighbouring Iduapriem mine owned by AngloGold Ashanti, with Gold Fields being the managing operator. If supported by the Ghanaian government, it will create Africa's largest gold mine, with almost immediate production and financial benefits (see Overview of our portfolio and growth strategy).

Gold Fields' portfolio remains strong, and we expect medium-term growth to 2.8Moz by 2025 as Salares Norte starts production and South Deep continues its recent ramp-up. Our Australian mines continuously achieve annual production of 1Moz as they successfully invest in near-mine exploration.

We tasked management to explore growth options beyond 2026, after which Group production is set to decline as two of our mines, Damang and Cerro Corona, start to see slowing production. Gold Fields will explore its growth options from a position of strength, bolstered by high-quality mines and projects, a robust balance sheet and world-class operational management.

Now I turn to the recent leadership changes at Gold Fields. Five executives departed the Company or announced their resignations in 2022, which has led to some shareholders expressing concerns. I provide the Board's assurance that strong management and operational teams are in place across the Group, and that the recruitment processes for these roles have been completed or are well advanced. One of the positions has already been filled and capable acting managers have been appointed for the remaining posts until permanent replacements are announced.

The Board supports and respects Chris Griffith's decision to step down as CEO in December 2022. In Martin Preece, appointed with effect from 1 January 2023, we have an Interim CEO who knows the Company and its strategy well, and who has a strong track record of delivery.

In conclusion, I would like to express my sincere gratitude to the many colleagues who supported me in my first year as Gold Fields' Chairperson. Firstly, my thanks go to my fellow directors, many of whom have been on the Board with me for several years. Their support and guidance were invaluable to me, especially over the past few months.

I pay tribute once more to Cheryl Carolus, under whose leadership Gold Fields transformed into a successful, global, modern, transparent and ethical company with sustainability at its core.

Secondly, I thank the Gold Fields management team. We entrust the team to manage the Company for the benefit of all stakeholders, and they succeeded admirably despite last year's challenges. I want to particularly thank the departing executives – Chris Griffith, Taryn Leishman, Avishkar Nagaser, Richard Butcher and Brett Mattison for their years, and in some cases decades, of professionalism and commitment.

Finally, and most importantly, I want to thank the people of Gold Fields. The fact that we emerged from a challenging year with industry-leading financial and operational results is, first and foremost, a reflection of the quality of the teams we have in place at our mines and in our offices. I thank the 23,000-plus employees and contractors of Gold Fields for ensuring we continue to create enduring value for all our stakeholders.

Yunus Suleman

Chairperson