Integrated Annual Review 2012 Annual Financial Report 2012 Mineral Resources and Mineral Reserves Regional overview  
 

Introduction

Figure 1: Key operating statistics (pre-unbundling)

Mine Managed
production
(Au-Eq
’000oz)
  Attributable
production
(Au-Eq
’000oz)
  Total
cash cost
(US$/oz
  NCE
margin
(%)
  Mineral
Reserves
(million
Au oz)1
  Mineral
Resources
(million
Au oz)1
  Mine
employee2
  Lost-time
injury
frequency
rate
 
Australasia                                
Agnew 177   177   827   29   1.15   3.50   256   3.933  
St Ives 450   450   931   4   2.19   4.72   652   3.494  
South Africa                                
Beatrix 289   289   1,118   16   3.36   8.43   9,222   3.54  
KDC 935   935   1,076   16   10.17   65.81   26,159   8.10  
South Deep 270   270   1,105   (37)   36.02   73.03   3,540   1.95  
South America                                
Cerro Corona 342   337   492   52   2.74   3.65   373   0.00  
West Africa                                
Damang 166   149   918   2   3.68   7.59   1,132   0.36  
Tarkwa 719   647   673   37   9.07   13.11   2,769   0.15  

1 Attributable
2 Includes permanent employees and temporary employees (i.e. contractors on the payroll) at the mining operations
3 Excluding restricted work cases; 16.69 if restricted work cases are included
4 Excluding restricted work cases; 23.17 if restricted work cases are incl

About Gold Fields

Gold Fields (following the unbundling of Sibanye Gold) is a large unhedged producer of gold with attributable annual production of approximately 2 million gold ounces from six operating mines in Australia, Ghana, Peru and South Africa. The new Gold Fields also has an extensive and diverse global growth pipeline with four major projects in resource development and feasibility.

The new Gold Fields has total attributable gold Mineral Reserves of 54.9 million ounces and Mineral Resources of 125.5 million ounces. Gold Fields is listed on the JSE Limited (primary listing), the New York Stock Exchange (NYSE), NASDAQ Dubai Limited, Euronext in Brussels (NYX) and the Swiss Exchange (SWX).

In February 2013, Gold Fields unbundled its KDC and Beatrix mines in South Africa into a separately listed company, Sibanye Gold.

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.

Such forward looking statements involve known and unknown risks, uncertainties and other important factors that could cause the actual results, performance or achievements of the Company to be materially different from the future results, performance or achievements expressed or implied by such forward looking statements.

Such risks, uncertainties and other important factors include among others: economic, business and political conditions in Australia, Ghana, Peru, South Africa and elsewhere; the ability to achieve anticipated efficiencies and other cost savings in connection with past and future acquisitions, exploration and development activities; decreases in the market price of gold and/or copper; hazards associated with underground and surface gold mining; labour disruptions; availability, term and deployment of capital or credit; changes in government regulations, particularly environmental, and new legislation affecting mining and mineral rights; changes in exchange rates; currency devaluations; inflation and other macro-economic factors; industrial action; temporary stoppages of mines for safety and unplanned maintenance; and the impact of the HIV/AIDS crisis in South Africa.

These forward looking statements speak only as of the date of this document. The Company undertakes no obligation to update publicly or release any revisions to these forward looking statements to reflect events or circumstances after the date of this document or to reflect the occurrence of unanticipated events.

Figure 2: Average exchange rates and commodity prices

    2012   2011   2010  
  R/US$ 8.19   7.22   7.32  
  US$/A$ 1.04   1.03   0.92  
  Gold (US$/oz) 1,654   1,569   1,220  
  Gold (R/kg) 435,584   364,216   287,150  
  Gold (A$/oz) 1,613   1,541   1,323  

About this report

Our Integrated Annual Report 2012, which covers the year to end-December 2012 is made up of the following three volumes:

  • The Integrated Annual Review 2012, which examines the integrated nature of our operational and sustainability performance
  • The Annual Financial Report 2012, which fulfils our statutory financial reporting requirements. The financial results of Sibanye Gold are treated as ‘discontinued operations’ in the financial statements
  • The Mineral Resources and Mineral Reserves Overview 2012, which provides detailed technical and operational information on our mines and growth projects

This Integrated Annual Review provides an overview of Gold Fields six global operations on a Group and mine-by-mine basis – as well as the two discontinued operations now under Sibanye Gold (which is also producing its own separate 2012 Annual Report). The report also describes our exploration and business development activities. We do this using an integrated approach to reporting that examines our operational, sustainability and financial performance.

The aim of our integrated approach is to enable investors and other stakeholders – including host governments, local communities and our employees – to make a more informed assessment of the value of Gold Fields and our ability to flourish in the new growth environments of tomorrow.

We believe the Integrated Annual Review, together with additional documents held online, represents an A+ application of the Global Reporting Initiative (GRI) G3.1 Sustainability Reporting Guidelines, which is the widely recognised best-practice benchmark for corporate reporting.

Our auditors KPMG have provided assurance on selected sustainability information in this report. As a member of the International Council on Mining & Metals (ICMM) we are committed to obtain assurance in line with the ICMM Sustainable Development Framework: Assurance Procedure. KPMG has provided assurance on all five subject matters of the ICMM, which include our GRI A+ self-declaration as well as our selected sustainability performance data. The assured data and KPMG’s Assurance opinion are on pages 164 and 159 respectively.

This Integrated Annual Review also forms part of our Communication on Progress to the United Nations Global Compact. A summary of our compliance with the GRI and the 10 Principles of the United Nations Global Compact – as well as our alignment with related standards including the Millennium Development Goals (MDGs) and the ICMM 10 Principles – is presented online.

“Integrated Reporting brings together the material information about an organisation’s strategy, governance, performance and prospects in a way that reflects the commercial, social and environmental context within which it operates. It provides a clear and concise representation of how an organisation demonstrates stewardship and how it creates value, now and in the future.”

International Integrated Reporting Committee, Towards Integrated Reporting – Communicating Value in the 21st Century.


Online www.sibanyegold.co.za

Online www.globalreporting.org

Onlinewww.unglobalcompact.org

Online www.un.org

Online www.icmm.com

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External web link provides reference to online disclosure
Further content online

Names
Unless otherwise indicated, all references to ‘Gold Fields’ refers to Gold Fields as at 31 December 2012 (i.e. includes Sibanye Gold assets). All references to ‘New Gold Fields’ refers to Gold Fields following the unbundling of Sibanye Gold.

Gold Fields in numbers

Figure 3: Group operating statistics (pre-unbundling and broken-down)

Category 2012   2011   2010   2009   2008  
Gold produced – attributable (kg)
101,216   108,408   108,802   111,421   103,541  
Discontinued operations (Sibanye Gold) 38,059   45,005        
Continuing operations (New Gold Fields) 63,157   63,403        
Gold produced – attributable ('000oz)
3,254   3,485   3,497   3,582   3,329  
Discontinued operations (Sibanye Gold) 1,224   1,447        
Continuing operations (New Gold Fields) 2,030   2,038        
Total cash cost (R/kg)
235,451   184,515   165,526   146,456   138,665  
Discontinued operations (Sibanye Gold) 285,851   220,224        
Continuing operations (New Gold Fields) 206,531   161,548        
Total cash cost (US$/oz)
894   795   703   540   526  
Discontinued operations (Sibanye Gold) 1,086   949        
Continuing operations (New Gold Fields) 784   696        
Notional Cash Expenditure (NCE) (R/kg)
362,331   272,224   239,796   210,215   210,827  
Discontinued operations (Sibanye Gold) 367,338   284,055        
Continuing operations (New Gold Fields) 359,448   264,615        
Notional Cash Expenditure (NCE) (US$/oz)
1,376   1,173   1,019   776   800  
Discontinued operations (Sibanye Gold) 1,395   1,224        
Continuing operations (New Gold Fields) 1,365   1,140        
Gold price (R/kg)
435,584   364,216   287,150   261,517   228,160  
Gold price (US$/oz)
1,654   1,569   1,220   965   865  
Operating costs (Rm)
24,674   21,312   20,082   18,368   16,026  
Discontinued operations (Sibanye Gold) 10,874   9,861        
Continuing operations (New Gold Fields) 13,800   11,451        
Operating costs (US$m)
3,013   2,952   2,743   2,174   1,954  
Discontinued operations (Sibanye Gold) 1,328   1,366        
Continuing operations (New Gold Fields) 1,685   1,586        
Operating profit (Rm)
20,976   21,112   14,469   13,589   9,427  
Discontinued operations (Sibanye Gold) 5,680   6,752        
Continuing operations (New Gold Fields) 15,296   14,360        
Operating profit (US$m)
2,561   2,924   1,977   1,608   1,150  
Discontinued operations (Sibanye Gold) 693   935        
Continuing operations (New Gold Fields) 1,868   1,989        
Operating margin (%)
46   50   42   43   37  
Discontinued operations (Sibanye Gold) 34   41        
Continuing operations (New Gold Fields) 53   57        
NCE margin (%)
17   25   16   20   8  
Discontinued operations (Sibanye Gold) 16   23        
Continuing operations (New Gold Fields) 18   27        

Figure 4: Group financial statistics (pre-unbundling and broken-down)

Category 2012   2011   2010   2009   2008  
Revenue (Rm)
45,469   41,877   34,391   31,772   25,360  
Discontinued operations (Sibanye Gold) 16,553   16,613        
Continuing operations (New Gold Fields) 28,916   25,264        
Basic earnings – cents per share
778   973   161   492   400  
Discontinued operations (Sibanye Gold) 433   348        
Continuing operations (New Gold Fields) 345   625        
Headline earnings – cents per share
816   970   177   611   406  
Discontinued operations (Sibanye Gold) 434   348        
Continuing operations (New Gold Fields) 382   622        
Dividends declared – cents per share
235   330   140   130   215  
Total assets (Rm)
95,046   83,352   71,061   66,276   66,402  
Discontinued operations (Sibanye Gold) 20,413   n/a        
Continuing operations (New Gold Fields) 74,632   n/a        
Shareholders' equity (Rm)
53,157   48,062   46,623   44,725   43,282  
Cash and cash equivalents (Rm)
5,619   6,049   5,464   1,828   1,054  
Discontinued operations (Sibanye Gold) 423   n/a        
Continuing operations (New Gold Fields) 5,196   n/a        
Cash flows from operating activities (Rm)
8,864   14,213   12,373   8,597   7,362  
Discontinued operations (Sibanye Gold) 3,937   6,145        
Continuing operations (New Gold Fields) 4,927   8,068        
Cash generated/(utilised) (Rm)
(769)   (80)   3,867   852   (533)  
Discontinued operations (Sibanye Gold) 5,030   3,141        
Continuing operations (New Gold Fields) (5,799)   (3,221)        
EBITDA (Rm) 20,976   21,112   14,469   13,589   9,427  
Discontinued operations (Sibanye Gold) 5,680   n/a        
Continuing operations (New Gold Fields) 15,296   n/a        
Net debt (Rm) 14,617   9,460   3,974   6,669   9,354  
Discontinued operations (Sibanye Gold) 3,797   n/a        
Continuing operations (New Gold Fields) 10,820   n/a        
Net debt: EBIDTA 0.70   0.45   0.27   0.49   0.99  
Discontinued operations (Sibanye Gold) 0.67   n/a        
Continuing operations (New Gold Fields) 0.71   n/a        

Figure 5: Group sustainability statistics (pre-unbundling and broken-down)1

Category 2012   2011   2010   2009   2008  
Total economic contribution (Rm)
34,611   26,629   25,658   22,794   20,557  
Total economic contribution (US$m)
4,226   3,688   3,506   2,704   2,506  
Socio-economic development spend (US$m)
1362   54   67   11   14  
Discontinued operations (Sibanye Gold) 111   39        
Continuing operations (New Gold Fields) 24   14        
Total employees
48,1203   46,378   47,268   51,122   49,325  
Discontinued operations (Sibanye Gold) 38,436   38,263        
Continuing operations (New Gold Fields) 9,684   8,115        
Employee wages and benefits (Rm)
8,790   7,951   7,514   6,612   5,804  
Discontinued operations (Sibanye Gold) 5,791   5,592        
Continuing operations (New Gold Fields) 2,999   2,359        
Fatalities
16   20   18   26   31  
Discontinued operations (Sibanye Gold) 16   19        
Continuing operations (New Gold Fields) 0   1        
Lost-time injury frequency rate (LTIFR)
5.164   4.69   4.39   3.91   5.34  
Discontinued operations (Sibanye Gold) 6.90   6.71        
Continuing operations (New Gold Fields) 0.91   0.35        
CO2 emissions ('000 tonnes)5
5,112   5,298   5,350   5,507   5,212  
Discontinued operations (Sibanye Gold) 3,878   4,094        
Continuing operations (New Gold Fields) 1,234   1,203        
Electricity consumption (MWh)
5,219,652   5,469,784   5,580,332   5,465,628   5,185,927  
Discontinued operations (Sibanye Gold) 3,835,194   4,070,499        
Continuing operations (New Gold Fields) 1,384,459   1,399,285        
Water withdrawal (million liters)
88,477   78,236   76,326   72,403   75,950  
Discontinued operations (Sibanye Gold) 64,788   49,197        
Continuing operations (New Gold Fields) 23,688   29,040        

1 Assured sustainability data for the year ended 31 December 2012 are provided on p164 and p165
2 Higher figure reflects the inclusion of maintenance provisions and operating costs in 2012
3 This number includes employees at Growth and International Projects for the first t
4 Including restricted work cases for Australasia; 4.66 if Australasia restricted work cases are excluded
5 Does not include fugitive mine methane emissions

Figure 6: Group currency and share price statistics

Category 2012   2011   2010   2009   2008  
Closing rate US$1 = R
8.57   8.13   6.75   7.51   9.65  
Ordinary share price – high (R)
115.10   143.00   125.90   123.50   135.00  
Ordinary share price – low (R)
84.16   95.60   83.80   77.37   54.00  
Ordinary share price – year – end (R)
90.95   109.23   120.60   97.98   91.90  
Average daily volume of shares traded in JSE (million)
2.3   2.2   2.3   2.9   3.1  
American Depository Receipts (ADRs) (US$) – high
14.56   18.55   18.49   15.82   17.61  
American Depository Receipts (ADRs) (US$) – low
9.74   13.80   11.08   7.94   4.90  
American Depository Receipts (ADRs) (US$) – year end
10.75   16.28   18.13   13.11   9.93  
Average daily volume of shares traded in NYSE (million)
4.0   4.0   4.9   6.7   7.5  
Number of shares in issue at year – end (million)
729.5   723.7   720.8   705.4   653.4  
Market capitalisation at year – end (Rbn)
75.7   90.2   86.9   69.1   60.1  
Total asset value per share (R)
129.76   115.17   98.59   93.96   101.62  

Figure 7: Group attributable Mineral Resources and Mineral Reserves

Resources, including growth projects and Sibanye   Reserves, including growth projects and Sibanye
Resources, including growth projects and Sibanye  

Reserves, including growth projects and Sibanye

Figure 8: Total economic contribution compared between 2008 and 2012 (US$m – pre-unbundling)

2008 (US$2,504 million)   2012 (US$4,226 million)
2008 (US$2,504 million)   2012 (US$4,226 million)