Gold Fields

Corporate

Mineral resources and mineral reserves

There were no changes to the Mineral Resources and Mineral Reserves from what was previously reported by the Group at 31 December 2020.

Climate change report and report to stakeholders

On 29 April 2021, Gold Fields released its two key ESG reports that profile the Company's work in this area: the 2020 Report to Stakeholders and the 2020 Climate Change Report, aligned with the recommendations of the Task Force on Climate-Related Financial Disclosure (TCFD).

2020 Climate Change Report

This is the third report produced in line with the TCFD recommendations. These are the key content items from the report:

  • A comprehensive risk and vulnerability assessment per region and key adaptation measures to address these impacts and risks.
  • A summary of our climate change and water stewardship policy statements.
  • Our strategic priority in pursuing decarbonisation and building resilience to climate change in line with our commitment to the Paris Agreement.
  • Gold Fields' journey to decarbonisation – we provide a clear roadmap indicating our strategy, supported by implementation projects, with targets to reach net zero carbon by 2050.
  • Integration of climate change and water stewardship into our operational management.
  • Details of how technology and innovation are critical in our journey towards decarbonisation.

The 2020 Report to Stakeholders

Our stakeholder relationship and engagement policy, which aligns to the King IV Code on Corporate Governance, commits us to a stakeholder inclusive approach that balances the needs of the Company with those of our stakeholders. In this report, our second Report to Stakeholders, we seek to demonstrate how we implement this commitment. The report covers:

  • How we distributed value of US$2.85bn to our key stakeholders, including our employees, business partners, communities, governments, and capital.
  • Prioritisation of community value creation, which totalled US$676m in 2020, through the employment of host community members, sourcing goods and services from companies based in our host communities and socio-economic development investments.
  • The relevant strategic priorities of our recently launched ESG Charter.
  • Detailed coverage of how each of our countries of operations have responded to the Covid-19 pandemic, including sustaining our mines and supporting our host communities and governments.
  • Successes and challenges that we face in delivering value to our stakeholders.

Gold Fields has also published a new portal on all aspects of its Tailings Storage Facilities (TSF) management. It can be found on our website at www.goldfields.com/environment-tsf.php. On this portal you can find out about the company's TSF stewardship, performance, and management, including an interactive map showing the details of our 37 TSFs.

South Deep solar project

On the 5 May 2021, Gold Fields Board of Directors gave the green light for the construction of a 40MW solar plant at the South Deep mine in South Africa. This follows the granting of a licence by the National Energy Regulator of South Africa on 25 February 2021.

The 40MW solar plant will generate over 20% of the average electricity consumption of the mine. It will comprise 116,000 solar panels and cover a 118ha area roughly the size of 200 soccer fields and will be on mine property.

The estimated capital investment for the plant is R660m, including contingencies and escalation. This will be funded from the mine's positive cash flows over the next two years. The use of self-generated, renewable energy will translate into savings of around R120m on the cost of electricity a year. South Deep is currently finalising procurement strategies and contractor criteria for the construction of the plant. The plant is expected to be commissioned during Q2 2022.

During 2020, renewable electricity averaged 3% of Gold Fields Group electricity. Once the South Deep project is commissioned, renewable's contribution to the Group total will rise to approximately 11%.

240 jobs will be created during the construction phase, while a team of 12 people will be required to operate the plant once operational. As far as possible, goods and services required to build the plant will be sourced locally within South Africa.

Gold Fields Chairperson Cheryl Carolus to step down at 2022 Annual General Meeting (AGM)

On the 6 May 2021, Gold Fields Chairperson Cheryl Carolus announced that she will step down from her role and as a nonexecutive director with effect from the Annual General Meeting (AGM) in 2022.

Ms Carolus has been a non-executive director of Gold Fields since 2009 and its Chairperson since 2013. The Nominating and Governance Committee of the Board will commence the search for a new Chairperson shortly.

South Deep and the NUM and UASA reached a three-year wage agreement

On the 11 June 2021 Gold Fields' South Deep Gold Mine and the NUM and UASA trade unions concluded a three-year wage agreement for the period 1 March 2021 to 28 February 2024.

The parties believe that the agreement is in the best interest of employees and the mine's long-term sustainability.

The agreement provides for the following:

  • Category 4 – 8 employees will receive a wage increase of 8% in year 1, and 8% or CPI (whichever is the greater) in years 2 and 3.
  • Miners, Artisans and Officials will receive a wage increase of 6% in year 1, and 6% or CPI (whichever is the greater) in years 2 and 3.
  • CPI-related increases will also be applied to housing allowances. Living-out allowances will be phased out over the three-year period, as required by the Department of Mineral Resources and Energy, and as the mine rolls out its housing strategy.

The total increase of the settlement amounts to an average increase of 6.5% a year over the three-year period.

A range of non-wage related issues have also been agreed to, including an alignment of leave and shift configurations, as well as amendments to other conditions of employment with a view to standardise them across all occupational levels and simplifying associated administrative processes.

Cash dividend

In line with the Company's dividend policy, the Board has approved and declared an interim dividend number 94 of 210 SA cents per ordinary share (gross) in respect of the six months ended 30 June 2021. The interim dividend will be subject to the Dividend Withholding Tax of 20 per cent. In accordance with paragraph 11.17 of the JSE Listings Requirements, the following additional information is disclosed:

  • The dividend has been declared out of income reserves;
  • The gross local dividend amount is 210 SA cents per ordinary share for shareholders exempt from dividends tax;
  • The Dividend Withholding Tax of 20 per cent (twenty per centum) will be applicable to this dividend;
  • The net local dividend amount is 168 SA cents per ordinary share for shareholders liable to pay the dividends tax;
  • Gold Fields currently has 887,717,348 ordinary shares in issue; and
  • Gold Fields' income tax number is 9160035607.

Shareholders are advised of the following dates in respect of the final dividend:

  • Interim dividend number 94: 210 SA cents per share;
  • Declaration date: Wednesday, 18 August 2021
  • Last date to trade cum-dividend: Tuesday, 7 September 2021;
  • Sterling and US Dollar conversion date: Wednesday, 8 September 2021;
  • Shares commence trading ex-dividend: Wednesday, 8 September 2021;
  • Record date: Friday, 10 September 2021; and
  • Payment of dividend: Monday, 13 September 2021.

Share certificates may not be dematerialised or rematerialised between Wednesday, 8 September 2021 and Friday, 10 September 2021, both dates inclusive.