IN THIS SECTION
Arrow Global footprint
Arrow Introduction
Arrow Key year-on-year changes in Resources and Reserves
Arrow Corporate Governance
Arrow Leveraging future value
Arrow Reporting code and code of practice
Arrow South African minerals legislation
Arrow Assessment and reporting criteria
Arrow Classified mineral resource and mineral reserve statement
Arrow Attributable resources and reserves per operation and per region
Arrow Reconciliation of resource and reserve depletions and growth
Arrow On-mine exploration
   
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Reporting code and code of practice

Gold Fields reports its Resources and Reserves in accordance with the SAMREC Code, taking cognisance of other relevant International Codes where geographically applicable, such as SEC Industry Guide 7, Australian JORC Code and Canadian NI 43-101.

The SAMREC Code was prepared under the auspices of the South African Institute of Mining and Metallurgy, which came into effect in March 2000 and was subsequently updated in 2007. It sets out minimum standards, recommendations and guidelines for the public reporting of exploration results, and Resources and Reserves. The main principles governing the operation and application of the Code are transparency, materiality and competence. SAMREC has been incorporated into the rules of the Johannesburg Securities Exchange (JSE) regarding listing requirements and continuing obligations.

The SAMREC Code defines three categories of Resource (Measured, Indicated and Inferred) and two categories of Reserve (Proved and Probable). Measured Resources have the highest level of predictive confidence, with Inferred Resources having the lowest level of confidence. A Reserve is that portion of the Measured or Indicated Resource that has been shown to be economically mineable.

Proved Reserves are derived from the Measured Resource, whilst Probable Reserves are usually derived from the Indicated Resource.

The relationship between Resources and Reserves is illustrated below:

Resource categorisation is generally based on geological continuity and structural complexity, grade variance, drill hole spacing, mining infrastructure, development, kriging efficiencies, and the regression slope of kriged estimates. Reserves are that portion of the Resource which has been planned and scheduled, and for which positive economics have been valued at the declaration gold price. Reserve estimates are based on many modifying factors including estimates of future production costs, capital expenditure, and the US dollar (US$) exchange rate.