SYDNEY and JOHANNESBURG, Jan. 11 /CNW/ - Gold Fields Limited ("Gold
Fields") (NYSE, JSE, DIFX: GFI) and Sino Gold Mining Limited ("Sino Gold")
(ASX: SGX, SEHK: 1862) are pleased to announce the first joint venture entered
into by the Sino Gold Fields Alliance ("SGF Alliance") in China.
Gold Fields is the single largest shareholder in Sino Gold. The SGF
Alliance was established with the aim of discovering large gold deposits in
China containing reserves of at least 5,000,000 gold-equivalent ounces with
the potential to produce approximately 500,000 ounces per annum, exploring
primarily for large bulk-mineable styles of gold and/or gold-copper
During 2007, the SGF Alliance undertook a thorough analysis and ranking
of 58 mineral belts in China. Four mineral belts were selected as priority
belts for the SGF Alliance to explore.
The property to be explored by the SGF Alliance is the Bengge Exploration
Licence, which is located in the Pulang Belt in Yunnan Province. The SGF
Alliance will acquire an initial 20% from Kunming Jinsanjiang Mineral Products
Company and has the right to acquire up to 97% upon meeting agreed expenditure
A number of porphyry copper-gold deposits are known within the same belt
in Yunnan Province, most notably the world-class Pulang copper-gold deposit.
The Bengge property is located approximately 40km south-southeast of Pulang
and approximately 400km northwest of Kunming, the provincial capital.
Bengge contains known porphyry gold-copper mineralisation which is hosted
in sheeted arrays of parallel, low-sulphide, narrow quartz veins in several
Exploration aims to delineate a large deposit amenable to bulk, open-pit
mining. Geological mapping, surface sampling, trenching and aditing have been
undertaken at Bengge but not drilling.
Drilling at Bengge is intended to commence in mid-2008 following an
initial exploration program to define drill targets and receipt of requisite
approvals from the relevant Chinese authorities.
About Gold Fields
Gold Fields Limited is one of the world's largest unhedged producers of
gold with production from eight operating mines in South Africa, Ghana and
A ninth mine, the Cerro Corona Gold/Copper mine in Peru, is expected to
commence production by mid 2008.
Gold Fields employs some 47,000 permanent employees across its operations
and is listed on the JSE Limited South Africa (primary listing), the New York
Stock Exchange (NYSE) and the Dubai International Financial Exchange (DIFX).
All of Gold Fields' operations are ISO14001 certified. For more
information please visit the Gold Fields website at www.goldfields.co.za.
About Sino Gold
Sino Gold has been active in China since 1996 and owns 82% of the Jinfeng
gold mine in Guizhou Province, southern China. Jinfeng is expected to be one
of the largest gold mines in China when the project achieves planned initial
production. Sino Gold aims to increase Jinfeng's gold production to optimal
levels as quickly as possible.
The White Mountain project in Jilin Province, northeast China, is now
being developed into Sino Gold's second mine.
In December 2007, Sino Gold completed the takeover of Golden China
Resources Corporation and announced the Eastern Dragon acquisition.
Sino Gold is a producing gold company actively pursuing a discovery and
acquisition strategy in China. With a "first mover" advantage, it holds a
strong competitive position in China.
Sino Gold is listed on the Australian Securities Exchange (ASX Code: SGX)
and the Stock Exchange of Hong Kong (SEHK Code: 1862).
Cautionary Statement on Forward-Looking Information
There can be no assurance that the Bengge transaction will be completed
on terms acceptable to Sino Gold and Gold Fields, or at all, or, if the Bengge
is completed that it will prove viable or profitable for Sino Gold or Gold
Fields, or that either party will not face difficulties in managing the
investment or integrating the joint venture with its operations or that it
will be able to achieve the strategic purpose of such a joint venture.
Certain information included in this release, including any information
as to future financial or operating performance and other statements that
express expectations or estimates of future performance, constitute
"forward-looking statements". The words "expect", "will", "intend", "estimate"
and similar expressions identify forward-looking statements. Forward-looking
statements are necessarily based upon a number of estimates and assumptions
that, while considered reasonable by management of Sino Gold and Gold Fields
are inherently subject to significant business, economic and competitive
uncertainties and contingencies. Sino Gold and Gold Fields caution the reader
that such forward-looking statements involve known and unknown risks,
uncertainties and other factors that may cause the actual financial results,
performance or achievements of Sino Gold or Gold Fields to be materially
different from their respective estimated future results, performance or
achievements expressed or implied by those forward-looking statements and the
forward-looking statements are not guarantees of future performance. These
risks, uncertainties and other factors include, but are not limited to:
changes in the worldwide price of gold or certain other commodities (such as
fuel and electricity) and other currencies; changes in U.S. dollar interest
rates or gold lease rates; risks arising from holding derivative instruments;
ability to successfully integrate acquired assets; legislative, political or
economic developments in the jurisdictions in which Sino Gold or Gold Fields
carries on business; operating or technical difficulties in connection with
mining or development activities; employee relations; availability and
increasing costs associated with mining inputs and labour; the speculative
nature of exploration and development, including the risks of diminishing
quantities or grades of reserves, adverse changes in our credit rating,
contests over title to properties, particularly title to undeveloped
properties; and the risks involved in the exploration, development and mining
business. These factors are discussed in greater detail in statutory releases
filed with the applicable securities regulatory authorities.
Sino Gold and Gold Fields disclaim any intention or obligation to update
or revise any forward-looking statements whether as a result of new
information, future events or otherwise, except as expressly required by
For further information:
For further information: Gold Fields: Investor Enquiries: Willie
Jacobsz, +27 82 493 1377, firstname.lastname@example.org; Media Enquiries, Reidwaan
Wookay, +27 11 644 2665 or +27 84 878 4566; Sino Gold: Investor Enquiries,
Jake Klein, CEO or Roger Howe, Investor Relations, +61 2 8259 7000,
email@example.com; Media Enquiries, Kate Kerrison, +61 2 6746 3221,