JOHANNESBURG, Aug. 25 /CNW/ - Gold Fields Limited (Gold Fields) (NYSE,
JSE, DIFX: GFI) today published its Resources and Reserves Statement, as at 30
Gold Fields CEO, Nick Holland said: "Gold Fields' 83moz reserve base
remains one of the strongest in the industry and provides Gold Fields with a
robust base from which to pursue its aggressive growth strategy. Central to
this growth strategy is the 251moz of resources which represents significant
organic growth potential at each of our existing mines."
Net of the 5.7moz of depletion over the last 18 months - the sale of the
Choco 10 Gold Mine in Venezuela and the Essakane Project in Burkina Faso; and
inclusive of copper and platinum as gold equivalent ounces:
- Gold Fields' total attributable precious metal Resources have remained
flat at 251moz from 252moz as at December 31 2006 (4% increase in
resources after depletion)
- Gold Fields' total attributable precious metal Reserves have decreased
by 12% to 83moz from 94moz as at December 31 2006 (4% decrease in
reserves after depletion)
The Reserves were calculated using approximate historical three-year
average commodity prices as required by the United States Securities and
Exchange Commission (SEC) guidelines (US$650/oz in Ghana and Peru,
ZAR150,000/kg in South Africa, and AUS$750/oz in Australia). The copper price
used for the reserve calculation is US$1.75/lb.
However, if the Reserves are calculated using gold prices which
approximate the spot price of gold (around US$810/oz), Gold Fields' Reserves
are robust at approximately 91moz. At these prices, which are significantly
higher than the SEC's mandated three-year trading average, the leverage
inherent in Gold Fields' resource base is apparent.
The gold prices used to calculate Resources represent upside potential of
US$ 23%, AUS$ 23% and ZAR 20% above the reserve prices which is more aligned
with recent spot prices, and reflect the very significant upside potential in
the Gold Fields ore bodies. The copper price used for the resource calculation
is US$2.10/lb which reflects the same 20% delta between the gold resource and
Resources are reported inclusive of Reserves, geotechnical support and
The Group's Resource and Reserve statement has been reviewed by the Gold
Fields Board and has been audited and approved by leading independent global
mining consultancies. The statement is SAMREC and Industry Guide 7 (SEC)
compliant and the process followed in producing the declaration is in
alignment with the guiding principles of the Sarbanes-Oxley Code (SOX).
Industry specific statutory codes (SAMREC Code, NI 43-101, JORC, etc.)
are not superseded by the SOX directives, and consequently the Gold Fields
Competent Persons Reports integrate the requirements of the various reporting
codes and present compliant documentation for public reporting.
The pillar and remnant mining review commissioned in April 2008 as part
of Gold Fields' commitment to safety has now been completed. As a result of
the review, 600,000oz of reserves in pillar and remnant areas at Driefontein
have been removed, constituting 3% of the total reserves over the life of that
mine. At Kloof, 5% of the total reserves over the life of the mine have been
removed, amounting to 500,000oz.
Inclusive of the pillar mining impact, production at Driefontein is
projected to be 6,400kg during Q1F2009, stabilising at 6,800kg during Q2F2009
and beyond. Production at Kloof is projected to be 3,900kg during Q1 and
Q2F2009, stabilising at approximately 6,000kg in Q3F2009 and beyond. This is
line with previous guidance provided on 1 August 2008.
The full Gold Fields 2008 Resources and Reserves Supplement will be
published with the Gold Fields F2008 Annual Report on 29 September 2008. Gold
Fields' 2008 Resources and Reserves tables are available on the company
website at http://www.goldfields.co.za.
About Gold Fields
Gold Fields Limited is one of the world's largest unhedged producers of
gold with attributable production of 3,64 million ounces per annum from eight
operating mines in South Africa, Ghana and Australia. A ninth mine, Cerro
Corona Gold/Copper mine in Peru, commenced production in August 2008 at an
initial rate of approximately 375,000 gold equivalent ounces per annum. The
company has total attributable ore reserves of 83 million ounces and mineral
resources of 251 million ounces. Gold Fields is listed on the JSE Limited
(primary listing), the New York Stock Exchange (NYSE) and the Dubai
International Financial Exchange (DIFX), the New Euronext in Brussels (NYX)
and Swiss Exchange (SWX). For more information please visit the Gold Fields
website at http://www.goldfields.co.za.
For further information:
For further information: Media Enquires: Daniel Thole, Tel:
+27-11-644-2638, Mobile, +27-82-929-3672; Investor Enquires: Willie Jacobsz,
Tel: (508) 358-0188, Mobile, (857) 241-7127