Business Context and Reporting Period
This Form 6-K filing by Gold Fields Limited covers the month of October 2008, specifically addressing a media release dated October 16, 2008. Gold Fields is a major unhedged gold producer with operations in South Africa, Ghana, Australia, and Peru. The company reported attributable production of 3.64 million ounces per annum from eight operating mines, with a ninth mine, Cerro Corona in Peru, commencing production in August 2008.
Key Financial Metrics
The filing text does not provide specific financial values for revenue, profit, cash flow, margins, debt, or liquidity for the reporting period. The document focuses exclusively on operational safety incidents and general production capacity.
Material Changes and Operational Events
- Fatal Accident: A seismic event occurred at the Driefontein Gold Mine in South Africa, resulting in two fatalities. The body of a second employee was recovered on October 16, 2008.
- Operational Halt: All operations at the Driefontein Gold Mine were suspended pending an on-site investigation by the Department of Minerals and Energy.
- Production Expansion: The Cerro Corona Gold/Copper mine in Peru began production in August 2008 at an initial rate of approximately 375,000 gold equivalent ounces per annum.
Outlook, Risks, and Management Commentary
Management has not provided updated financial guidance in this specific filing. However, the company previously stated an aim to reach a production rate of approximately 4.0 million ounces per annum during the March quarter of 2009. The primary risk highlighted is the safety incident at Driefontein, which has led to an immediate cessation of operations at that site and an ongoing regulatory investigation.
Key Facts for Investor Verification
- Confirm the duration of the operational shutdown at Driefontein Gold Mine and the expected timeline for resumption.
- Verify the potential financial impact of the Driefontein accident on Q4 2008 production targets and costs.
- Monitor the progress of the Department of Minerals and Energy investigation regarding the seismic event.
- Assess whether the Cerro Corona mine is meeting its initial production rate of 375,000 gold equivalent ounces per annum.