Business Context and Reporting Period
This Form 6-K filing by Gold Fields Limited covers the period ending January 28, 2008. The company is a major unhedged gold producer with operations in South Africa, Ghana, and Australia, and a developing mine in Peru. The report specifically addresses a critical operational disruption caused by power supply constraints in South Africa.
Key Financial and Operational Metrics
The filing does not provide specific financial figures such as revenue, profit, cash flow, or debt levels for this period. Instead, it focuses on operational capacity metrics:
- Power Supply: Restored to 71% of total average consumption.
- Operational Capacity: Current power is sufficient for essential maintenance, pumping, ventilation, and refrigeration (which normally require 50% of consumption) but is insufficient for production or beneficiation.
- Production Status: Production is currently suspended due to power limitations.
Material Changes and Operational Status
The primary material change reported is the partial restoration of power following a previous outage. While power has been restored to 71% of average consumption, this level remains below the threshold required for gold production. The company has agreed with Eskom (the power utility) to maintain this status quo until at least Wednesday, January 30, 2008, pending further stakeholder meetings to negotiate a sustainable increase in supply.
Outlook, Risks, and Management Commentary
Management indicates that the current power situation prevents the resumption of production or ore processing. The outlook depends on the outcome of upcoming meetings with Eskom and other stakeholders to increase the sustainable power supply beyond the current 71%. The primary risk identified is the continued inability to produce gold due to infrastructure constraints, which directly impacts revenue generation. Shareholders will be updated as new developments occur.
Key Facts for Investor Verification
- Verify the timeline for the next meeting with Eskom and the potential for increased power allocation beyond 71%.
- Confirm the duration of the production suspension and its impact on quarterly output targets.
- Monitor subsequent filings for any updates on the resumption of production or beneficiation activities.
- Note that this filing contains no financial performance data; investors should refer to the most recent Form 20-F for audited financials.