Business Context and Reporting Period
This Form 6-K filing by Gold Fields Limited covers the month of October 2008, with the report dated October 17, 2008. Gold Fields is a major unhedged gold producer with operations in South Africa, Ghana, and Australia, and a new mine in Peru. The filing primarily addresses the resumption of production at two South African mines following regulatory intervention.
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. However, it provides the following operational metrics:
- Annual Attributable Production: 3.64 million ounces per annum.
- Operational Footprint: Eight operating mines across South Africa, Ghana, and Australia.
- New Production: Cerro Corona Gold/Copper mine in Peru commenced production in August 2008 at approximately 375,000 gold equivalent ounces per annum.
- Reserves and Resources: Total attributable ore reserves of 83 million ounces and mineral resources of 251 million ounces.
Material Changes
The primary material change reported is the lifting of Section 54 Orders by the South African Department of Minerals and Energy at the Driefontein and Kloof Gold Mines.
- Driefontein Mine: The Section 54 Order was lifted on Thursday evening (prior to October 17), and production has resumed.
- Kloof Mine: The Section 54 Order was lifted on the morning of October 17, 2008, subject to consultation with the Joint Safety Committee regarding remedial actions. Production has resumed.
Guidance, Outlook, and Management Commentary
Management has outlined the following production targets and operational outlook:
- Production Target: The company aims to reach a production rate of approximately 4.0 million ounces per annum during the March quarter of 2009.
- Safety Compliance: The resumption at Kloof is contingent upon ongoing consultation regarding remedial safety actions.
- Risks and Contingencies: The filing highlights the risk of regulatory shutdowns (Section 54 Orders) impacting production capacity, though immediate operations have been restored.
Investor Verification Checklist
- Verify the duration of the production stoppage at Driefontein and Kloof to assess the impact on Q3/Q4 2008 output.
- Confirm the specific remedial actions required at Kloof Mine and the timeline for their completion.
- Monitor the progress toward the 4.0 million ounces per annum target for the March 2009 quarter.
- Review subsequent filings for any financial impact statements regarding the lost production time.