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Corporate Brochure


  • Gold Fields is an unhedged, globally diversified producer of gold with eight operating mines in Australia, Ghana, Peru and South Africa, all with attributable annual gold production of approximately 2.22 million ounces. At the end of December 2013, Gold Fields attributable Mineral Reserves totalled 49 million ounces and Mineral Resources equated to 113 million ounces. We spoke with Managing Director, Alfred Baku, regarding this.



    GOLD FIELDS GHANA233 (0)302 770189


  • In Ghana, Gold Fields has two subsidiary companies, which each operate a producing mine (Tarkwa Gold Mine and Damang Gold Mine respectively) and in 1996, GFG and the Government of

    Ghana signed a management contract to take over what was then

    the State Gold Mining Company (SGMC) in Tarkwa.

    In 2001, Gold Fields signed an agreement to purchase an

    interest in the Damang Gold Mine, operated by Abosso Goldfields

    Limited, Baku explains, The Government of Ghana owns a 10%

    interest in each of Gold Fields Ghana Limited, Tarkwa Gold Mine

    and Abosso Goldfields Limited, Damang Gold Mine.

    GFG operations focuses on 4 key pillars, which are financial,

    business optimisation, people and social license. Financial aims at

    keeping operations sustainable to generate free cash for investors

    and not just producing ounces at any cost. Business optimisation

    looks to ensure efficiency from existing assets; brownfields/near

    mine exploration. Relates to a commitment to invest into training

    and development of every member of staff and social license is the

    desire to operate and create a shared value.

    We mine and process gold, Baku explains, Gold Fields Ghana carries out open pit mining at both our Tarkwa and Damang Gold Mines.

    According to Baku, both Mines employ a Carbon-In-Leach (CIL)

    recovery process, producing over 730,000 ounces of gold. The CIL

    plant at the Tarkwa Gold Mine has a current throughput capacity of

    approximately 13.3 million tons per annum, whilst at the Damang

    Gold Mine; the current capacity is approximately 4 million tons per



    Gold Fields has a primary listing on the Johannesburg Stock Exchange, with secondary listings on the New York Stock Exchange (NYSE), NASDAQ Dubai Limited, Euronext in Brussels (NYX) and the Swiss Exchange (SWX).

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    As of December 2013, the total mineral resource of both mines

    was 16.9 million ounces with total mineral reserves of 8.3 million

    ounces. The 2 producing mines in the West Africa Region account

    for 16% of Gold Fields Groups Mineral Resource and 16% of the

    Mineral Reserve base, excluding growth projects.

    KEEPING MINING SAFEGold Fields has a strong focus on safety and social development,

    Safety is the backbone of the companys DNA, Baku says, Gold

    Fields has publicly pledged that if we cannot mine safely that we

    will not mine, which demonstrates the companys commitment to

    the safety of its employees, communities and the environment.

    GFG was the first mining company in Ghana to set up a

    Foundation for the development of its host communities. Called

    the Gold Fields Ghana Foundation, it is made up of independent

    persons from the majority of people sitting on the Board of Trustees

    of the Foundation.

    Both operating mines donate US$1 per ounce of gold produced,

    plus an additional 0.5% of pre-tax profit to the Foundation, he

    explains, And to date, the Gold Fields Ghana Foundation has

    spent over US$26Million on community development, in the key

    areas of education, health, water and sanitation, agriculture and

    agribusiness and infrastructure.

    Additionally, GFG has spent close to US$15Million on sports

    development in Ghana, mainly on soccer and the development of

    golf and they were also the main sponsor of Ghanas national team,

    the Black Stars, in the run up to the 2006 and 2010 FIFA World


    LOAD SHEDDINGS AND DROPSThe industry is currently facing the effects of unstable power

    supply, high energy costs and increased cost of other inputs, which

    includes labour, Baku reflects, This is compounded by the low

    price of gold and a strict fiscal environment.

    To illustrate, in Q4 2014, the mines were affected by

    load shedding of up to 25% and these disruptions have been

    accommodated through the use of standby generators which

    ultimately increases the overall costs of production.

    As the mining industry is long term in nature, it is heavily reliant

    on a stable fiscal situation and other fundamentals, which allow

    mining companies to accurately assess the potential life of mine

    for each project, he says, The Government of Ghana is currently

    in the process of streamlining investor stability agreements for the

    industry but in the meantime we suffer these problems,

    HANDS ON APPROACHBetween the two mines, Gold Fields Ghana provides

    employment to almost 6,000 employees, directly and through

    contracting and have adopted global best practise training

    standards, employing specific management and technical training

    programmes, which are run regularly depending on the needs and competency of each staff member.

    Gold Fields strongly believes that the success of the company

    is intimately tied to the growth and development of its employees,

    Baku says, Employee development is one of the key strategic focus

    areas of the company.

    MINING FOR THE FUTUREWithin the next three years Gold Fields Ghana aims to reach

    sustainable operations that can produce at least 1,000,000 ounces

    per annum at an all-in cost (AIC) of US$1,000 per ounce with zero

    lost time injuries. This will be achieved through business process

    re-engineering and complementary strategies. Embedding a

    sustainable power strategy for the Tarkwa and Damang mines,

    will come primarily through a Power Purchase Agreement with an Independent Power Provider, as well as through efficient reserve

    power plant capacities. Focussing on growth through a combination

    of near mine and brownfields exploration at the same mines, so as

    to increase mineable resources and processing capacity at existing

    plants will enhance production whilst reducing overall associated


    Baku highlights that this will help generate dividends for their

    investors and stakeholders, which will result in growing the margin

    and not just gaining ounces. The aim is to generate a 15% free

    cash flow margin @ US$1300/oz gold price, In so doing we have

    committed to ensure that there is no marginal mining, instead

    we focus on quality mining, he says, This also requires a strong

    focus on protecting the sustainability of ore bodies by investing in

    development and stripping.