Gold Fields Limited
Incorporated in the Republic of South Africa
Registration number 1968/004880/06
ISIN: ZAE 000018123
* Steady attributable gold production at 1.07 million ounces
* Total cash costs down 2 per cent to R60,709 per kilogram
* Strong Rand results in a 15 per cent reduction in operating profit
to R1.13 billion
* Net earnings of R805 million
* US Dollar earnings up 12 per cent to US$93 million
* US$160 million approved for Tarkwa expansion
STOCK DATA
Number of shares in issue
- at 31 March 2003 472,043,555
- average for the quarter 472,000,578
Free Float 100%
ADR Ratio 1:1
Bloomberg / Reuters GFISJ / GFLJ.J
JSE SECURITIES EXCHANGE SOUTH AFRICA- [GFI]
Range - Quarter ZAR77.25 - ZAR134.70
Average Volume - Quarter 1,271,000 shares / day
NYSE - (GFI)
Range - Quarter US$9.54 - US$15.43
Average Volume - Quarter 1,930,000 shares / day
INVESTOR RELATIONS
Europe & South Africa
Willie Jacobsz
Tel: +27 11 644-2460
Fax: +27 11 484-0639
E-mail: investors@goldfields.co.za
North America
Cheryl A. Martin
Tel: +1 303 796-8683
Fax: +1 303 796-8293
E-mail: camartin@gfexpl.com
www.gold-fields.com
DEAR SHAREHOLDERS
Gold Fields did well to maintain its well-established track record of
consistent and predictable operational performance during the March 2003
quarter, with a good overall performance presented in the fields of safety,
production and cost management.
Production remained steady at about 1,1 million ounces, despite the sale of St
Helena during the previous quarter and the extended Christmas break. Costs were
again well controlled with total cash costs declining from
R61,853 per kilogram to R60,709 per kilogram and Rand per ton costs from
R222 per ton to R201 per ton. This is evidence of the ongoing and intense focus
on cost management, which remains a highest priority at all operations.
Particularly pleasing has been the ability of all of our operations to manage
down the impact of the extensive number of public holidays. Traditionally the
extended Christmas break, and the subsequent slow start-up, plays havoc with
operational results during the March quarter. For the second year in a row our
operational management teams have, through good planning and scheduling, been
able to keep this disruption to a minimum, which reflects in our consistent
operational results.
The surprising strength of the South African Rand has, however, had a marked
impact on operating profit, which declined by 15 per cent to R1.13 billion
during the quarter. Despite this, net earnings were virtually flat quarter on
quarter at R805 million, helped by the opportunistic sale of some of our
non-core holdings in Eldorado Gold Corporation and Glamis Gold Limited, as well
as net gains on financial instruments and foreign debt related to our
Australian operations.
The current strong Rand has resulted in a markedly lower received Rand gold
price. Management's response to this new paradigm will be a focus on continued
cost savings, increased quality volume and possible capital project deferrals.
On 20 March 2003, the South African Government released for public comment the
draft Minerals and Petroleum Royalty Bill. The Bill proposes, inter alia, the
imposition of a three percent royalty charge on the revenues of all South
African gold mining operations, effective on conversion of mining rights as per
the Minerals and Petroleum Resources Development Act passed earlier in this
year.
We are of the opinion that, in its current form, the Bill will have profoundly
negative consequences for the gold mining industry in South Africa. It will,
amongst others, impact on Black Economic Empowerment; reduce the viability of
existing operations; increase pay-limits and, consequently, job losses;
substantially increase hurdle rates for new and organic growth projects and
potentially negate much of the goodwill that has been clawed back after the
damage to investor sentiment caused by the leaked Mining Charter.
Gold Fields has submitted its detailed comments on the Bill through the Chamber
of Mines as well as directly to the Department of Finance and the Department of
Minerals and Energy. We are hopeful for a positive conclusion to this final
chapter in the legislative transformation of the South African mining industry.
Shareholders are reminded that we are approaching the end of our two-year
wage-agreement and negotiations in this regard are about to commence with the
Unions and Associations representing our employees.
On a more positive note, we today announced a US$160 million new capital
investment into our Tarkwa Mine in Ghana, West Africa, for the building of a
new 4.2 million ton per annum mill and CIL facility, as well as conversion of
the entire mine from contractor to owner mining. This investment will increase
annual throughput to 19 million tons of ore per annum and gold production by
some 200,000 ounces per annum.
In addition, feasibility studies into brown fields expansion projects are
continuing at St Ives in Australia and Kloof and Driefontein Mines in South
Africa. All of these projects offer Gold Fields extensive potential for organic
growth.
In conclusion, while the operational outlook is positive for the remainder of
2003, Gold Fields, like the entire mining industry in South Africa, is faced by
a number of significant challenges over the next few months. Your management
team is committed to engage vigorously with each and every one of these
challenges and to seek outcomes that will be beneficial to all stakeholders.
Yours sincerely
ID Cockerill
CHIEF EXECUTIVE OFFICER
8 May 2003
SALIENT FEATURES
SA Rand
Nine months to Quarter
March March March Dec March
2002 2003 2002 2002 2003
kg Gold produced* oz (000) 91,767 102,433 33,620 33,930 33,340
R/kg Total cash $/oz 56,174 61,263 59,138 61,853 60,709
costs
000 Tons milled 000 25,939 32,063 9,910 10,560 10,792
R/kg Revenue $/oz 92,146 100,302 107,732 100,969 95,068
R/ton Operating $/ton 216 216 221 222 201
costs
Rm Operating $m 3,175 4,023 1,614 1,319 1,126
profit
Rm Net earnings $m 1,893 2,164 1,049 817 805
SA earnings US c.p.s. 413 459 224 173 171
c.p.s.
Net earnings
excluding
gains and
losses on
financial
instruments
Rm and foreign $m 1,759 1,785 933 574 476
debt
Net of cash
andexceptional
items
SA US c.p.s. 380 378 199 122 101
c.p.s.
US Dollars
Quarter Nine months to
March Dec March March March
2003 2002 2002 2003 2002
kg Gold produced* oz (000) 1,072 1,091 1,081 3,293 2,51
R/kg Total cash $/oz 225 197 160 200 175
costs
000 Tons milled 000 10,792 10,560 9,910 32,063 25,939
R/kg Revenue $/oz 353 321 291 328 284
R/ton Operating $/ton 24 23 19 23 22
costs
Rm Operating $m 135 136 149 423 318
profit
Rm Net earnings $m 93 83 98 228 189
SA earnings US c.p.s. 20 18 21 48 41
c.p.s.
Net earnings
excluding
gains and
losses on
financial
instruments
Rm and foreign $m 58 59 81 188 176
debt
Net of cash
and
exceptional
items
SA US c.p.s. 12 13 17 40 38
c.p.s.
*Attributable - All companies wholly owned except for Ghana (71.1%).
COMMENTARY
HEALTH AND SAFETY
A fire incident at Driefontein 7 west shaft on 30 January 2003, forced
employees to vacate their working places. Emergency procedures were followed,
evacuating the entire underground workforce. Four employees were unfortunately
engulfed in smoke and later succumbed to smoke inhalation. At Arctic Platinum a
dozer driver lost his life due to drowning.
The fire at Driefontein was the main reason for the fatal injury frequency rate
increasing to 0,29 per million man hours worked, double that of the previous
quarter.
The lost day injury frequency rate improved by 8 per cent to 14 per million man
hours worked. The serious injury frequency rate regressed by 17 per cent
to 7 per million man hours worked.
Health and safety initiatives are showing excellent results in certain sections
of the mines, with Beatrix 1, 2 and 3 shafts and Driefontein
1 tertiary, 5 east and 6 west shafts achieving one million fatality free
underground shifts during the quarter. A behavioural change intervention
program has started at the Kloof Division and positive results are expected.
The Tripartite task team is continuing with implementation of the safety summit
recommendations.
The Ghana and Australian operations continue to deliver good safety
performances.
FINANCIAL
Quarter ended 31 March 2003
NET EARNINGS
Net earnings for the quarter amounted to R805 million (US$93 million), which is
marginally below the R817 million (US$83 million) earned in the previous
quarter. Included in this quarter's earnings is an amount of R177 million
(US$19 million) resulting mainly from the sale of 10.7 million shares in
Eldorado Gold Corporation (a third of our holding) yielding a profit of
R123 million (US$13 million), together with the sale of 617,600 shares in
Glamis Gold Limited (40 per cent of our holding) which yielded a profit of R54
million
(US$6 million). The above is included in exceptional items and compares with
the R123 million (US$12 million) gain mainly from the disposal of St Helena,
which was included last quarter.
Earnings excluding these exceptional items after taxation and net gains on
financial instruments and foreign debt, amounted to R476 million (US$58
million) as compared to R574 million (US$59 million) achieved last quarter.
REVENUE
The main reason for this reduction in earnings is the lower revenue, resulting
from the 14 per cent strengthening of the average Rand/US Dollar exchange rate
from 9.77 in the December 2002 quarter to 8.38 this quarter. This was partly
offset by the higher Dollar gold price at US$353 per ounce, compared to US$321
per ounce last quarter. The resultant Rand price of R95,068 per kilogram is
thus 6 per cent lower than the R100,969 per kilogram achieved last quarter.
This, together with the lower gold sales of 35,257 kilograms (1,134,000 ounces)
as compared to 35,722 kilograms (1,148,000 ounces) last quarter, resulted in
revenue of R3,352 million (US$397 million) compared to R3,607 million (US$370
million) last quarter. The lower gold sales are mainly as a result of the sale
of St Helena on 30 October 2002, which contributed
307 kilograms (9,900 ounces) in the December quarter.
OPERATING COSTS
Operating costs at R2,172 million (US$256 million) for the quarter were
7 per cent lower in Rand terms than previous quarter's costs of R2,345 million
(US$240 million) as a result of cost reductions at the international
operations, principally in Australia, and the impact of translating these costs
into South African Rand at a stronger Rand than the previous quarter. South
African operations maintained their costs in line with the previous quarter. On
a Group basis, total cash costs reduced from R61,853 per kilogram last quarter
to R60,709 per kilogram this quarter. In US Dollar terms total cash costs
increased from US$197 per ounce to US$225 per ounce due to the stronger Rand
quarter on quarter.
The net effect of the decreased revenue, partly offset by the lower costs,
together with a gold in process charge due to a net release of inventory at the
international operations, was a decrease in operating profit from R1,320
million (US$136 million) in the December quarter to R1,126 million (US$135
million) this quarter.
Amortisation was similar to the previous quarter at R341 million
(US$40 million), the marginal reduction due to the stronger Rand and the lower
production at Driefontein.
FINANCIAL INSTRUMENTS AND DEBT
As previously reported, the Australian operations have established currency
financial instruments to protect the cash flows of these operations against a
strengthening of the Australian Dollar against the United States Dollar. At the
quarter end, US$400 million was outstanding under these instruments.
Outstanding debt at the Australian operations at the end of the quarter
amounted to US$113 million.
The Australian Dollar once again strengthened against the US Dollar, from 56.3
cents at the end of the December quarter to 59.4 cents at the end of the
current quarter. The strengthening of the Australian Dollar in the current
quarter resulted in an unrealised gain on foreign debt of R55 million
(US$6 million) as compared to R36 million (US$3 million) in the December 2002
quarter.
Gains on financial instruments were R185 million (US$19 million) in the current
quarter compared to R166 million (US$16 million) in the previous quarter. R23
million (US$2 million) of the gain in the previous quarter was amortisation of
a deferred hedging gain at Damang, which was fully amortised in the December
2002 quarter. At the end of the March quarter, the marked to market value of
the financial instruments was a positive R388 million
(US$48 million). Details of the financial instruments are provided on page 9 of
this report.
Profit before taxation and exceptional items was R1,037 million
(US$122 million) compared to R1,178 million (US$120 million) posted in the
December 2002 quarter.
Taxation at R378 million is 16 per cent lower than the previous quarter as a
result of the lower profit before tax.
Net earnings after deducting minorities was thus R805 million (US$93 million)
or 171 cents per share (US20 cents) compared to R817 million (US$83 million) or
173 cents per share (US18 cents) in the previous quarter.
CASH FLOW
Operating cash flow for the quarter was R1,214 million (US$141 million), a
decrease of R126 million when compared to operating cash flow in the December
quarter of R1,340 million (US$137 million). The decrease is mainly due to the
lower operating profit.
Capital expenditure was R505 million (US$60 million) as compared to
R530 million (US$54 million) in the December 2002 quarter. Of this amount,
R301 million was expended at the South African operations with the significant
expenditure directed at the major projects, R69 million at the 1E and 5E shafts
and R46 million on the new mill installation at Driefontein, with further
development at Kloof 4 shaft of R42 million and Beatrix 3 shaft of R46 million.
The Australian operations incurred capital expenditure of R108 million, the
majority on development of existing projects and exploration aimed at
increasing the ore reserve base at those operations. At Ghana capital
expenditure amounted to R77 million (US$9 million) the majority being at Tarkwa
for the expansion of the leach pads. The sale of the investments, being
Eldorado and Glamis referred to earlier, netted R203 million, the majority of
which was applied to a pre-payment of US$20 million of offshore debt.
Net cash outflow for the quarter was R28 million (US$9 million) after taking
account of loan repayments of R196 million (US$20 million) and the interim
dividend of R708 million (US$88 million), as compared to an inflow of
R597 million (US$59 million) in the December quarter. The cash balance at the
end of the March 2003 quarter was R1,821 million (US$224 million) as compared
to
R1,926 million (US$217 million) at the end of the December 2002 quarter. Debt
at the end of March was R1,110 million (US$136 million) as compared to
R1,422 million (US$161 million) at the end of December 2002. Cash net of both
long-term and short-term debt at the end of the quarter was a positive
R711 million (US$88 million) compared to a positive R504 million (US$57
million) last quarter.
Quarter ended 31 March 2003 compared to quarter ended 31 March 2002
Attributable gold production decreased marginally from 1,081,000 ounces for the
March 2002 quarter to 1,072,000 ounces this quarter. The increase in production
due to the acquisition of Damang in Ghana was partly offset by the sale of St
Helena.
Revenue decreased 10 per cent in Rand terms (increased 19 per cent in US Dollar
terms) from R3,743 million (US$334 million) to R3,352 million
(US$397 million) due to a reduction in the Rand gold price achieved from
R107,732 per kilogram (US$291 per ounce) in the March 2002 quarter to
R95,068 per kilogram (US$353 per ounce) in the March 2003 quarter. Operating
costs were virtually static at R2,172 million (US$256 million) from
R2,173 million (US$190 million) due to the impact of translating costs at
international operations into South African Rand at a stronger Rand Dollar
exchange rate than the corresponding quarter in the previous year. Earnings
decreased from R1,049 million
(US$98 million) in the March 2002 quarter to R805 million (US$93 million) in
the current quarter.
Nine months ended 31 March 2003 compared to nine months ended 31 March 2002
Attributable gold production increased 12 per cent from 2,951,000 ounces
to 3,293,000 ounces mainly as a result of the acquisitions of the Australian
and Damang operations, which are included for the full nine months to March
2003, as opposed to four and two months for the Australian and Damang
operations respectively in the nine months to March 2002.
Revenue increased by 25 per cent in Rand terms (32 per cent in US Dollar terms)
from R8,703 million (US$870 million) to R10,922 million
(US$1,149 million) due to increased production and an increase in the gold
price from R92,146 to R100,302 per kilogram in the nine months ended 31 March
2003. Operating costs increased by R1,354 million (US$171 million) mainly as a
result of these acquisitions. This resulted in net earnings increasing from
R1,893 million (US$189 million) to R2,164 million (US$228 million).
OPERATIONS
Overview
Attributable gold production for the March 2003 quarter decreased to 1,072,000
ounces from 1,091,000 ounces in the December 2002 quarter, of which
29 per cent was produced from the international operations. Australia's
production was steady with slightly improved yields, while Ghana showed
increased production at both operations. At the South African operations, the
increase at Kloof and Beatrix continued, due to increased underground tonnage,
offset by lower production at Driefontein and the sale of St Helena last
quarter.
Ore milled increased from 10.56 million tons to 10.79 million tons due to the
increase in surface tons mainly at Driefontein as a result of additional
surface milling over the Christmas/New Year break. This resulted in a decrease
in overall yield to 3.3 grams per ton as compared to 3.4 grams per ton achieved
in the December 2002 quarter. Total cash costs in Rand terms decreased to
R60,709 per kilogram from R61,853 per kilogram achieved last quarter and gives
an indication of our continued commitment to controlling costs. In US Dollar
terms, total cash costs increased from US$197 per ounce to US$225 per ounce due
solely to the strength of the South African Rand. Operating costs per ton
reduced at all operations and at R201 per ton was a 9 per cent reduction on
last quarter.
South African Operations
DRIEFONTEIN
Production at Driefontein decreased 8 per cent to 298,000 ounces, which is more
in line with future expectations. This was due to lower underground and surface
yields and lower underground tonnage as compared to the previous quarter.
Underground tonnage decreased to 958,000 tons from 1,005,000 tons, while
surface tonnage increased to 750,000 tons from 442,000 tons due to the
optimisation of the newly commissioned No.2 plant. However, due to the
increased proportion of surface ore treated, exacerbated by the lower surface
yields achieved this quarter (2.3 grams per ton compared to 3.3 grams per ton
last quarter), the combined yield decreased from 7.0 grams per ton last quarter
to 5.4 grams per ton this quarter.
Total cash costs increased by 8 per cent in Rand terms to R61,184 per kilogram
from R56,396 per kilogram due to lower yields and in US Dollar terms increased
from US$180 per ounce to US$227 per ounce quarter on quarter, as a result of
the strengthening Rand allied with the higher costs in Rand terms. Operating
profit declined from R412 million (US$42 million) in the December quarter to
R267 million (US$33 million) in the current quarter due to the lower production
and lower gold price achieved. Capital expenditure at R125 million (US$15
million) is in line with the previous quarter.
KLOOF
Kloof once again achieved an increase in production quarter on quarter, from
293,000 ounces to 298,000 ounces. This was again due to an increase in
underground tonnage (from 913,000 tons to 975,000 tons) although at a slightly
lower yield. Surface tonnage was marginally lower at 262,000 tons at a yield of
0.7 grams per ton. Underground unit costs reduced from R620 to R580 per ton,
the third consecutive quarter that a reduction in underground costs have been
achieved. Total cash costs decreased by 2 per cent in Rand terms to R60,315 per
kilogram but increased by 14 per cent in US Dollar terms, from US$196 per ounce
to US$224 per ounce. The increase in gold output and lower costs was offset by
the lower gold price and operating profit accordingly decreased to R298 million
(US$35 million) this quarter from R329 million (US$34 million) last quarter.
Capital expenditure was R100 million (US$12 million) for the quarter compared
to R109 million (US$11 million) in the previous quarter.
BEATRIX
In the Free State, production at Beatrix increased 3 per cent to
168,000 ounces from 163,000 ounces achieved in the previous quarter. This
increase was due to increased tons milled as yields were virtually unchanged
quarter on quarter. Underground ore milled increased to 1,027,000 this quarter
from 1,009,000 tons, while surface tons increased 7 per cent to 175,000 tons.
Total cash costs remained unchanged in Rand terms at R66,405 per kilogram but
increased to US$246 per ounce from US$211 per ounce last quarter due to the
stronger Rand. Increased costs due to the higher mining volumes and the lower
gold price resulted in a decrease in operating profit from R153 million
to R131 million quarter on quarter. In US Dollars operating profit remained
constant at US$16 million. Capital expenditure was 25 per cent down at
R77 million (US$9 million) mainly due to lower expenditure at 3 shaft.
International Operations
Ghana
TARKWA
The Tarkwa mine again reported record throughput, with crusher feed rate
reaching 3,847,000 tons for the quarter. Gold production increased by 8 per
cent from 126,000 ounces in the December quarter to 136,000 ounces in the March
quarter. The March quarter production included an 11,000 ounce release of gold
inventory from the leach pads as opposed to the December quarter which reflects
a 13,000 ounce increase in this inventory. The inventory increase in December
was attributed to interruptions in gold recovery and the changing configuration
of leach pads. The draw down in this quarter follows the implementation of a
number of changes to, and upgrading of, the leach pad operating systems. Unit
operating costs at Tarkwa decreased from US$6.86 to US$6.68 per ton, largely as
a result of a decrease in stripping ratio quarter on quarter from 1.92 to 1.73.
Despite this drop in unit operating expenditure, total cash costs increased to
US$202 per ounce in the March quarter from US$188 per ounce in the December
quarter. This was caused by an anticipated decline in mined head grades and a
US$1.9 million charge for the gold inventory movement. Tarkwa contributed R174
million (US$20 million) to operating profit, an increase of 5 per cent quarter
on quarter.
DAMANG
At Damang, production increased 4 per cent over the previous quarter
to 77,000 ounces as a result of higher mill throughput and marginally higher
head grades. Total cash costs increased from US$238 per ounce to US$248 per
ounce quarter on quarter. The March quarter includes a US$1.6 million gold in
process charge reflecting the consumption of stockpiles, which did not occur in
the December quarter. Unit operating costs decreased to US$13.80 per ton from
US$14.70 per ton in the December quarter. The net result was an increase in
operating profit of 14 per cent to R73 million (US$8 million).
The contribution from the Ghanaian operations to the Group's operating profit
increased to 22 per cent and at R248 million (US$29 million) is 7 per cent
higher than last quarter.
Australia
ST IVES
Gold production at St Ives was 119,000 ounces, virtually unchanged from the
December quarter's production of 121,000 ounces. The mine saw a small decline
in the total volume treated to 1,263,000 tons for the quarter from 1,369,000
tons in December, due primarily to the inclusion of a tolling campaign in the
earlier period. Underground mining operations contributed one third of total
gold processed. This represents a 100 per cent improvement on the December
quarter with the Junction mine running near capacity and the commencement of
deliveries from the new Sirius underground mine. Operating costs at
A$39.4 million (US$23.1 million) is 11 per cent below the previous quarter due
to the inclusion last quarter of costs associated with toll treatment, the mill
shut down and remedial work on the Junction mine after the seismic activity
experienced there. Total cash costs were 3 per cent lower than the December
quarter at A$326 per ounce (US$193 per ounce) with the inclusion of
A$3.2 million (US$2.3 million) gold in process (GIP) credit in the December
quarter negating the effects of the lower spend in this period. St Ives
contributed R163 million (US$20 million) to operating profit compared to
R161 million (US$17 million) in the previous quarter. Capital expenditure
reduced 30 per cent to A$18 million.
AGNEW
Gold production at Agnew was virtually unchanged at 37,000 ounces. Mining
operations at Waroonga pit were discontinued largely due to depletion of
economic ores in that pit, although ongoing wall stability contributed to the
closure of operations there. Production from the Crusader/Deliverer underground
operations increased during the quarter to offset the reduction in ounces
available from the Waroonga pit. The mine reported an increase in total cash
costs from A$426 per ounce (US$237 per ounce) last quarter, to this
quarter's A$449 per ounce (US$272 per ounce), due mainly to the inclusion of a
A$3.5 million (US$1.8 million) GIP charge in this quarter, against
a A$1.6 million (US$0.9 million) credit in the previous quarter. Operating
costs declined from A$16.8 million (US$9.7 million) to A$13.8 million
(US$8.5 million) in the respective periods. The contribution to operating
profit from Agnew was R20 million (US$3 million), 39 per cent down when
compared to last quarter mainly due to movements in gold in process credits and
the stronger Australian Dollar. Capital expenditure in Australian Dollars was
little changed at just below A$5 million as development of the underground
operations continue.
The Australian operations contribution to Group operating profit reduced
6 per cent to R183 million (US$22 million) for the quarter. The increase in the
gain on financial instruments and foreign debt relative to the previous quarter
contributed to the increase in net earnings from R152 million (US$15 million)
to R194 million (US$21 million) this quarter. Net earnings excluding gains on
financial instruments and foreign debt remained unchanged when compared to last
quarter at R29 million (A$6 million, US$3 million).
Metallurgical Plants
The installation of the new milling facility at Driefontein 1 plant is well
advanced. This project is scheduled for commissioning around the end of the
current financial year.
The conversion of the Kloof 3 plant to a carbon-in-pulp pump cell installation
and the expansion of the central elution facility is progressing well and is
set for completion early in the new financial year
A feasibility study for the upgrade of the Kloof 1 plant milling section is
underway. Approval of this project will complete the upgrade strategy for the
South African metallurgical plants.
DEVELOPMENT PROJECTS
TARKWA
Following the completion of feasibility studies examining long-term operating
strategies for Tarkwa, a decision has been taken to proceed with two
significant investments at that mine.
The first involves the installation of a 4.2 million ton per annum (mtpa) mill
and CIL facility, which will operate in parallel with the existing 15 mtpa heap
leach plant. The total capital investment, to be undertaken between
June 2003 and December 2004, will be US$85 million. It is anticipated that the
mill will be commissioned by the end of December 2004. This expansion will
increase annual throughput to 19 mtpa, while gold production will increase by
some 200,000 ounces per annum. Total open pit mining rates will increase to
between 50 and 60 mtpa.
The second investment is centred on the conversion from contract mining to
owner mining at Tarkwa. All open pit mining operations at Tarkwa are currently
undertaken by a contractor. The new strategy envisages that Tarkwa will acquire
a new fleet of mining and support equipment with the capacity to mine the above
mentioned volumes. It is anticipated that the majority of the workforce
required for this undertaking will be employed from the current mining
contractor's workforce. It is expected that the transition will commence in
June 2004 and that Tarkwa will build up its own fleet in anticipation of the
increase in annual mining volumes ahead of the mill commissioning expected in
December 2004. The initial cost of the fleet will be US$74 million.
ST IVES
At St Ives, the optimisation study, which had been exploring long term
processing and mining strategies for that mine was completed. As a consequence
of that study, St Ives immediately commissioned a definitive feasibility study.
This study is examining the viability of installing a new mill/CIP facility at
St Ives which will replace the existing 3.1 mtpa milling plant. At this stage
it is envisaged that the initial capacity of this new plant would be 4 mtpa
capable of being expanded to 5 mtpa or more. The feasibility study is due for
completion in September 2003. Exploration drilling is continuing at St Ives
with a particular focus on the Greater Revenge and Intrepide Complexes.
DAMANG
At Damang, the exploration program targeting conglomerate and hydrothermal
styles of mineralisation has been expanded. Committed expenditure for the year
to June 2003 has increased to US$4 million.
EXPLORATION
Gold Fields continues to escalate its exploration worldwide with increasing
activities in Africa. During the quarter, drilling commenced on the Essakane
project in Burkina Faso where an option to earn up to 60 per cent interest from
Orezone Resources Incorporated is held. Promising results have been received
from a second round of drilling on the Mampehia target at the 100 per cent
owned Bibiani project in Ghana and this project will be advanced to a resource
definition stage. Promising RAB drill results were also received and released
by our partner African Eagle Resources plc on the Miyabi project in Tanzania.
Our partner, Sanu Resources (a private company) initiated a surface exploration
program on joint venture lands in Eritrea. During the quarter the purchase of
Cluminco from Cluff Mining was concluded. This company owns an 80 per cent
interest in the Kisenge project in the southern DRC. Positive drill results
were received and released by our partner Radius Exploration Limited on joint
venture grounds in Guatemala. In China, joint venture activities began on the
Shangdong area with our partner Sino Gold Limited.
Aggressive exploration programs are continuing at the St Ives, Agnew and Damang
operations.
LEGAL
As previously reported Mr Ed Fagan, a well known New York lawyer, has sent us a
letter claiming he acts on behalf of a number of ex-employees, alleging
exposure to unsafe working practices, chemicals and other substances. He
further claimed they would seek legal recourse through the US courts, under the
Alien Tort Act. To date GFI have been unable to establish the exact nature of
his claims and are not aware of any suite having been filed in the US. We will
keep shareholders appraised of any future development in this matter.
OUTLOOK
PRODUCTION
Notwithstanding the Easter break and numerous holidays this quarter, June
quarter gold production and costs are expected to be in line with those
achieved this quarter at the South African and Ghanaian operations, while the
anticipated increase in production at St Ives in Australia will be somewhat
offset by a decrease in production at Agnew due to anticipated lower grades.
EARNINGS
Earnings, quarter on quarter, will be impacted should the lower Rand gold price
continue into the current quarter.
BASIS OF ACCOUNTING
The unaudited results for the quarter and nine months have been prepared on the
International Accounting Standards (IAS) basis. The detailed financial,
operational and development results for the March 2003 quarter are submitted in
this report.
These consolidated quarterly statements are prepared in accordance with IAS 34,
Interim Financial Reporting. The accounting policies are consistent with those
applied at the previous year end.
ID Cockerill
CHIEF EXECUTIVE OFFICER
8May 2003
INCOME STATEMENT
International Accounting Standard Basis
SA RAND
(Figures are in millions unless otherwise stated)
Quarter Nine months to
March December March March
2003 2002 2002 2003 2002
Revenue 3,351.8 3,606.8 3,742.5 10,922.1 8,702.7
Operating costs 2,171.6 2,344.7 2,173.2 6,918.5 5,564.7
Gold inventory 54.1 (57.4) (44.6) (19.7) (37.4)
change
Operating profit 1,126.1 1,319.5 1,613.9 4,023.3 3,175.4
Amortisation and 341.3 351.3 339.9 1,034.5 704.3
depreciation
Net operating 784.8 968.2 1,274.0 2,988.8 2,471.1
profit
Finance income 97.1 86.7 54.6 145.0 22.5
- Net interest
received and
investment income 41.9 54.9 3.3 129.8 7.1
- Unrealised gain
on foreign
debt, net of cash 55.0 36.2 51.3 19.4 15.4
- Realised gain/
(loss) on
foreign debt, net 0.2 (4.4) - (4.2) -
of cash
Gain on financial 185.2 166.2 119.3 149.5 169.6
instruments
Other income/ 1.3 (8.0) 19.4 4.3 58.9
(cost)
Exploration (31.1) (34.8) (20.8) (111.4) (71.2)
Profit before tax
and
exceptional items 1,037.3 1,178.3 1,446.5 3,176.2 2,650.9
Exceptional gain/ 177.1 123.0 (9.1) 300.1 (9.1)
(loss)
Profit before 1,214.4 1,301.3 1,437.4 3,476.3 2,641.8
taxation
Mining and income 377.6 449.1 347.4 1,212.4 663.9
taxation
- Normal taxation 193.7 254.6 346.3 737.0 550.5
- Deferred 183.9 194.5 1.1 475.4 113.4
taxation
Profit after 836.8 852.2 1,090.0 2,263.9 1,977.9
taxation
Minority interest 32.2 34.9 40.6 100.3 85.4
Net earnings 804.6 817.3 1,049.4 2,163.6 1,892.5
Exceptional
items:
Profit on - 121.7 - 121.7 -
disposal of St
Helena
Profit on sale of 177.9 - - 177.9 -
investments
Other (0.8) 1.3 (9.1) 0.5 (9.1)
Total exceptional 177.1 123.0 (9.1) 300.1 (9.1)
items
Taxation (16.8) (19.2) 3.8 (36.0) 3.8
Net exceptional
items after
tax and 160.3 103.8 (5.3) 264.1 (5.3)
minorities
Net earnings per (cents) 171 173 224 459
share
Headline earnings 643.8 713.5 1,049.4 1,899.0 1,892.5
Headline earnings 136 151 224 403 413
per share(cents)
Diluted earnings 169 172 221 455 409
per share (cents)
Net earnings
excluding gains
and
losses on
financial
instruments
and foreign debt,
net of cash
and exceptional 475.9 573.9 933.0 1,785.0 1,758.9
items
Net earnings per
share excluding
gains and losses
on financial
instruments and
foreign debt,
net of cash and
exceptional
items(cents) 101 122 199 378 380
Gold sold -
managed less
capitalised kg 35,257 35,722 34,739 108,892 94,445
Gold price 95,068 107,732 100,302 92,146
received R/kg 100,969
Total cash costs 60,709 61,853 59,138 61,263 56,174
R/kg
INCOME STATEMENT
International Accounting Standard Basis
US DOLLARS
(Figures are in millions unless otherwise stated)
Quarter Nine months to
March December March March March
2003 2002 2002 2003 2002
Revenue 396.7 370.0 333.5 1,148.5 870.3
Operating 256.1 240.0 189.5 727.5 556.5
costs
Gold inventory 5.2 (5.7) (4.5) (2.1) (3.7)
change
Operating 135.4 135.7 148.5 423.1 317.5
profit
Amortisation 40.0 35.9 31.0 108.8 70.4
and
depreciation
Net operating 95.4 99.8 117.5 314.3 247.1
profit
Finance income 10.4 8.5 6.1 15.2 2.2
- Net interest
received and
investment 4.9 5.5 0.7 13.6 0.7
income
- Unrealised
gain on
foreign
debt, net of 5.5 3.4 5.4 2.0 1.5
cash
- Realised
loss on
foreign debt,
net of cash - (0.4) - (0.4) -
Gain on 19.2 16.0 11.6 15.7 17.0
financial
instruments
Other income/ 0.2 (0.8) 1.2 0.5 5.9
(cost)
Exploration (3.7) (3.6) (1.6) (11.7) (7.1)
Profit before
tax and
exceptional 121.5 119.9 134.8 334.0 265.1
items
Exceptional 19.4 12.2 (0.9) 31.6 (0.9)
gain/(loss)
Profit before 140.9 132.1 133.9 365.6 264.2
taxation
Mining and 44.6 45.8 32.1 127.5 66.4
income
taxation
- Normal 23.5 26.2 33.0 77.5 55.1
taxation
- Deferred 21.1 19.6 (0.9) 50.0 11.3
taxation
Profit after 96.3 86.3 101.8 238.1 197.8
taxation
Minority 3.7 3.6 3.7 10.5 8.5
interest
Net earnings 92.6 82.7 98.1 227.6 189.3
Exceptional
items:
Profit on 0.7 12.1 - 12.8 -
disposal of St
Helena
Profit on sale 18.7 - - 18.7 -
of investments
Other - 0.1 (0.9) 0.1 (0.9)
Total 19.4 12.2 (0.9) 31.6 (0.9)
exceptional
items
Taxation (1.9) (1.9) 0.3 (3.8) 0.3
Net
exceptional
items after
tax and 17.5 10.3 (0.6) 27.8 (0.6)
minorities
Net earnings 20 18 21 48 41
per share
(cents)
Headline 74.8 72.4 98.1 199.7 189.3
earnings
Headline 16 15 21 42 41
earnings per
share(cents)
Diluted 19 17 19 48 41
earnings per
share (cents)
Net earnings
excluding
gains
and losses on
financial
instruments
and foreign
debt,
net of cash 57.7 59.2 80.9 187.7 175.9
and
exceptional
items
Net earnings
per share
excluding
gains and
losses on
financial
instruments
and foreign
debt,
net of cash
and
exceptional
items (cents) 12 13 17 40 38
Exchange rate 8.38 9.77 11.53 9.51 10.00
- SA Rand/US
Dollar
Gold sold -
managed less
capitalised 1,134 1,148 1,117 3,501 3,036
ozs (000)
Gold price 353 321 291 328 284
received $/oz
Total cash 225 197 160 200 175
costs $/oz
BALANCE SHEETS
International Accounting Standard Basis
(Figures are in millions unless otherwise stated)
SA Rand USDollars
March June March June
2003 2002 2003 2002
Mining and 14,718.1 15,064.6 1,805.9 1,454.1
mineral assets
Non-current 238.3 252.7 29.2 24.4
assets
Investments 758.9 797.8 93.1 77.0
Current assets 3,722.1 4,256.2 456.7 410.9
- Cash and 1,821.4 2,027.1 223.5 195.7
deposits
- Other current 1,900.7 2,229.1 233.2 215.2
assets
Total assets 19,437.4 20,371.3 2,384.9 1,966.4
Shareholders' 10,658.6 11,095.8 1,307.8 1,071.0
equity
Outside 481.2 567.1 59.0 54.7
shareholders'
interest
Deferred 4,109.2 3,736.5 504.2 360.7
taxation
Long-term loans 808.0 1,502.2 99.1 145.0
Environmental 683.6 770.2 83.9 74.3
rehabilitation
provisions
Post-retirement 259.0 260.2 31.8 25.1
health care
provisions
Current 2,437.8 2,439.3 299.1 235.6
liabilities
- Other current 2,136.2 2,055.9 262.1 198.6
liabilities
- Current 301.6 383.4 37.0 37.0
portion of
long-term loans
Total equity 19,437.4 20,371.3 2,384.9 1,966.4
and liabilities
S.A. Rand/U.S. Dollar conversion rate 8.15 10.36
Condensed Statements of Changes in Equity
CONDENSED STATEMENTS OF CHANGES IN EQUITY
(Figures are in millions)
SA Rand US Dollars
March March March March
2003 2002 2003 2002
Balance as at
the beginning
of the
financial year 11,095.8 7,075.6 1,071.0 876.8
Currency
translation
adjustment
and other (758.6) 679.7 203.6 (211.0)
Issue of share 0.8 1.1 0.1 0.1
capital
Increase in 17.2 581.5 1.8 51.1
share premium
Marked to
market
valuation of
listed (113.8) 291.4 (12.0) 25.6
investments
Dividends (1,746.4) (605.2) (184.3) (60.5)
Net earnings 2,163.6 1,892.5 227.6 189.3
Balance as at 10,658.6 9,916.6 1,307.8 871.4
the end of
March
CASH FLOW STATEMENT
International Accounting Standard Basis
SA RAND
(Figures are in millions)
Quarter Nine months to
March December March March March
2003 2002 2002 2003 2002
Cash flow from
operating
activities 1,213.6 1,340.4 1,507.6 3,549.7 3,095.1
Profit before tax
and
exceptional items 1,037.3 1,178.3 1,446.5 3,176.2 2,650.9
Exceptional items 177.1 123.0 (9.1) 300.1 (9.1)
Amortisation and 341.3 351.3 339.9 1,034.5 704.3
depreciation
Change in working 251.9 142.9 (267.7) 232.5 (353.1)
capital
Taxation paid (135.1) (41.9) (95.1) (663.2) (130.6)
Other non-cash (458.9) (413.2) 93.1 (530.4) 232.7
items
Dividends paid (707.9) (29.1) (422.7) (1,775.5) (605.2)
Ordinary (707.9) - (422.7) (1,746.4) (605.2)
shareholders
Minority
shareholders in
subsidiaries - (29.1) - (29.1) -
Cash utilised in
investing
activities (323.3) (485.4) (771.0) (1,384.1) (3,304.9)
Capital (505.3) (530.0) (353.8) (1,592.5) (983.0)
expenditure - net
Purchase of (4.0) (61.2) (37.5) (78.0) (84.4)
investments
Sale of 203.1 - - 203.1 -
investments
Environmental and
post
retirement health (17.1) (14.2) (4.8) (36.7) (14.3)
care payments
Disposal/
(acquisition)
of operations/ - 120.0 (374.9) 120.0 (2,223.2)
subsidiaries
Cash flow from
financing
activities (209.9) (229.1) 558.9 (414.9) 2,273.6
Loans raised - - 545.3 - 2,440.2
Loans repaid (195.9) (200.5) - (396.4) (200.0)
Outside
shareholder's
loan repaid (16.2) (35.5) - (51.7) -
Shares issued 2.2 6.9 13.6 33.2 33.4
Net cash inflow/ (27.5) 596.8 872.8 (24.8) 1,458.6
(outflow)
Translation (77.0) (110.0) (31.4) (180.9) 80.3
adjustment
Cash at beginning 1,925.9 1,439.1 887.5 2,027.1 190.0
of period
Cash at end of 1,821.4 1,925.9 1,728.9 1,821.4 1,728.9
period
US DOLLARS
International Accounting Standard Basis
(Figures are in millions)
Quarter Nine months to
March December March March March
2003 2002 2002 2003 2002
Cash flow from
operating
activities 141.3 136.7 141.2 373.3 312.5
Profit before tax
and
exceptional items 121.5 119.9 134.8 334.0 265.1
Exceptional items 19.4 12.2 (0.9) 31.6 (0.9)
Amortisation and 40.0 35.9 31.0 108.8 70.4
depreciation
Change in working 26.3 13.7 (23.5) 24.4 (31.0)
capital
Taxation paid (17.3) (4.9) (8.4) (69.7) (11.5)
Other non-cash (48.6) (40.1) 8.2 (55.8) 20.4
items
Dividends paid (87.7) (2.9) (49.8) (187.2) (60.5)
Ordinary (87.7) - (49.8) (184.3) (60.5)
shareholders
Minority
shareholders
in subsidiaries - (2.9) - (2.9) -
Cash utilised in
investing
activities (40.9) (50.0) (67.7) (146.3) (329.3)
Capital (59.5) (54.3) (31.1) (167.5) (98.3)
expenditure - net
Purchase of (0.8) (6.2) (3.3) (8.2) (7.4)
investments
Sale of 21.4 - - 21.4 -
investments
Environmental and
post
retirement health (2.0) (1.4) (0.4) (3.9) (1.3)
care payments
Disposal/
(acquisition) of
operations/ - 11.9 (32.9) 11.9 (222.3)
subsidiaries
Cash flow from
financing
activities (21.3) (24.5) 49.2 (43.5) 216.3
Loans raised - - 48.0 - 235.2
Loans repaid (20.4) (21.5) - (41.9) (22.2)
Outside (1.3) (3.8) - (5.1) -
shareholder's
loan repaid
Shares issued 0.4 0.8 1.2 3.5 3.3
Net cash inflow/ (8.6) 59.3 72.9 (3.7) 139.0
(outflow)
Translation 14.7 22.6 5.0 31.5 (10.6)
adjustment
Cash at beginning 217.4 135.5 74.0 195.7 23.5
of period
Cash at end of 223.5 217.4 151.9 223.5 151.9
period
HEDGING
POLICY
The Group's policy is to remain unhedged. However, hedges are sometimes
undertaken on a project specific basis as follows:
* to protect cash flows at times of significant expenditure,
* for specific debt servicing requirements, and
* to safeguard the viability of higher cost operations.
Gold Fields may from time to time establish currency financial instruments
to protect underlying cash flows.
Gold Fields has various currency financial instruments - those remaining are
described in the schedule. It has been decided not to account for these
instruments under the hedge accounting rules of IAS 39 and accordingly the
positions have been marked to market at the quarter end.
CURRENCY FINANCIAL INSTRUMENTS
US DOLLAR / AUSTRALIAN DOLLAR
Year ended 30 2003 2004 2005 2006 2007 TOTAL
June
Forward sales:
Amount (US 12,500 50,000 50,000 50,000 37,500 200,000
Dollars) -000's
Average Rate 0.4934 0.4934 0.4934 0.4934 0.4934
(USD/AUD)
Zero cost
collar:
Amount (US 12,500 50,000 50,000 50,000 37,500 200,000
Dollars) -000's
Average
downside
protection
level (USD/AUD) 0.5191 0.5191 0.5191 0.5191 0.5191
Average upside
benefit
cap (USD/AUD) 0.4289 0.4289 0.4289 0.4289 0.4289
The marked to market value of all transactions making up the positions as at
the end of March 2003 in the above table, was a positive R388 million
(US$47.6 million). The value was based on exchange rates of ZAR/USD 8.15 and
USD/AUD 0.5937 and the prevailing interest rates and volatilities at the time.
TOTAL CASH COSTS
(All figures are in Rand millions unless otherwise stated)
Driefontein Division Kloof Division Free State Division
Driefontein Kloof Free State Division
Division Division Beatrix St Helena
Operating Costs March 2003 605.9 584.0 364.5 -
(1)
December 2002 609.1 586.5 354.0 33.4
Financial year to 1,826.2 1,736.1 1,059.2 115.6
date
Gold in process
and
inventory March 2003 - - - -
change*
December 2002 - - - -
Financial year to 34.0 3.6 - -
date
Less:
Rehabilita-tion
costs
March 2003 2.8 2.3 1.4 -
December 2002 2.8 2.3 1.9 -
Financial year to 8.4 6.9 4.0 0.1
date
Production
taxes
March 2003 5.2 3.4 1.7 -
December 2002 4.8 3.4 1.9 -
Financial year to 10.4 11.0 5.1 (0.2)
date
General and
admin
March 2003 36.6 22.7 16.2 -
December 2002 35.8 24.5 15.7 -
Financial year to 110.1 73.2 48.5 1.7
date
Cash operating
costs
March 2003 561.3 555.6 345.2 -
December 2002 565.7 556.3 334.5 33.4
Financial year to 1,731.3 1,648.6 1,001.6 114.0
date
Plus:
Production
taxes
March 2003 5.2 3.4 1.7 -
December 2002 4.8 3.4 1.9 -
Financial year to 10.4 11.0 5.1 (0.2)
date
Royalties March 2003 - - - -
December 2002 - - - -
Financial year to - - - -
date
TOTAL CASH March 2003 566.5 559.0 346.9 -
COSTS(2)
December 2002 570.5 559.7 336.4 33.4
Financial year to 1,741.7 1,659.6 1,006.7 113.8
date
Plus: March 2003 54.3 59.7 25.1 -
Amortisation*
December 2002 60.1 58.6 22.4 -
Financial year to 172.5 167.6 69.1 -
date
Rehabilit-ation
March 2003 2.8 2.3 1.4 -
December 2002 2.8 2.3 1.9 -
Financial year to 8.4 6.9 4.0 0.1
date
TOTAL
PRODUCTION
COSTS (3)
March 2003 623.6 621.0 373.4 -
December 2002 633.4 620.6 360.7 33.4
Financial year to 1,922.6 1,834.1 1,079.8 113.9
date
Gold sold -
thousand ounces
March 2003 297.7 298.0 168.0 -
December 2002 325.2 293.0 162.9 9.9
Financial year to 975.7 882.3 487.6 43.7
date
TOTAL CASH
COSTS - US$/oz
March 2003 227 224 246 -
December 2002 180 196 211 346
Financial year to 188 198 217 259
date
TOTAL
PRODUCTION
COSTS - US$/oz
March 2003 250 249 265 -
December 2002 199 217 227 346
Financial year to 207 219 233 259
date
TOTAL CASH COSTS
(All figures are in Rand millions unless otherwise stated)
Ghana Australia# Total Mine
Tarkwa Damang St Ives Agnew Operations
Operating Costs March 2003 213.7 141.9 193.3 68.3 2,171.6
(1)
December 254.9 170.5 241.9 94.4 2,344.7
2002
Financial 733.6 491.1 668.1 288.6 6,918.5
year to
date
Gold in process
and inventory
change* March 2003 17.1 14.8 0.1 15.1 47.1
December (22.5) (1.7) (16.9) (6.7) (47.8)
2002
Financial 7.8 24.1 (29.6) (35.3) 4.6
year to
date
Less:
Rehabilit-ation
costs
March 2003 0.2 0.3 0.1 0.1 7.2
December 0.3 0.3 0.8 0.2 8.6
2002
Financial 0.7 1.0 1.8 0.6 23.5
year to
date
Production
taxes
March 2003 - - - - 10.3
December - - - - 10.1
2002
Financial - - - - 26.3
year to
date
General and
admin
March 2003 12.3 3.7 9.8 0.5 101.8
December 13.2 4.0 12.2 4.1 109.5
2002
Financial 40.5 11.8 34.0 7.4 327.2
year to
date
Cash operating
costs
March 2003 218.3 152.7 183.5 82.8 2,099.4
December 218.9 164.5 212.0 83.4 2,168.7
2002
Financial 700.2 502.4 602.7 245.3 6,546.1
year to
date
Plus:
Production
taxes
March 2003 - - - - 10.3
December - - - - 10.1
2002
Financial - - - - 26.3
year to
date
Royalties March 2003 12.2 7.0 9.1 2.4 30.7
December 11.9 7.0 9.2 2.6 30.7
2002
Financial 38.6 20.8 31.9 7.3 98.6
year to
date
TOTAL CASH
COSTS (2)
March 2003 230.5 159.7 192.6 85.2 2,140.4
December 230.8 171.5 221.2 86.0 2,209.5
2002
Financial 738.8 523.2 634.6 252.6 6,671.0
year to
date
Plus:
Amortisa-tion*
March 2003 35.1 15.8 134.3 324.3
December 33.8 17.4 125.4 317.7
2002
Financial 107.9 50.6 376.1 943.8
year to
date
Rehabilit-ation
March 2003 0.2 0.3 0.2 7.2
December 0.3 0.3 1.0 8.6
2002
Financial 0.7 1.0 2.4 23.5
year to
date
TOTAL
PRODUCTION
COSTS (3)
March 2003 265.8 175.8 412.3 2,471.9
December 264.9 189.2 433.6 2,535.8
2002
Financial 847.4 574.8 1,265.7 7,638.3
year to
date
Gold sold -
thousand ounces
March 2003 136.3 76.9 119.3 37.4 1,133.5
December 125.6 73.7 121.0 37.1 1,148.5
2002
Financial 410.8 220.9 372.3 107.7 3,501.0
year to
date
TOTAL CASH
COSTS - US$/oz
March 2003 202 248 193 272 225
December 188 238 187 237 197
2002
Financial 189 249 179 247 200
year to
date
TOTAL
PRODUCTION
COSTS - US$/oz
March 2003 233 273 314 260
December 216 263 281 226
2002
Financial year 217 274 277 229
to date
DEFINITIONS
Total cash costs and Total production costs are calculated in accordance with
the Gold Institute industry standard.
1.Operating costs - All gold mining related costs before amortisation/
depreciation, changes in gold inventory, taxation and
exceptional items.
2.Total cash costs - Operating costs less off-mine costs, including general
and administration costs, as detailed in the table above.
3.Total production costs - Total cash costs plus amortisation/depreciation and
rehabilitation provisions, as detailed in the table above.
* Adjusted for amortisation/depreciation (non-cash item) excluded from gold in
process change.
Average exchange rates are US$1 = R8.38 and US$1 = R9.77 for the March 2003
and December 2002 quarters respectively.
OPERATING AND FINANCIAL RESULTS
INDIVIDUAL MINES
SA RAND
Driefontein Kloof Free State Division
Division Division Beatrix St Helena
Operating
Results
Ore milled /
treated (000
tons)
March 2003 1,708 1,237 1,202 -
December 2002 1,447 1,198 1,172 55
Financial 4,746 3,581 3,538 217
year to date
Yield (grams
per ton)
March 2003 5.4 7.5 4.3 -
December 2002 7.0 7.6 4.3 5.6
Financial 6.2 7.6 4.3 6.3
year to date
Gold produced
(kilograms)
March 2003 9,259 9,268 5,224 -
December 2002 10,116 9,114 5,066 307
Financial 29,625 27,385 15,165 1,358
year to date
Gold sold
(kilo-grams)
March 2003 9,259 9,268 5,224 -
December 2002 10,116 9,114 5,066 307
Financial 30,347 27,444 15,165 1,358
year to date
Gold price
received
(Rand per March 2003 94,276 95,166 94,832 -
kilogram)
December 2002 100,900 100,483 100,059 112,052
Financial 100,198 100,102 99,730 106,996
year to date
Total cash
costs
(Rand per March 2003 61,184 60,315 66,405 -
kilogram)
December 2002 56,396 61,411 66,403 108,795
Financial 57,393 60,472 66,383 83,800
year to date
Total cash
costs
(US Dollars
per ounce)
March 2003 227 224 246 -
December 2002 180 196 211 346
Financial 188 198 217 259
year to date
Total
produc-tion
costs
(Rand per March 2003 67,351 67,005 71,478 -
kilogram)
December 2002 62,614 68,093 71,200 108,795
Financial 63,354 66,831 71,203 83,873
year to date
Operating
costs (Rand
per ton)
March 2003 355 472 303 -
December 2002 421 490 302 607
Financial 385 485 299 533
year to date
Financial
Results (Rand
million)
Revenue March 2003 872.9 882.0 495.4 -
December 2002 1,020.7 915.8 506.9 34.4
Financial 3,040.7 2,747.2 1,512.4 145.3
year to date
Operating March 2003 605.9 584.0 364.5 -
costs
December 2002 609.1 586.5 354.0 33.4
Financial 1,826.2 1,736.1 1,059.2 115.6
year to date
Gold
inventory
change
March 2003 - - - -
December 2002 - - - -
Financial 38.3 4.3 - -
year to date
Operating March 2003 267.0 298.0 130.9 -
profit
December 2002 411.6 329.3 152.9 1.0
Financial 1,176.2 1,006.8 453.2 29.7
year to date
Amortisa-tion
of mining
assets
March 2003 54.3 59.7 25.1 -
December 2002 60.1 58.6 22.4 -
Financial 168.2 166.9 69.1 -
year to date
Net operating
profit
March 2003 212.7 238.3 105.8 -
December 2002 351.5 270.7 130.5 1.0
Financial 1,008.0 839.9 384.1 29.7
year to date
Other income/ March 2003 (4.6) 0.2 0.7 -
(costs)
December 2002 (5.0) - 0.5 2.5
Financial (1.5) 4.2 2.1 4.3
year to date
Profit before
taxation
March 2003 208.1 238.5 106.5 -
December 2002 346.5 270.7 131.0 3.5
Financial 1,006.5 844.1 386.2 34.0
year to date
Mining and
income
taxation
March 2003 62.8 73.7 44.3 -
December 2002 127.3 88.0 55.5 19.2
Financial 360.1 278.9 159.6 19.2
year to date
Normal March 2003 52.2 76.6 1.2 -
taxation
December 2002 112.4 78.4 2.7 19.2
Financial 305.0 253.7 3.9 19.2
year to date
- Deferred March 2003 10.6 (2.9) 43.1 -
taxation
December 2002 14.9 9.6 52.8 -
Financial 55.1 25.2 155.7 -
year to date
Earnings
before
except-ional
items March 2003 145.3 164.8 62.2 -
December 2002 219.2 182.7 75.5 (15.7)
Financial 646.4 565.2 226.6 14.8
year to date
Except-ional March 2003 - - - -
items
December 2002 - - - 123.0
Financial - - - 123.0
year to date
Net earnings March 2003 145.3 164.8 62.2 -
December 2002 219.2 182.7 75.5 107.3
Financial 646.4 565.2 226.6 137.8
year to date
Capital
expendit-ure
(Rand
million)
March 2003 124.8 99.8 76.6 -
December 2002 130.9 109.2 102.7 -
Financial 379.8 306.1 257.1 -
year to date
Planned for
next six
months
to September 290.7 204.3 76.1 -
2003
OPERATING AND FINANCIAL RESULTS
INDIVIDUAL MINES
SA RAND
Ghana Australia# Total Mine
Tarkwa Damang St Ives Agnew Operations
Operating
Results
Ore milled /
treated (000
tons)
March 2003 3,847 1,228 1,263 307 10,792
December 3,820 1,187 1,369 312 10,560
2002
Financial 11,487 3,568 3,991 935 32,063
year to
date
Yield (grams
per ton)
March 2003 1.1 1.9 2.9 3.8 3.3
December 1.0 1.9 2.7 3.7 3.4
2002
Financial 1.1 1.9 2.9 3.6 3.4
year to
date
Gold produced
(kilograms)
March 2003 4,240 2,393 3,711 1,162 35,257
December 3,908 2,293 3,763 1,155 35,722
2002
Financial 12,777 6,870 11,580 3,351 108,111
year to
date
Gold sold
(kilograms)
March 2003 4,240 2,393 3,711 1,162 35,257
December 3,908 2,293 3,763 1,155 35,722
2002
Financial 12,777 6,870 11,580 3,351 108,892
year to
date
Gold price
received
(Rand per March 2003 95,873 96,155 95,715 94,406 95,068
kilogram)
December 101,228 101,744 101,169 103,377 100,969
2002
Financial 100,290 100,349 100,950 100,477 100,302
year to
date
Total cash
costs
(Rand per March 2003 54,363 66,736 51,900 73,322 60,709
kilogram)
December 59,058 74,793 58,783 74,459 61,853
2002
Financial 57,823 76,157 54,801 75,380 61,263
year to
date
Total cash
costs
(US Dollars
per ounce)
March 2003 202 248 193 272 225
December 188 238 187 237 197
2002
Financial 189 249 179 247 200
year to
date
Total
production
costs
(Rand per 62,689 73,464 84,609 70,111
kilogram)
March 2003
December 67,784 82,512 88,166 70,987
2002
Financial 66,322 83,668 84,770 70,146
year to
date
Operating
costs (Rand
per ton)
March 2003 56 116 153 222 201
December 67 144 177 303 222
2002
Financial 64 138 167 309 216
year to
date
Financial
Results (Rand
million)
Revenue March 2003 406.5 230.1 355.2 109.7 3,351.8
December 395.6 233.3 380.7 119.4 3,606.8
2002
Financial 1,281.4 689.4 1,169.0 336.7 10,922.1
year to
date
Operating March 2003 213.7 141.9 193.3 68.3 2,171.6
costs
December 254.9 170.5 241.9 94.4 2,344.7
2002
Financial 733.6 491.1 668.1 288.6 6,918.5
year to
date
Gold
inventory
change
March 2003 18.7 14.8 (0.9) 21.5 54.1
December (25.9) (1.7) (22.3) (7.5) (57.4)
2002
Financial 6.3 24.1 (41.2) (51.5) (19.7)
year to
date
Operating March 2003 174.1 73.4 162.8 19.9 1,126.1
profit
December 166.6 64.5 161.1 32.5 1,319.5
2002
Financial 541.5 174.2 542.1 99.6 4,023.3
year to
date
Amortisa-tion
of mining
assets
March 2003 33.5 15.8 129.0 317.4
December 37.2 17.4 131.4 327.1
2002
Financial 109.4 50.6 403.9 968.1
year to
date
Net operating
profit
March 2003 140.6 57.6 53.7 808.7
December 129.4 47.1 62.2 992.4
2002
Financial 432.1 123.6 237.8 3,055.2
year to
date
Other income/ March 2003 (0.5) (3.2) 235.3 227.9
(costs)
December 2.4 24.6 166.4 191.4
2002
Financial 2.9 40.4 91.0 143.4
year to
date
Profit before
taxation
March 2003 140.1 54.4 289.0 1,036.6
December 131.8 71.7 228.6 1,183.8
2002
Financial 435.0 164.0 328.8 3,198.6
year to
date
Mining and
income
taxation
March 2003 57.7 25.4 94.9 358.8
December 51.7 31.1 76.8 449.6
2002
Financial 176.4 75.6 125.0 1,194.8
year to
date
- Normal March 2003 15.6 8.3 11.5 165.4
taxation
December 12.3 8.5 11.8 245.3
2002
Financial 46.1 24.4 39.2 691.5
year to
date
- Deferred March 2003 42.1 17.1 83.4 193.4
taxation
December 39.4 22.6 65.0 204.3
2002
Financial 130.3 51.2 85.8 503.3
year to
date
Earnings
before
exceptional
items March 2003 82.4 29.0 194.1 677.8
December 80.1 40.6 151.8 734.2
2002
Financial 258.6 88.4 203.8 2,003.8
year to
date
Exceptional March 2003 - - - -
items
December 2002 - - - 123.0
Financial - - - 123.0
year to
date
Net earnings March 2003 82.4 29.0 194.1 677.8
December 80.1 40.6 151.8 857.2
2002
Financial 258.6 88.4 203.8 2,126.8
year to
date
Capital
expenditure
(Rand
million)
March 2003 73.8 3.3 77.7 29.9 485.9
December 37.2 4.1 107.9 22.2 514.2
2002
Financial 151.3 10.5 320.5 122.5 1,547.8
year to
date
Planned for
next six
months
to September 186.3 12.9 364.3 88.9 1,223.5
2003
# As a significant portion of the acquisition price was allocated to tenements
of St Ives and Agnew on an arbitrary basis and also as these two Australian
operations are entitled to transfer and then off-set tax losses from one
company to another, it is not meaningful to split the income statement below
operating profit.
OPERATING AND FINANCIAL RESULTS
INDIVIDUAL MINES
US DOLLAR CONVERSION
Driefontein Kloof Free State Division
Division Division Beatrix St Helena
Operating
Results
Ore milled /
treated (000
tons)
March 2003 1,708 1,237 1,202 -
December 2002 1,447 1,198 1,172 55
Financial year 4,746 3,581 3,538 217
to date
Yield
(ounces per
ton)
March 2003 0.174 0.241 0.140 -
December 2002 0.225 0.245 0.139 0.179
Financial year 0.201 0.246 0.138 0.201
to date
Gold
produced
(000 ounces)
March 2003 297.7 298.0 168.0 -
December 2002 325.2 293.0 162.9 9.9
Financial year 952.5 880.4 487.6 43.7
to date
Gold sold
(000 ounces)
March 2003 297.7 298.0 168.0 -
December 2002 325.2 293.0 162.9 9.9
Financial year 975.7 882.3 487.6 43.7
to date
Gold price
received
(US Dollars
per ounce)
March 2003 350 353 352 -
December 2002 321 320 319 357
Financial year 328 327 326 350
to date
Total cash
costs
(US Dollars
per ounce)
March 2003 227 224 246 -
December 2002 180 196 211 346
Financial year 188 198 217 259
to date
Total
produc-tion
costs
(US Dollars
per ounce)
March 2003 250 249 265 -
December 2002 199 217 227 346
Financial year 207 219 233 259
to date
Operating
costs
(US Dollars
per ton)
March 2003 42 56 36 -
December 2002 43 50 31 62
Financial year 40 51 31 56
to date
Financial
Results (US$
million)
Revenue March 2003 104.4 103.6 58.0 0.9
December 2002 104.8 93.8 51.9 3.7
Financial year 319.7 288.9 159.0 15.3
to date
Operating March 2003 70.8 68.2 42.4 0.7
costs
December 2002 62.3 59.9 36.2 3.6
Financial year 192.0 182.6 111.4 12.2
to date
Gold
inventory
change
March 2003 0.2 - - -
December 2002 0.1 - - -
Financial year 4.0 0.5 - -
to date
Operating March 2003 33.4 35.4 15.7 0.2
profit
December 2002 42.3 33.8 15.7 0.2
Financial year 123.7 105.9 47.7 3.1
to date
Amortisation
of mining
assets
March 2003 6.4 6.9 2.9 -
December 2002 6.1 6.0 2.3 -
Financial year 17.7 17.5 7.3 -
to date
Net
operating
profit
March 2003 27.0 28.5 12.8 0.2
December 2002 36.2 27.9 13.4 0.2
Financial year 106.0 88.3 40.4 3.1
to date
Other income
/
(costs)
March 2003 (0.4) - - -
December 2002 (0.5) - 0.1 0.3
Financial year (0.2) 0.4 0.2 0.5
to date
Profit
before
taxation
March 2003 26.5 28.6 12.8 0.2
December 2002 35.7 27.9 13.4 0.4
Financial year 105.8 88.8 40.6 3.6
to date
Mining and
income
taxation
March 2003 8.3 8.9 5.3 0.1
December 2002 13.1 9.1 5.7 1.9
Financial year 37.9 29.3 16.8 2.0
to date
- Normal March 2003 6.9 9.1 0.1 0.1
taxation
December 2002 11.6 8.1 0.3 1.9
Financial year 32.1 26.7 0.4 2.0
to date
- Deferred March 2003 1.3 (0.1) 5.2 -
taxation
December 2002 1.6 1.0 5.4 -
Financial year 5.8 2.6 16.4 -
to date
Earnings
before
exceptional
items
March 2003 18.3 19.6 7.5 0.1
December 2002 22.6 18.8 7.7 (1.5)
Financial year 68.0 59.4 23.8 1.6
to date
Except-ional March 2003 - - - 0.7
items
December 2002 - - - 12.2
Financial year - - - 12.9
to date
Net earnings March 2003 18.3 19.6 7.5 0.8
December 2002 22.6 18.8 7.8 10.7
Financial year 68.0 59.4 23.8 14.5
to date
Capital
expenditure
(US$
million)
March 2003 14.6 11.7 9.1 -
December 2002 13.4 11.1 10.4 -
Financial year 39.9 32.2 27.0 -
to date
Planned for
next six
months
to September 35.7 25.1 9.3 -
2003
OPERATING AND FINANCIAL RESULTS
INDIVIDUAL MINES
US DOLLAR CONVERSION
Ghana Australia# Total Mine
Tarkwa Damang St Ives Agnew Operations
Operating
Results
Ore milled /
treated (000
tons)
March 2003 3,847 1,228 1,263 307 10,792
December 3,820 1,187 1,369 312 10,560
2002
Financial 11,487 3,568 3,991 935 32,063
year to
date
Yield (ounces
per ton)
March 2003 0.035 0.063 0.094 0.122 0.105
December 0.033 0.062 0.088 0.119 0.109
2002
Financial 0.036 0.062 0.093 0.115 0.108
year to
date
Gold produced
(000 ounces)
March 2003 136.3 76.9 119.3 37.4 1,133.5
December 125.6 73.7 121.0 37.1 1,148.5
2002
Financial 410.8 220.9 372.3 107.7 3,475.8
year to
date
Gold sold
(000 ounces)
March 2003 136.3 76.9 119.3 37.4 1,133.5
December 125.6 73.7 121.0 37.1 1,148.5
2002
Financial 410.8 220.9 372.3 107.7 3,501.0
year to
date
Gold price
received
(US Dollars
per ounce)
March 2003 356 357 355 350 353
December 322 324 322 329 321
2002
Financial 328 328 330 329 328
year to
date
Total cash
costs
(US Dollars
per ounce)
March 2003 202 248 193 272 225
December 188 238 187 237 197
2002
Financial 189 249 179 247 200
year to
date
Total
produc-tion
costs
(US Dollars
per ounce)
March 2003 233 273 314 260
December 216 263 281 226
2002
Financial 217 274 277 229
year to
date
Operating
costs
(US Dollars
per ton)
March 2003 7 14 18 27 24
December 7 15 18 31 23
2002
Financial 7 14 18 32 23
year to
date
Financial
Results (US$
million)
Revenue March 2003 47.8 26.9 42.2 12.8 396.7
December 40.7 23.8 39.1 12.2 370.0
2002
Financial 134.7 72.5 122.9 35.4 1,148.5
year to
date
Operating March 2003 25.5 16.9 23.1 8.5 256.1
costs
December 26.1 17.5 24.7 9.7 240.0
2002
Financial 77.1 51.6 70.3 30.3 727.5
year to
date
Gold
inventory
change
March 2003 1.9 1.6 (0.3) 1.8 5.2
December (2.5) (0.1) (2.3) (0.9) (5.7)
2002
Financial 0.7 2.5 (4.3) (5.4) (2.1)
year to
date
Operating March 2003 20.4 8.4 19.5 2.5 135.4
profit
December 17.1 6.5 16.6 3.4 135.7
2002
Financial 56.9 18.3 57.0 10.5 423.1
year to
date
Amortisa-tion
of mining
assets
March 2003 4.0 1.8 15.1 37.1
December 3.8 1.8 13.5 33.4
2002
Financial 11.5 5.3 42.5 101.8
year to
date
Net operating March 2003 16.5 6.5 6.8 98.3
profit
December 13.3 4.7 6.5 102.3
2002
Financial 45.4 13.0 25.0 321.3
year to
date
Other income/
(costs)
March 2003 - (0.1) 23.9 23.4
December 0.2 2.5 15.6 18.2
2002
Financial 0.3 4.2 9.6 15.1
year to
date
Profit before
taxation
March 2003 16.5 6.5 30.7 121.7
December 13.6 7.2 22.1 120.5
2002
Financial 45.7 17.2 34.6 336.3
year to
date
Mining and
income
taxation
March 2003 6.7 2.9 10.1 42.4
December 5.3 3.1 7.5 45.8
2002
Financial 18.5 7.9 13.1 125.6
year to
date
- Normal March 2003 1.8 0.9 1.4 20.4
taxation
December 1.3 0.9 1.2 25.2
2002
Financial 4.8 2.6 4.1 72.7
year to
date
- Deferred March 2003 4.9 2.0 8.8 22.0
taxation
December 4.1 2.3 6.3 20.6
2002
Financial 13.7 5.4 9.0 52.9
year to
date
Earnings
before
except-ional
items
March 2003 9.8 3.5 20.5 79.3
December 8.3 4.0 14.6 74.5
2002
Financial 27.2 9.3 21.4 210.7
year to
date
Except-ional March 2003 - - - 0.7
items
December - - - 12.2
2002
Financial - - - 12.9
year to
date
Net earnings March 2003 9.8 3.5 20.5 80.0
December 8.2 4.1 14.7 86.9
2002
Financial 27.2 9.3 21.4 223.6
year to
date
Capital
expenditure
(US$ million)
March 2003 8.2 0.4 9.6 3.7 57.4
December 3.8 0.4 11.1 2.4 52.6
2002
Financial 15.9 1.1 33.7 12.9 162.7
year to
date
Planned for
next six
months
to 22.9 1.6 44.7 10.9 150.1
September
2003
Average exchange rates are US$1 = R8.38 and US$1 = R9.77 for the March 2003 and
December 2002 quarters respectively. Year to date rate US$1=R9.51.
# As a significant portion of the acquisition price was allocated to tenements
of St Ives and Agnew on an arbitrary basis and also as these two Australian
operations are entitled to transfer and then off-set tax losses from one
company to another, it is not meaningful to split the income statement below
operating profit.
Figures may not add as they are rounded independently.
UNDERGROUND AND SURFACE
SA RAND AND METRIC UNITS
Driefontein Kloof Free State Division
Division Division Beatrix St Helena
Operating
Results
Ore milled /
treated (000
ton)
- March 2003 958 975 1,027 -
underground
December 2002 1,005 913 1,009 55
Financial year 2,934 2,754 3,051 217
to date
- surface March 2003 750 262 175 -
December 2002 442 285 163 -
Financial year 1,812 827 487 -
to date
- total March 2003 1,708 1,237 1,202 -
December 2002 1,447 1,198 1,172 55
Financial year 4,746 3,581 3,538 217
to date
Yield (grams
per ton)
- March 2003 7.8 9.3 4.9 -
underground
December 2002 8.6 9.8 4.9 5.6
Financial year 8.5 9.7 4.8 6.3
to date
- surface March 2003 2.3 0.7 0.9 -
December.2002 3.3 0.7 0.8 -
Financial year 2.5 0.6 0.8 -
to date
- combined March 2003 5.4 7.5 4.3 -
December 2002 7.0 7.6 4.3 5.6
Financial year 6.2 7.6 4.3 6.3
to date
Gold
produced
(kilograms)
- March 2003 7,505 9,072 5,066 -
underground
December 2002 8,665 8,911 4,942 307
Financial year 25,080 26,848 14,786 1,358
to date
- surface March 2003 1,754 196 158 - 4,240
December 2002 1,451 203 24 -
Financial year 4,545 537 379 -
to date
- total March 2003 9,259 9,268 5,224 -
December 2002 10,116 9,114 5,066 307
Financial year 29,625 27,385 15,165 1,358
to date
Gold sold
(kilograms)
- March 2003 7,505 9,072 5,066 -
underground
December 2002 8,665 8,911 4,942 307
Financial year 25,802 26,907 14,786 1,358
to date
- surface March 2003 1,754 196 158 -
December 2002 1,451 203 124 -
Financial year 4,545 537 379 -
to date
- total March 2003 9,259 9,268 5,224 -
December 2002 10,116 9,114 5,066 307
Financial year 30,347 27,444 15,165 1,358
to date
Operating
costs (Rand
per ton)
- March 2003 582 580 349 -
underground
December 2002 571 620 345 607
Financial year 581 610 342 533
to date
- surface March 2003 65 71 35 -
December 2002 80 72 35 -
Financial year 66 67 33 -
to date
- total March 2003 355 472 303 -
December 2002 421 490 302 607
Financial year 385 485 299 533
to date
UNDERGROUND AND SURFACE
SA RAND AND METRIC UNITS
Ghana Australia# Total Mine
Tarkwa Damang St Ives Agnew Operations
Operating
Results
Ore milled
/ treated
(000 ton)
- March 2003 - - - - 2,960
underground
December 2002 - - - - 2,982
Financial - - - - 8,956
year to date
- surface March 2003 3,847 1,228 1,263 307 7,832
December 2002 3,820 1,187 1,369 312 7,578
Financial 11,487 3,568 3,991 935 23,107
year to date
- total March 2003 3,847 1,228 1,263 307 10,792
December 2002 3,820 1,187 1,369 312 10,560
Financial 11,487 3,568 3,991 935 32,063
year to date
Yield
(grams per
ton)
- March 2003 - - - - 7.3
underground
December 2002 - - - - 7.7
Financial - - - - 7.6
year to date
- surface March 2003 1.1 1.9 2.9 3.8 1.7
December 2002 1.0 1.9 2.7 3.7 1.7
Financial 1.1 1.9 2.9 3.6 1.7
year to date
- combined March 2003 1.1 1.9 2.9 3.8 3.3
December 2002 1.0 1.9 2.7 3.7 3.4
Financial 1.1 1.9 2.9 3.6 3.4
year to date
Gold
produced
(kilograms)
- March 2003 - - - - 21,643
underground
December 2002 - - - - 22,825
Financial - - - - 68,072
year to date
- surface March 2003 4,240 2,393 3,711 1,162 13,614
December 2002 3,908 2,293 3,763 1,155 12,897
Financial 12,777 6,870 11,580 3,351 40,039
year to date
- total March 2003 4,240 2,393 3,711 1,162 35,257
December 2002 3,908 2,293 3,763 1,155 35,722
Financial 12,777 6,870 11,580 3,351 108,111
year to date
Gold sold
(kilograms)
- March 2003 - - - - 21,643
underground
December 2002 - - - - 22,825
Financial - - - - 68,853
year to date
- surface March 2003 4,240 2,393 3,711 1 ,162
13,614
December 2002 3,908 2,293 3,763 1,155 12,897
Financial 12,777 6,870 11,580 3,351 40,039
year to date
- total March 2003 4,240 2,393 3,711 1,162 35,257
December 2002 3,908 2,293 3,763 1,155 35,722
Financial 12,777 6,870 11,580 3,351 108,892
year to date
Operating
costs (Rand
per ton)
- March 2003 - - - - 500
underground
December 2002 - - - - 510
Financial - - - - 508
year to date
- surface March 2003 56 116 153 222 88
December 2002 67 144 177 303 109
Financial 64 138 167 309 103
year to date
- total March 2003 56 116 153 222 201
December 2002 67 144 177 303 222
Financial 64 138 167 309 216
year to date
# Australia operations are defined as surface and near surface operations.
DEVELOPMENT RESULTS
Development values represent the actual results of sampling and no allowance
has been made for any adjustments which may be necessary when estimating ore
reserves. All figures below exclude shaft sinking metres
Driefontein
March2003 December 2002 Nine months to
quarter quarter March 2003
Reef Carbon Carbon Carbon
Leader Main VCR Leader Main VCR Leader Main VCR
Advanced 6,641 1,121 1,355 6,144 1,105 1,782 18,611 2,895 4,864
(m)
Advanced
on reef 1,151 405 132 961 169 209 2,922 725 457
(m)
Sampled 1,017 378 120 915 150 171 2,673 738 405
(m)
Channel
width 121 97 55 121 147 45 111 109 72
(cm)
Average
value - 14.6 6.4 25.0 11.0 6.5 51.4 13.4 6.3 22.7
(g/t)
- (cm.g/ 1,775 625 1,382 1,327 959 2,303 1,483 683 1,644
t)
Kloof
March2003 December 2002 Nine months to
quarter quarter March 2003
Reef Kloof Main VCR Kloof Main VCR Kloof Main VCR
Advanced 94 2,074 8,718 75 1,179 12,150 274 4,115 33,025
(m)
Advanced
on reef 45 510 1,455 46 233 1,974 104 976 5,063
(m)
Sampled 18 423 1,215 48 219 1,605 72 786 4,212
(m)
Channel
width 175 94 96 25 74 95 74 81 98
(cm)
Average
value - 5.2 11.4 19.6 25.3 12.9 19.4 13.9 11.9 21.2
(g/t)
- (cm.g/ 917 1,069 1,883 625 957 1,853 1,028 972 2,084
t)
Beatrix
March2003 December 2002 Nine months to
quarter quarter March 2003
Reef Beatrix Kalkoen-krans Beatrix Kalkoen-krans Beatrix Kalkoen-krans
Advanced 8,877 2,256 9,655 2,659 27,575 7,276
(m)
Advanced
on reef 1,698 506 1,469 305 4,481 1,181
(m)
Sampled 1,545 504 1,332 300 4,134 1,176
(m)
Channel
width 61 105 62 82 68 110
(cm)
Average
value - 14.0 8.0 14.5 11.1 14.9 9.2
(g/t)
- (cm.g/ 853 798 891 915 1,011 1,014
t)
FORWARD LOOKING STATEMENTS
Certain statements in this document constitute "forward looking statements"
within the meaning of Section 27A of the US Securities Act of 1933 and Section
21E of the US Securities Exchange Act of 1934.
Such forward looking statements involve known and unknown risks, uncertainties
and other important factors that could cause the actual results, performance or
achievements of the company to be materially different from the future results,
performance or achievements expressed or implied by such forward looking
statements. Such risks, uncertainties and other important factors include among
others: economic, business and political conditions in South Africa; decreases
in the market price of gold; hazards associated with underground and surface
gold mining; labour disruptions; changes in government regulations,
particularly environmental regulations; changes in exchange rates; currency
devaluations; inflation and other macro-economic factors; and the impact of the
AIDS crisis in South Africa. These forward looking statements speak only as of
the date of this document.
The company undertakes no obligation to update publicly or release any
revisions to these forward looking statements to reflect events or
circumstances after the date of this document or to reflect the occurrence of
unanticipated events.
Gold Fields Limited
Incorporated in the Republic of South Africa
Registration number 1968/004880/06
ISIN: ZAE 000018123
CORPORATE OFFICE
Gold Fields Limited
24 St Andrews Road
Parktown
Johannesburg
2193
Postnet Suite 252
Private Bag x 30500
Houghton 2041
Tel: +27 11 644-2400
Fax: +27 11 484-0626
London Office
St James' Corporate Services Limited
6 St James' Place
London SW1A 1 NP
Tel: +944 207 499-3916
Fax: +944 207 491-1989
DIRECTORS
C M T Thompson ^ (Chairman)
A J Wright (Deputy Chairman)
I D Cockerill * (Chief Executive Officer)
G J Gerwel
N J Holland *
J M McMahon *
G R Parker #
R L Pennant-Rea *
P J Ryan
T M G Sexwale
B R van Rooyen
C I von Christierson
^Canadian * British # USA
COMPANY SECRETARY
V D MacDonald
24 St Andrews Road
Parktown
Johannesburg
2193
Postnet Suite 252
Private Bag x 30500
Houghton 2041
Tel: +27 11 644-2406
Fax: +27 11 484-0626
INVESTOR RELATIONS
Europe & South Africa
Willie Jacobsz
Tel: +27 11 644-2460
Fax: +27 11 484-0639
E-mail: investors@goldfields.co.za
North America
Cheryl A. Martin
Tel: +91 303 796-8683
Fax: +91 303 796-8293
E-mail: camartin@gfexpl.com
TRANSFER OFFICES
Johannesburg
Computershare Investor Services Limited
Ground Floor
70 Marshall Street
Johannesburg, 2001
P O Box 61051
Marshalltown, 2107
South Africa
Tel: 27 11 370-5000
Fax: 27 11 370-5271
London
Capita Registrars
Bourne House
34 Beckenham Road
Beckenham Kent BR3 4TU
Tel: +944 208 639-2000
Fax: +944 208 658-3430
AMERICAN DEPOSITARY RECEIPT BANKER
United States
Bank of New York
101 Barclay Street
New York N.Y. 10286
USA
Tel: +91 212 815-5133
Fax: +91 212 571-3050
United Kingdom
Bank of New York
46 Berkley Street
London
W1X 6AA
Tel: +944 207 322-6341
Fax: +944 207 322-6028
END
