JOHANNESBURG, February 8, 2018 /PRNewswire/ --
Gold Fields Limited (Gold Fields) (JSE, NYSE: GFI) advises that
headline earnings per share (HEPS) for the twelve months ended
31 December 2017 (FY 2017) is
expected to range from US$0.23-0.26
per share, 0% (US$0.00 per share) to
12% (US$0.03 per share) lower than
the US$0.26 per share reported for
the twelve months ended 31 December
2016 (FY 2016).
The basic loss per share for FY 2017 is expected to be 110-125%
(US$0.22-0.25 per share) lower than
the earnings of US$0.20 per share
reported for FY 2016, at a loss of US$0.02-0.05 per share.
Normalised earnings for FY 2017 are expected to be 21-33%
(US$0.05-0.08 per share) lower than
the US$0.24 per share reported for FY
2016 at US$0.16-0.19 per share.
The net loss for the year is impacted by the following
non-recurring items:
- US$278m (R3.5bn) (gross and after
tax) impairment of goodwill related to South Deep. Post this
impairment, the carrying value of South Deep is US$1.96bn (R24.7bn)
- US$30m (R390m) (gross),
US$21m (R273m) (after tax) provision
related to the Silicosis and TB Class Action litigation which was
accounted for in the interim financial statements
- US$53m (gross), US$38m (after tax) reversal of an impairment of
mining assets at Cerro Corona
- US$39m (gross and after tax)
reversal of an impairment at Arctic Platinum as a result of the
sale, announced on 24 January
2018
- US$24m (gross), US$17m (after tax) profit on the sale of
Darlot
The basic loss, headline earnings and normalised earnings are
all impacted by an increase in amortisation mainly at Tarkwa, Cerro
Corona and St Ives.
The South Deep impairment is based on two main factors:
- The slow start to the rebase plan over the past year is
expected to result in a more gradual ramp-up in the earlier years.
The steady state production target of c.500koz in 2022 has not
changed. The rebase plan was announced in February 2017
- A reduction in the gold price assumption used in the life of
mine model to R525,000/kg from R600,000/kg
We are pleased to announce the successful life extension of the
Cerro Corona mine in Peru to 2030
from 2023. The life extension will be achieved through the creation
of additional, cost-effective tailings capacity. As a result of the
increased life, a previous impairment of US$53m has been reversed.
Attributable gold equivalent production for Q4 2017 is expected
to be 546koz (Q3 2017: 567koz), with all-in sustaining costs (AISC)
of US$959/oz (Q3 2017: US$906/oz) and all-in costs (AIC) of US$1,115/oz (Q3 2017: US$1,032/oz).
For FY 2017, attributable gold equivalent production is expected
to be 2,160koz (FY 2016: 2,146koz), exceeding the guidance range of
2,100-2,150koz. AISC of US$955/oz (FY
2016: US$980/oz) and AIC of
US$1,088/oz (FY 2016: US$1,006/oz) are both below the lower end of the
guidance range provided in February
2017 - AISC: US$1,010-1,030/oz
and AIC: US$1,170-1,190/oz.
The financial information on which this trading statement is
based has not been reviewed, and reported on, by the Company's
external auditors.
Gold Fields will release FY 2017 financial results on Wednesday,
14 February 2018.
About Gold Fields
Gold Fields Limited is a globally diversified producer of gold
with eight operating mines in Australia, Ghana, Peru
and South Africa with attributable
annual gold-equivalent production of approximately 2.2 million
ounces. It has attributable gold Mineral Reserves of around 48
million ounces and gold Mineral Resources of around 101 million
ounces. Attributable copper Mineral Reserves total 454 million
pounds and Mineral Resources 5,813 million pounds. Gold Fields has
a primary listing on the Johannesburg Stock Exchange (JSE) Limited,
with secondary listings on the New York Stock Exchange (NYSE) and
the Swiss Exchange (SWX).
Sponsor: J.P. Morgan Equities South Africa (Pty) Ltd
Enquiries
Investors
Avishkar Nagaser
Tel: +27-11-562-9775
Mobile: +27-82-312-8692
Email : Avishkar.Nagaser@goldfields.com
Thomas Mengel
Tel: +27-11-562-9849
Mobile: +27-72-493-5170
Email:Thomas.Mengel@goldfields.com
Media
Sven Lunsche
Tel: +27-11-562-9763
Mobile: +27-83-260-9279
Email :Sven.Lunsche@goldfields.com
SOURCE Gold Fields Limited