Gold Fields South Deep Rebase Plan Market Presentation February 2017
Agenda 1. World Class Orebody 2. Operational Strategy & Progress 3. Rebase Plan Strategy & Objectives 4. Geotechnical Considerations and Mine Design 5. Mine Planning and Production Profiles 6. Capital Infrastructure 7. Risks 8. Financials 2
A World Class Ore Body
A World Class Ore Body Introduction and Location Cooke 1,2,3 Cooke 4 Driefontein DRD Kloof Mponeng Kusasuleto MAIN CHARACTERISTICS BRIEF HISTORY • • Situated on the NW rim of the Witwatersrand Basin 1950: Prospecting commenced in the area • • Upper Elsburg Formation 1961: Production commenced at Western Areas Gold Mine (WAGM) • • 2900m below surface 1999: Placer Dome Western Areas (PDWA) Joint Venture (JV) formed • Dips 12 - 14 0 South West • 2000: Name changed to South Deep Gold Mine • • Mineral Resource (68,4Moz) Mineral Reserves (37,3Moz) 2005: Twin Shaft Complex opened • • +70 year mine life 2006: Gold Fields acquired Barrick’s 50% interest • 2007: Gold Fields acquired 100% interest • 2008: Stopped all conventional mining • 2009: Introduced LP mechanised destress stoping • 2015: Converted from LP to HP destress stoping • 2016: Cash neutral 4
A World Class Ore Body Regional Geology - Depositional Environment Mining Right Boundary MAIN FEATURES • Upper Elsburg Reef formation constitutes the primary economic target • Geometry suited to mechanised mining • Key Infrastructure • Twin shaft complex : main and ventilation # to 110 level • South shaft : main and two sub-vertical shafts to 95 level • CIP gold plant 5
A World Class Ore Body Local geology CROSS SECTION VIEW ( at intersection line shown in plan view ) 4 3 2B 2A 1B 1A Corridors Mining Span 180m 180m 180m 180m 100m 100m EAST Sub-outcrop WEST VCR 2m VCR MBT Plan View MBB MIQ MIT MIB 120m MAD Vertical MAC ED Longhole Stoping ECT ECMQ ECMC ECBQ Drifting & ECB Benching ECBAQ ECBA Main target thickness: 5–40m 45-70m 20-40m 20-30m 20m 20m destress destress destress destress destress destress longhole stoping / longhole stoping / 16 Units -longhole stoping / longhole stoping / longhole stoping / longhole stoping / Mining Method: drifts and benches drifts and benches drifts and benches drifts and benches drifts and benches drifts and benches Reserve Tonnes: 1 319Kt 50 490Kt 77 685Kt 67 898Kt 21 444Kt Reserve Grade: 8.2g/t 6.0g/t 5,4g/t 4,8g/t 4.9g/t Proximal Distal higher grade lower grade Targets – Stope Outlines 6
A World Class Ore Body High Profile Destress & Longhole Stoping Shaft Stope Access & Development Infrastructure slot slot slot Drain Hole Twin Footwall Cross Cut 7
A World Class Ore Body High Profile Destress & Longhole Stoping Shaft Stope Access & Development Cut 1 : Destress Starts Infrastructure slot slot slot Drain Hole Twin Footwall Cross Cut Intake Ventilation Pass Return Ventilation Pass Ore Pass 8
A World Class Ore Body High Profile Destress & Longhole Stoping Shaft Stope Access & Development Cut 1 : LHS Starts Infrastructure slot slot slot slot Cut 2 : Destress Starts Drain Hole Twin Footwall Cross Cut Intake Ventilation Pass Return Ventilation Pass Ore Pass 9
A World Class Ore Body High Profile Destress & Longhole Stoping Shaft Stope Access & Development Cut 1 : Mature Infrastructure slot slot slot slot slot Cut 2 : LHS Starts Drain Hole Twin Footwall Cross Cut Intake Ventilation Pass Return Ventilation Pass Cut 3 : Destress Ore Pass Starts Corridor progression 3 active cuts 40 – 60 kt/month 10
A World Class Ore Body High Profile Destress & Longhole Stoping 90-1 A&B slot 4 cuts 95-1B 2 cuts The number of cuts shown are 4 up to the end of North of Wrench 2B 1A 3 2A 14 cuts 1B 9 cuts 5 cuts 11 cuts 6 cuts 4 cuts Destress cuts in 6 corridors 11
A World Class Ore Body High Profile Destress and Longhole Stoping (LHS) 15m • Longhole Stoping Mining Direction • Primary source of reef mining 2 4 700t/Blast 20m High profile support Mechanical Installation • HP destress (5,5m height x 5m wide) 1 • Primary & secondary support YEAR-1 YEAR-2 YEAR-3 YEAR-4 YEAR-5 YEAR-6 YEAR-7 1 High profile destressing 2 Longhole Stoping (19 mth Lead time) 12
Mining Methods Drifting and Benching (Selective Mining) Benching • Width – 6 m • Height – 8 - 15 m • Length – up to 60m • 670 tonnes per blast Drifting • Width – 6 m • Height – 5.5 m • Length – up to 60m • 315 tonnes per blast 13
A World Class Ore Body Mining Areas RESERVES • Current Mine 7Mt 1.4Moz (6.1g/t) CM • North of Wrench 57Mt 10.7Moz (5.8g/t) 1,490 m • South of Wrench East 50Mt 8.6Moz (5.3g/t) • South of Wrench West 104Mt 16.6Moz (5.0g/t) 610 m VCR NoW • Total 218Mt 37.3Moz (5.3g/t) 980 m LOM SoW-E • 88.8km capital development 1,420 m • End of mine life – 2095 SoW-W 2016 Q4 MONTHLY CONTRIBUTION • Current Mine 102kt 15.4koz 57% • North of Wrench 58kt 11.5koz 43% • Total 160kt 26.9koz 100% 14
A World Class Ore Body Geological Modelling Inputs - De-risking the Ore Body 3D Seismic Surface drilling LIB Drilling Grade Control Survey (49,536m) (Long Inclined Boreholes) Drilling (2004) (~17 km) 300m x 300m grid High correlation with 600m x 600m grid 30m x 30m grid drill hole data Used for structural definition, Used for facies Seismic survey conducted Used for facies boundaries, for South Deep future structural definition, stratigraphic modelling, determination, structural working areas with low stratigraphic modelling, assaying and grade definition, stratigraphic resolution drilling data. assaying and resource indication. modelling, assaying and estimation. resource estimation. 10 - 80 Years Ahead of 10 - 80 Years Ahead of 2 – 10 Years Ahead of 0 – 2 Years Ahead of Current Workings. Current Workings. Current Workings. Current Workings. 15
A World Class Ore Body Geological Modelling Inputs N South Shaft N N Grade control drilling LIB drilling Surface Drilling Seismic Survey Twin Shaft CURRENT MINE 1 532 Boreholes LIB and Grade Control Drilling - Plan LIB and Grade Control Drilling - Plan LIB and Grade Control Drilling - Plan NORTH OF WRENCH LIB and Grade Control Drilling - Plan 110 Boreholes SOUTH OF WRENCH - EAST 6 Boreholes 15 Deflections LIB Drilling - Section 21 Reef intersections LIB Drilling - Section SoW LIB Drilling - Section Grid 600m 14 Boreholes SoW SoW 72 Deflections 14 Boreholes 14 Boreholes 86 reef intersections 72 Deflections 72 Deflections Grid of 522m 86 reef intersections 86 reef intersections Grid of 522m Grid of 522m SOUTH OF WRENCH - WEST SEISMIC SURVEY 10 Boreholes Outline of Seismic survey data 57 Deflections • Structure 67 Reef intersections • Reliable VCR top surface modelling Grid of ± 550m SoW 14 Boreholes NoW Current mine 72 Deflections 110 Boreholes 1532 Boreholes 86 reef intersections Grid 150m Grid 60m Grid of 522m 16
Operational Strategy & Progress
Strategy and Progress South Deep 2015 – 2016 Business Strategy – Fix the Base 1 Secure and Sustain • Fix the base • Long term plans off the table • Focus on short term operational improvements • 68 initial BI projects • Sustainability • Bed down mining methods / geotechnical considerations • Mining value chain and interdependencies • Mine design and planning • Constraint management 2 Growth • Rebase Plan • Committed to presenting a new plan in Feb 2017 • Technical assurance • Validated input parameters • Capacity analyses • Aimed at early profitability A strong operational platform will ensure sustained operational improvement 18
Strategy and Progress Fix the Base - Business Improvement Total Projects Program 2017 2018 Projects Completed People 9 7 2 - Health and Safety 5 3 2 - Fleet and Fleet Management 11 5 4 2 Infrastructure 16 6 6 4 Mining 15 2 8 5 Mineral Resource Management 10 5 4 1 Financial and Administration 2 1 1 - TOTAL 68 29 27 12 Key Completed Projects: • Management Team • Footwall Ripping to Hanging wall Ripping • Technical Support People • Basic Equipment Appreciation Mining • Mechanised Mining Up-Skilling Program • Ensure Statutory Compliance Health and Safety • Safety Incident / Behaviour Management System • High Profile destress Stoping • Implement tracking and flagging system (ISOMETRIX) • South Deep Rebase Project Mineral Resource Management • Regional Pillar Layout • Fleet Renewal • VCR Economic Potential • Underground Workshop Stores Fleet • Fleet Conditions Assessment • Equip and Commission 93L Workshop Financial and • Improve Business Analyses and Reporting Administration • Rail Bound Equipment Proximity Management System Infrastructure • Twin Shaft Skip Loading Facility Rehabilitation 19
Recommend
More recommend
