HARNESSING THE GOLD BULL MARKET Focus on total cost of production, - PowerPoint PPT Presentation

HARNESSING THE GOLD BULL MARKET Focus on total cost of production, free cash flow and margin growth Merrill Lynch & Co,. Inc Global Metals, Mining & Steel Conference Tuesday, May 13, 2008 Nick Holland Chief Executive Officer Gold Fields Limited

Cautionary Statement Introduction This document and any materials distributed in connection with this document are not directed to, or intended for distribution to or use by, any person or entity that is a citizen or resident or located in any locality, state, country or other jurisdiction where such distribution, publication, availability or use would be contrary to law or regulation. This presentation does not constitute or form part of an offer to sell or issue, or any solicitation of an offer to buy or subscribe for, any securities referred to herein. The capital raising and other information in connection with the capital raising in certain jurisdictions may be restricted by law and persons into whose possession any document or other information referred to herein comes should inform themselves about and observe any such restriction. Any failure to comply with these restrictions may constitute a violation of the securities laws of any such jurisdiction. The securities mentioned herein have not been, and will not be, registered under the U.S. Securities Act of 1933 (the "Securities Act"), and may not be offered or sold in the United States (as such term is defined in Regulation S under the Securities Act) unless they are registered under the Securities Act or pursuant to an exemption from registration. No public offer of the securities is being made in the United States. This document is not an offer of securities for sale in any jurisdiction. Certain statements in this presentation 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: overall economic and business conditions in South Africa, Ghana, Australia, Venezuela and elsewhere; the ability to achieve anticipated efficiencies and other cost savings in connection with past and future acquisitions; the success of exploration and development activities; decreases in the market price of gold; the occurrence of hazards associated with underground and surface gold mining; the occurrence of labor disruptions; availability, terms and deployment of capital; changes in relevant government regulations, particularly environmental regulations and potential new legislation affecting mining and mineral rights; fluctuations in exchange rates, currency devaluations and other macroeconomic monetary policies; and political instability in South Africa, Ghana, regionally in Africa or in Venezuela. These forward looking statements speak only as of the date of this document. Gold Fields 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. 2

STRATEGY

The Gold Fields Franchise STRATEGY � Simple corporate structure � Diversified - 40% EBITDA from outside SA . � Unhedged Ghana � Tarkwa � Damang Australia Peru � St Ives South Africa � Cerro Corona � Agnew � Driefontein � Kloof � Beatrix � Liquid - 100% free float � South Deep Operating mines � Daily volume 8 million shares Developing mine � Listed on the NYSE, JSE, DFIX Production: 4 moz Reserves: 92moz Resources: 252moz Mines: 9 4

Leadership Changes STRATEGY Operational Executive Terence Goodlace Chief Operating Officer Nick Holland Chief Executive Officer Vishnu Pillay Glenn Baldwin Juan Luis Kruger Head of Operations Head of Operations Head of Operations South Africa Australia & Ghana South America SEAMLESS TRANSITION, FOCUSED LEADERSHIP 5

Our Strategic Commitment STRATEGY Notional Cash Expenditure Free Cash Flow Margin Growing Growth Gold Fields Operational Excellence Securing SAFETY! the Future UNHEDGED SAFE PRODUCTION = PROFITABLE PRODUCTION 6

Our Strategic Commitment STRATEGY Gold Fields Margin 1000 900 800 700 42% 600 500 400 300 200 100 0 Q1F07 Q2F07 Q3F07 Q4F07 Q1F08 Q2F08 Q3F08 Q4F08 Revenue(US$/oz) Cash Costs (US$/oz) FOCUS ON THE MARGIN 7

Our Commitment Unfolding STRATEGY Growing Gold Fields Operational Excellence Securing the Future Stabilisation of power allocation SOUTH AFRICA Commissioning June 08, Production & Shipment Q1 F09 CERRO CORONA CIL expansion on track for Q1 F09 start-up TARKWA A development project gaining momentum SOUTH DEEP Developing new underground mines ST IVES Rule of Five’s → Rule of Two’s for exceptional returns EXPLORATION IMPROVED CASH GENERATION IN F2009 8

Growing Gold Fields Operational Excellence Securing the Future FINANCIAL 9

Q3 F08 Salient Features FINANCIAL Growing Gold Fields Operational Excellence Securing the Future Attributable production down 14% to 827koz Unit total cash costs US$513/oz (US$467/oz) Operating profit up 17% to US$ 347 million (US$300 million) Core earnings US$138 million (US$88 million) Core earnings up 62% to US$0.21cps Cash flow from operations less all capital ~ US$130 million Interim dividend of ~ US$0.08 (R0.65 per share) CAPTURING THE GOLD PRICE 10

Q3F08 Capital Expenditure Analysis FINANCIAL Growing US$m Gold Fields Operational Excellence Securing the Future Cash from operations 408 Sustaining capex South Africa 72 Australia 34 Ghana 25 Subtotal 131 Project capex Driefontein 9 shaft 8 South Deep 26 Tarkwa CIL Plant 35 Cerro Corona 77 Subtotal 146 Total capex 277 SIGNIFICANT INWARD INVESTMENT 11

Q3F08 Balance Sheet FINANCIAL Growing Gold Fields Q3 2008 Q2 2008 Operational Excellence Securing the Future Cash 1,944 1,321 Rm Debt (6,635) (6,412) � Long term (5,951) (6,037) Rm � Short term (684) (375) Rm Net debt (4,691) (5,091) Rm Net debt (586) (727) US$m Western Areas Hedge Closed Out February 2007 1 million ounce hedge retired at US$622/oz ~US$300 million benefit FULLY EXPOSED TO THE GOLD PRICE 12

Growing Gold Fields Operational Excellence Securing the Future GROWING GOLD FIELDS 13

Tarkwa CIL Expansion GROWING GOLD FIELDS 1,000 900 Gold Produced (k oz) 800 ~750 kozpa 700 600 500 400 Moz sold Expansion Base Case 300 3.6 4.9 HL 200 8.0 5.8 CIL 100 11.7 10.7 Total 0 2007 2009 2011 2013 2015 2017 2019 2021 2023 2025 2027 2029 Financial Years Expansion Base case 80koz to 100koz ADDITIONAL OUNCES PER ANNUM COMPLETION SEPTEMBER 2008 14

South Deep Project GROWING GOLD FIELDS South Deep Project Current State � Insufficient installed shaft capacity for planned build-up and ore reserve development � Conventional VCR depleted � 100 Day Plan (Refocus, Restructure, Repair) Next 18 Months � Focus on completing Twin Shaft Infrastructure � Focus on Ore Reserve Development � Maintain Production at 80,000 to 100,000 tonnes per month (200koz per annum) � New Geological models and build-up plan due after June 08 15

South Deep Project GROWING GOLD FIELDS 95 Level Vent Vent Main Raise Shaft Shaft Shaft 1 May, 2008 59.3m ACCIDENT drop SITE 100 DAYS TO REPAIR 16

South Deep Project GROWING GOLD FIELDS Kloof /South Deep Project South Deep Kloof Vent No. 4 Main South Collar (BD) -230.9 m -225 m Hoisting Capacity Hoisting Capacity Hoisting Capacity 202 ktpm 220 ktpm 176 ktpm Surface conveyor Upgrade to 51 Level -1,334 m 2 SV pump station 1 SV 180,000 tpm -1,510 m 50 3 SV 53 Hoisting 56 58 Capacity 60 63 164 ktpm 65 4SV 22 68 70 23 4 # Bottom 71 1 SV Bottom 84 Level -2,426 m 72 -2,214 mbd pump station 75 78 80 83 85 90 90 -2,750 m 93 95 95 95 Level (+-100 000tpm) Vent Raise 95A belt level -2,940 mbd 100 105 -3,221 mbd Main # Bottom 3 SV Bottom 2 SV Bottom 110 39 110A -3,006 mbd -2,993 mbd 115 120 41 125 43 130 Decline Length 3,146m at 8º 45 135 (-3495 m) 4 SV Bottom -3,723 mbd Schematic Diagram PRE-FEASIBILITY STUDY UNDERWAY 17

South Deep Project GROWING GOLD FIELDS Kloof /South Deep Production Profile Mt* * South Deep projections as per feasibility study Kloof inc 4 # Phase 2 ex Kloof 800koz pa Uncle Harry’s Phase 1 SD phase 2 Current mine ACCELLERATING PRODUCTION 18

South Deep Project GROWING GOLD FIELDS Drill Rig Jumbo Drill Rig Low Profile Drill Rig THE MINE OF THE FUTURE 19

Cerro Corona Project GROWING GOLD FIELDS Growing Gold Fields Operational Excellence Q3 F08 PROJECT MILESTONES Securing the Future Mechanical Work Completed:17 April 08 (Crusher, Filtration and Storage Areas) Energization of 220kV power line and Cerro Corona Substation Initiated water storage behind TMF embankment Commissioning Manager and Team appointed Project-Operational transition team and plan in place Approval for Concentrate Shipment and Port EIA CERRO CORONA ON TRACK 20