Gold Fields Limited (GFI) Q2 2024 Earnings Call Transcript

Prepared Remarks

Questions and Answers

Call Participants

Prepared Remarks:

Mike Fraser

Good day all and thank you for joining us today for the presentation of our operational and financial results for the six months ending 30th of June 2024. With me today is our Interim CFO, Alex Dall. I ask that you note our forward-looking statements.

As part of the presentation today, we will be sharing our safety, operational, financial and ESG performance for the six months, as well as providing an update and outlook for the balance of the year. It is with deep regret that we reported two fatalities in the half year. We would like to honor the lives of our colleagues that we lost at our operations and continue to keep their families and loved ones in our thoughts. I again extend our sincere condolences to the family, friends and colleagues of our colleagues that lost their lives. I absolutely believe that a fatality-free mining business is possible and that we can deliver on our promise that everyone who works at Gold Fields goes home safe and healthy every day. As part of improving the safety outcomes in our business, we commissioned DSS+ to conduct an independent review of our safety culture, processes, systems and practices. This review has been completed and I'll discuss more of the safety journey with you shortly.

In terms of delivering value to our host communities, earlier this month, our St Ives mine signed a landmark native title agreement with the Ngadju People, who are the determined native title holders of the lands and waters surrounding Norseman, where the St Ives mine is located. It was indeed a privilege to have been part of the signing ceremony of this landmark agreement, which will see significant value delivered to the Ngadju People over the life of the mine. We continue to make strides in our decarbonization journey as we have commenced construction of renewable energy plants at St Ives and Granny Smith.

Moving on to our operational performance, we are very disappointed to be reporting a 20% decline in production, which has had a significant impact on our unit cost performance given the inherent operating leverage of our assets. I am however confident that we will deliver a significantly improved second half as the Salares Norte mine ramps up and the recovery plans are being implemented at South Deep, Gruyere, St Ives and Cerro Corona, bear fruit.