Integrated Annual Report for the year ended 31 December 2015 Gold Fields Integrated Annual Report for the year ended 31 December 2015 To be the global leader in sustainable gold mining The Gold Fields Integrated Annual Report 2015 1.1 About this report Our 2015 Integrated Annual Report About Gold Fields comprises the following volumes: ❯ The Integrated Annual Report (IAR) 2015, Gold Fields Limited is an unhedged, which examines the integrated nature of globally diversified producer of gold with our operational, financial and sustainability eight operating mines in Australia, Ghana, performance ❯ The Annual Financial Report 2015, which Peru and South Africa with attributable fulfils our statutory financial reporting annual gold production of approximately requirements ❯ The Mineral Resources and Mineral 2.2 million ounces. It has attributable Reserves Overview 2015, which provides Mineral Reserves of around 46 million detailed technical and operational ounces and Mineral Resources of around information on our mines and growth projects 102 million ounces. Attributable copper ❯ Gold Fields Global Reporting Initiative Mineral Reserves total 532 million pounds (GRI) Content Index for the IAR 2015 and Mineral Resources 910 million The aim of our integrated approach is pounds. Gold Fields has a primary listing to enable our stakeholders, including investors, to make a more informed on the JSE Limited, with secondary assessment of the value of Gold Fields and listings on the New York Stock Exchange its prospects. The IAR also forms part of our (NYSE) and the Swiss Exchange (SWX). Communication on Progress to the United Nations Global Compact. A summary of our adherence to the GRI, the 10 Principles of the United Nations Global Compact and the 10 Principles of the International Council on How to read this Integrated Annual Report: Mining & Metals (ICMM) and its mandatory GOLD FIELDS AR 2015 PROOF 2_3 MARCH 2016 requirements of the position statements are presented online. Integrated Annual Report Mineral Resource and Mineral Reserve for the year ended 31 December 2015 Supplement to the Integrated Annual Report for the year ended 31 December 2015 Forward looking statements Readers are referred to the forward looking statements on p148. To be the global leader To be the global leader in sustainable gold mining in sustainable gold mining Integrated Annual Report Mineral Resources and Reserves Supplement GOLD FIELDS FINANCIAL REPORT 2015 SHELL 01_02 FEBRUARY 2016 GRI G4 Content Index Annual Financial Statements for the year ended 31 December 2015 for the year ended 31 December 2015 Download this QR code from your smartphone to gain quick access to our website To be the global leader To be the global leader in sustainable gold mining in sustainable gold mining Annual Financial Report Global Reporting Initiative (GRI) Content Index www.goldfields.com Contents 1 Our business IFC 1.1 About this report 2 1.2 Our operating environment 4 1.3 Gold Fields DNA 5 1.4 Our value creation model 8 1.5 Gold Fields annual performance dashboard 10 1.6 Total value distribution 12 1.7 Group performance scorecard 2015 Leadership, governance and 2 materiality 14 2.1 Vision of the Chairperson 16 2.2 CEO Report 31 2.3 Corporate governance 39 2.4 Operating context 42 2.5 Risk and materiality 3 Financial focus 52 3.1 Introduction 57 3.2 Strategic focus areas 4 Business optimisation 60 4.1 Introduction 61 4.2 Operational performance overview 68 4.3 Strategic focus areas 5 Social licence to operate 90 5.1 Introduction 92 5.2 Strategic focus area 6 Focus on people 122 6.1 Driving a high-performance culture 126 6.2 Strategic focus areas 132 6.3 Remuneration and benefits 7 Assurance 138 7.1 First party: Internal audit statement 7.2 Independent Assurance Provider’s Report 139 to the Directors of Gold Fields Limited 143 7.3 Key sustainability performance data 147 Administration and corporate information The Gold Fields Integrated Annual Report 2015 Scope and boundaries of February 2013. This report has been (ICMM subject matter 5 is not this report compiled in accordance with the applicable due to Gold Fields’ This is Gold Fields’ 2015 IAR. GRI’s G4 Guidelines and the transition to GRI G4 Core). The key It covers the reporting period from International Integrated Reporting sustainability performance data for 1 January 2015 to 31 December Council Framework. Gold Fields also assurance by KPMG in 2015 can be 2015. The previous IAR was references a broad range of found on page 143. published in March 2015 and additional codes, frameworks and covered the financial reporting standards in compiling the report, Board approval period from 1 January 2014 to the full list of which can be found on The Gold Fields Board of Directors 31 December 2014. page 35. We believe the Integrated considers that this IAR complies in all Annual Report, together with material respects with the relevant This IAR provides an overview of additional documents held online, statutory requirements of the various Gold Fields’ eight global operations complies with the requirements of regulations governing disclosure and in Australia, Ghana, Peru and South GRI G4 Core Reporting Guidelines. reporting by Gold Fields and that the Africa, as well as our exploration and annual financial statements comply in business development activities. An average exchange rate for 2015 all material respects with the South Detail on the exact location of each of R12.68 and A$0.72 to the African Companies Act No 71 of operation and project can be found US Dollar have been used in this 2008, as amended, as well as with on the global map on page 2. report. For 2016 forecasts exchange International Financial Reporting rates of R14.14 and A$0.73 to the Standards. As such, the Board We use an integrated approach to US Dollar have been used. approves the content of the IAR reporting that examines our 2015, including the Annual Financial operational, financial and Assurance Report 2015. sustainability performance. All Our auditors, KPMG, have provided non-financial data for 2013 exclude reasonable assurance on selected the Yilgarn South assets we acquired sustainability information in this that year, unless otherwise indicated. report, which is prepared in All 2014 and 2015 non-financial data accordance with the GRI G4 are inclusive of the Yilgarn South guidelines. As a member of the assets. Furthermore, all 2012 data, ICMM we are committed to obtaining where stated, cover only the assurance in line with the ICMM Cheryl Carolus continued operations of Gold Fields, Sustainable Development Chairperson of the Board i.e. they exclude the contributions Framework: Assurance Procedure. from the Sibanye Gold assets, which KPMG has provided assurance on the 22 March 2016 were unbundled from Gold Fields in four subject matters of the ICMM www.goldfields.com http://www.linkedin.com/company/gold-fields-ltd-?trk=top-nav-home Send us your feedback To ensure that we report on issues that matter to our stakeholders please provide any feedback and questions to: [email protected], [email protected] or visit www.goldfields.com to download the feedback form. 1 The Gold Fields Integrated Annual Report 2015 1.2 Our operating environment Key Mines Corporate Office ▲ Regional Offices Projects Status Cerro Corona Far Southeast (Philippines) Scoping study Lima ▲ Salares Norte (Chile) Scoping study Salares Norte (Chile) Arctic Platinum project (Finland) For disposal Americas region Gold Fields presence in the Americas region consists of 2015 Production the Cerro Corona mine in Peru and the Salares Norte project 13% contribution to in Chile Group Safety All-in Cost Net cash inflow 2 (TRIFR)1 score US$ per ounce3 US$m 1.2 800 150 700 1.0 120 600 0.8 500 90 0.6 400 60 0.4 777 300 200 2015: 30 2015: 0.2 100 0 fatalities 0.0 0 US$35m 0 15 14 /oz 15 14 15 14 West Africa region Production Gold Fields West Africa region consists of two mines in 201534% 34% contribution to Ghana, Tarkwa and Damang Group Safety All-in Cost Net cash inflow 2 (TRIFR)1 score US$ per ounce US$m 1.2 1,200 150 1.0 1,000 120 0.8 800 90 0.6 600 60 0.4 1,049 400 2015: 30 2015: 0.2 200 1 fatality 0.0 0 US$44m 0 15 14 /oz 15 14 15 14 1 TRIFR - Total Recordable Injury Frequency Rate ( Injuries per 1 million hours worked), including employees and contractors 2 Net cash flow from operating activities after taking account of net capital expenditure and environmental payments 3 Per gold - equivalent ounce 4 The two fatalities listed were workplace accidents. A third fatality occurred involving a member of the protection services team at South Deep, who was shot and killed during a robbery at the mine 2 Arctic Platinum project (Finland) The Gold Fields Integrated Annual Report 2015 Far Southeast Tarkwa Damang ▲ Accra ¨ South Deep Johannesburg Agnew Darlot Granny Smith St Ives Perth▲ Australia region The Australia region consists of four mines in Western 2015 Production Australia - Agnew, Darlot, Granny Smith and St Ives - and the 44% contribution to Far Southeast project in the Philippines Group Safety All-in Cost Net cash inflow 2 (TRIFR)1 score US$ per ounce US$m 20 1,200 300 1,000 250 15 800 200 10 912 600 150 400 100 5 2015: 200 2015: 50 0 fatalities 0 0 US$255m 0 15 14 /oz 15 14 15 14 South Africa region Production The South Deep mine, which is still in a ramp-up phase, is the 20159% 9% only operating asset in the South Africa region contribution to Group Safety All-in Cost Net cash outflow 2 (TRIFR)1 score US$ per ounce US$m 5 2,000 0 4 (20) 1,500 (40) 3 1,000 (60) 2 1,559 (80) 500 1 2015: 2015: (100) 2 fatalities4 0 0 US$80m (120) 15 14 /oz 15 14 15 14 3 The Gold Fields Integrated Annual Report 2015 1.3 Gold Fields DNA Our Vision We are an international company with a global portfolio of assets, T r..