African Mining May 2023 | Page 17

OPERATIONS •

Gold Fields finished 2022 with net debt of USD704-million , resulting in a net debt to EBITDA ratio of 0.29x , its lowest in well over a decade . The enhanced dividend policy that was announced in July 2022 has remained in place , with a commitment to pay out between 30 % and 45 % of normalised earnings from 2023 onwards . Recognising the windfall received from the break fee together with the strong financial performance , the company declared a final 2022 dividend of 445 SA cents per share . This takes the total dividend declared for the year to 745 SA cents per share , which represents a payout ratio of 47 % of normalised earnings . And all this , per Preece , “ despite the Yamana transaction occupying a significant amount of senior corporate management ’ s time and attention .”

The stability of the company ’ s operating regions such as Australia ( which constitutes over 50 % of revenue ) and South Africa were a highlight . Australia showed a 4 % production growth , while South Africa ’ s South Deep managed a 12 % increase in production – no mean feat when one considers that the country ’ s mining industry as a whole experienced a reduction in production levels due to major challenges in the energy space with rolling blackouts , among others . Preece pointed out the calibre of “ the great work being done by the exceptional people of Gold Fields across the globe ” running the company ’ s assets as being a vital ingredient to the winning recipe Gold Fields has displayed .

ESG – Zero Harm Preece ’ s passion for Gold Fields ’ people is always almost tangible . He made it clear in his recent review of the financials , “ My first commitment to our people is that of ‘ Zero Harm .’” He spoke of a tragic loss of a colleague in a fatal incident at the underground Hamlet mine at St Ives in Western Australia , where a raise bore operator succumbed to injuries in a rock fall . This was the first

fatality recorded by Gold Fields in Australia since the company started operating there in 2001 . On 5 February 2023 , there were two fatal injuries at the Asanko mine in Ghana , which is managed by Galiano Gold . The two contractor employees were involved in a vehicle incident at the mine . He noted that that South Deep had a fatality-free year for the first time since Gold Fields acquired the mine in 2006 . The Group-wide TRIFR improved to 2.04 per million hours worked from 2.16 in 2021 , while the number of serious injuries declined from nine in 2021 to five in 2022 .

“ Our concept of ‘ Zero Harm ’ does not only cover physical injuries and health , but also includes the psychological well-being of our people . I will work with our teams across the globe to ensure that we achieve this ,” he said .

The company has also taken the bold step of implementing an external review into gender safety at its offices and operations to enable the development and implementation of a response plan . At the end of 2022 , 23 % of total company employees were women – up from 22 % a year earlier and on track to achieve a 30 % target by 2030 . These are stand-out numbers when one considers the fact that globally women make up only 8 – 17 % of the mining industry . ³

Energy – “ Part of the solution , not part of the problem ” In addition , on the ESG ( Environmental , Social and Governance ) front , the company is targeting a 30 % reduction in emissions overall by 2030 off a 2016 base , as it continues to roll-out renewable energy projects at its operations globally . For example , despite some delays , the 12MW solar plant at the Gruyere mine in Western Australia was successfully commissioned within budget ( USD20-million ) last year , while the Gold Fields South Deep Mine was singled out by South African minister of Mineral Resources and Energy , Gwede Mantashe , at the Investing in African Mining