50NT Hsbc Bk. 25

RNS Number:9175E
Gold Fields Ld
3 February 2000


GOLD FIELDS LIMITED
REPORTS SUBSTANTIAL INCREASE IN EARNINGS FOR THE DECEMBER QUARTER

Earnings before exceptional items increased from R21 million to R213 million

Significant operational improvements from Driefontein

Positive reduction in working costs 

Free State reconstruction completed

Interim dividend of R0.20 per share declared

Johannesburg, February 3 - Gold Fields Limited reports that earnings before
exceptional items for the quarter ended December 1999 were R213 million (US$35
million) compared with R21 million (US$3 million) in the previous quarter, a
tenfold increase.  Earnings per share before exceptional items are R0.47 for
this quarter (US$.08), compared to R0.05 for the September 1999 quarter
(US$.01).  This significant improvement is attributable to a higher gold price
achieved during the quarter, a turnaround at Driefontein and lower working
costs.

Earnings after exceptional items were R192 million (US$31 million) compared
with a loss of R88 million (loss of  US$15 million) in the previous quarter,
the results of which were distorted by the cost effects of the hedge
repurchase and retrenchments.  Earnings per share after exceptional items are
R0.43 (US$.07), compared to a loss of R0.20 (loss of US$.03) for the September
quarter.  Exceptional items net of tax amount to R20.1 million and are
comprised of mainly retrenchment costs.

Revenue of R1 819 million was higher than the previous quarter due to a higher
realized gold price of R58 337 per kilogram (US$296 per ounce), compared with
a realized gold price of  R52 674 per kilogram (US$269 per ounce) achieved in
the previous quarter.  The decision in the previous quarter to close out all
hedge positions has enabled the Company to take advantage of the higher gold
price that prevailed during the quarter.  It is important to note that the
realized gold price achieved for the quarter closely correlates with the
average realized gold price that would have been achieved had the hedge
positions not been bought back.

Chris Thompson, Chairman and CEO of Gold Fields, stated, 'We have endeavoured
over the past year to clean house, positioning the company so that it is debt
free and hedge free.  As evidenced by this quarter's performance, the company
is capable of generating strong cash flow even at a gold price below $300.  As
we feel that the worst of the gold-price slide is behind us, we look forward
to even stronger financial performance in the future and the leverage that
higher gold prices will provide.'  

Attributable gold produced in the December quarter was 990 000 ounces compared
with 963 000 ounces in the previous quarter, and cash costs decreased to 43
210 R/kg (US$220 per ounce) from 43 608 R/kg (US$223 per ounce).  This cost
reduction was achieved despite a five and a half per cent increase in total
development metres during the quarter.

Driefontein demonstrated a significant turnaround from the previous quarter by
increasing its output by 1 162 kilograms without any increase in its working
costs.  The higher production arose from an increase in the underground grade
from 10.1 grams per ton to 11.5 grams per ton due to improved mining
efficiencies.

'These results show that we are starting to turn the corner on lowering costs
and improving productivity.  We will maintain this focus to ensure that this
quarter's good performance remains sustainable.  I am cautiously optimistic
that this improving trend will continue in the future,' said Ian Cockerill,
Managing Director. 

During the December quarter, the reconstruction of the Free State assets was
completed whereby the remaining 45.8% minority interest in St. Helena was
acquired in return for the issuance of 4.4 million Gold Fields shares. The
first positive impact of this restructuring is evidenced by the fact that,
although earnings were higher this quarter, the tax charge was cushioned by
Oryx and Beatrix being regarded as one mine for income tax purposes from 1
July 1999.  The tax for the quarter was reduced by some R20 million.  

The directors have declared an interim dividend of R0.20 per share, payable to
shareholders registered at the close of business on 18 February 2000.  

Gold Fields Limited is one of the world's largest gold producers with four
million ounces of gold production per annum, 146 million ounces of mineral
resources, and 74 million ounces of mineral reserves.  In addition to being
listed on the Johannesburg Stock Exchange (GFI) and on Nasdaq (GOLD), the
company is also listed on the London, Paris and Swiss Stock Exchanges and
trades on the Brussels Stock Exchange through an International Depositary
Receipt programme.

See accompanying abbreviated financial information
Full results may be found at the company's website, www.goldfields.co.za

Contact:   Willie Jacobsz, Gold Fields Limited
(+27 11) 644-2460 or investors@goldfields.co.za
or
Keith Irons, Bankside Consultants Limited
0207 220 7477 or keith@bankside.com

GOLD FIELDS LIMITED
DECEMBER 1999 QUARTERLY RESULTS

Prepared in accordance with International Accounting Standards (unaudited)

                                                                              
                      South African Rand                 United States Dollar 
                         and metric                          and imperial
                     Dec 99       Sept 99              Dec 99       Sept 99
SALIENT FEATURES
Gold produced* kg   30,794       29,940   oz(000)        990          963
Tons milled
(u/ground)* 000      3,105        2,974      000       3,105        2,974
Revenue R/kg        58,337       52,674     $/oz         296          269     
 
Cash costs* R/kg    43,210       43,608     $/oz         220          223
Total operating 
costs R/kg          45,241       46,291     $/oz         230          236
Operating costs 
(u/g)* R/ton           422          437     $/ton         69           72
Operating profit Rm    400          205     $m            65           34
Earnings before
exceptional 
items - Rm             213           21     $m            35            3
- cents per share       47            5     US c.p.s       8            1
Earnings after
exceptional 
items  - Rm            192          (88)    $m            31          (15)    
- cents per share       43          (20)    US c.p.s       7           (3)
 
*Attributable - St Helena 100% (previous quarter 54.2%). All other Companies
wholly owned except Tarkwa (71.1%)
Note: Number of shares in issue 452.8 million (September 448.4 million)


ABRIDGED BALANCE SHEET                                                        
                                       All figures in millions             
                                                                              
                                                Rand        US Dollars
Mining assets 
and investments                    12,455       12,340       2,028       2,053
Cash net of short-term debt           321          231          52          38
Other net assets/(liabilities       (577)        (728)        (93)       (120)
                                   12,199       11,843       1,987       1,971
Shareholders equity                7,923        7,605       1,290       1,266
Deferred taxation                   3,681        3,686         599         613
Long-term loans                       184          142          30          24
Long-term provisions                  411          410          68          68

ABRIDGED CASH FLOW STATEMENT
Cash from operations                  349          180          57          30
Dividend paid                       (134)            -        (22)           -
Capital expenditure 
and investments                     (171)         (178)       (28)        (30)
Financing - loans                    (27)           121        (4)          20
Change in cash position               17            123          3          20


Interim dividend - R0.20 per share
Last date to register - 18 February 2000
Sterling conversion - 10 March 2000
Paid - 24 March 2000

END

 







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