“if we cannot mine safely, we will not mine” filetelephone: +27 (0) 11 562 9700 facsimile: +27...

Gold Fields: Agnew Gold Mine – Technical Short Form Report 2011 1

Registered Office South Africa:150 Helen RoadSandownSandton, 2196 JohannesburgGautengPrivate Bag X30500Houghton, 2041 South Africa

Website: http://www.goldfields.co.za Telephone: +27 (0) 11 562 9700Facsimile: +27 (0) 11 562 9838

“If we cannot mine safely, we will not mine”

Gold Fields Safety Value

2

Agnew Gold MineTechnical Short Form Report31 December 2011


Salient features

� Mineral Resources at 3.8 Moz.

� Mineral Reserves at 1.3 Moz.

� Stable Mineral Reserve and Mineral Resource base.

� Positive results at Cinderella – potential starter pit.

� High grade shoots – Fitzroy, Bengal and Hastings –

discovered beneath Main Lode.

� Life of Mine extends to 2018 (seven years).

Agnew has a well-funded exploration strategy aimed at extending existing Mineral Reserves from its prospective and relatively unexplored tenements through target testing, new

discovery and new target generation for future definition.

Geographic location

Yilgarn

Craton

Perth

Kalgoorlie

Leinster

DerbyAgnew

Tenements

Western

Australia

Geographic location IFC

1. Overview Page 1

2. Key aspects Page 2

3. Operating statistics Page 3

4. Geological setting and mineralisation

5. Mining Page 6

6. Projects Page 7

7. Mineral processing Page 7

8. Sustainable development Page 8

9. Mineral Resources and Mineral Reserves Page 9

10. Regulatory codes Page 13

11. Competent Persons Page 13

12. Key technical staff Page 14

13. Brief history Page 17

Res

ourc

e co

nver

sion

dril

ling,

War

oong

a C

omp

lex,

Agn

ew

1. OverviewThe Agnew Gold Mining Company Pty

Limited is wholly owned by Gold Fields

Limited and currently holds tenements

covering an area of approximately

68,138 hectares. Agnew is located some

375 kilometres north of Kalgoorlie in the

same geological region as St Ives Gold

Mine, and exploits shear-hosted auriferous

zones from the highly mineralised

Norseman-Wiluna Greenstone Belt.

Agnew represents a solid base for Gold

Fields’ growth in the region and is an

important contributor to the stated vision,

“To be the global leader in sustainable gold

mining”, with a target contribution from the

Australasia Region of ~1.0 Moz per annum

by 2015 in production or development.

Main strategic aims for the company are the

discovery of additional Mineral Reserve

sources to supplement Waroonga in the

short term and the discovery of a significant

new ore complex to replace Waroonga in

the medium to long term.

Reported Mineral Reserves at Agnew were

maintained at 1.3 Moz from December 2010

to December 2011, including the impact of

depletion at 224 koz, indicating an effective

increase of 205 koz. Changes from

December 2010 were dominated by

extensions to the main ore body at the

Waroonga Underground Complex and the

impact of higher gold price assumptions for

the December 2011 statement.

This Technical Short Form Report reflects

the latest Life of Mine plan input parameters,

coupled with an updated Mineral Resource

and Mineral Reserve statement as at

31 December 2011. All Mineral Resource

and Mineral Reserve figures reported

are managed unless otherwise stated

and Mineral Resources are inclusive of

Mineral Reserves.

Note: For abbreviations refer to page 28 and for glossary of terms refer to page 29 – “Mineral Resources and Mineral Reserves Overview 2011”.

1

Cover image:

CIP processing plant, Agnew Gold Mine


2. Key aspects

Independent audit Figures reported in this declaration are as reviewed by independent external consultants as at

31 December 2011 [Optiro Pty Ltd for Mineral Resources and AMC Consultants (Pty) Ltd for Mineral

Reserves]. Gold Fields has been informed that the audit identified no material shortcomings in any

process by which the Agnew Mineral Resources and Mineral Reserves were evaluated

Prepared by Gold Fields Limited in compliance with the SAMREC Code (2007 edition)

Effective date 31 December 2011

Source of information This Technical Statement is a summary of the detailed internally sourced document entitled December 2011 Agnew Competent Persons Report

Personal inspection Personal inspection is conducted by the Competent Persons as listed, who are full-time employees of

Gold Fields Limited

General location Agnew is situated at latitude 27° 55’ S and longitude 120° 42’ E in the Norseman-Wiluna Greenstone

Belt, 23 kilometres west of the town of Leinster in Western Australia, which is approximately 1,100

kilometres north east of Perth. Well-established power, access roads and supporting infrastructure are

in place

Licence status and

holdings

The Agnew Gold Mining Company Pty Limited (AGMC), ACN 098-385-883, was incorporated in

Australia in 2001 as the legal entity holding and conducting mining activity on the Agnew mineral

leases. The Gold Fields Limited group holds 100% of the issued shares of AGMC through its 100%

holding in the issued shares of Orogen Holding (BVI) Limited. Agnew controls exploration and mineral

rights over a total area of 68,138 hectares (total of granted tenements) and has security of tenure for

all current exploration and mining leases that contribute to future Mineral Reserves

Operational infrastructure One underground complex mining from three separate ore bodies accessed via declines. Centralised

administrative office, engineering workshops and one CIP processing plant (1.3 Mtpa capacity)

Climate No extreme climate conditions are experienced that may affect mining operations

Deposit type Orogenic greenstone gold hosted in a number of different styles of lodes. Although all of the Agnew

deposits are broadly hosted by the intersections between structures and stratigraphy, there are subtle

differences in alteration and mineralisation controlled in part by the local host rock chemistry

Life of Mine (LoM) Ongoing extensional and brownfields exploration continues which could potentially increase the LoM.

It is estimated that the current Mineral Reserve will be depleted in 2018.

Environmental/Health &

Safety

The mine maintained AS4801:2000 Occupational Health and Safety Management System certification

and ISO14001:2004, (Environmental Management System) certification. Agnew was certified as fully

compliant to the International Cyanide Management Code on 3 June 2009

Reporting codes Gold Fields reports its Mineral Resources and Mineral Reserves in accordance with the South African

Code for the Reporting of Exploration Results, Mineral Resources and Mineral Reserves (2007

SAMREC Code), and other relevant international codes such as SEC Industry Guide 7, JORC Code

and NI 43-101. The Mineral Resources and Mineral Reserves are underpinned by an appropriate

Mineral Resource Management process and protocol to ensure adequate corporate governance in

respect of the intent of the Sarbanes-Oxley Act

Op

en p

it m

inin

g o

pera

tio

ns

3

3. Operating statistics

UnitsDec

2011

Dec20101

June2010

June2009

June2008

Open pit mining

Total mined kt 1,610 – – – 393

– Waste mined kt 1,024 – – – 191

– Ore mined kt 586 – – – 202

Mined grade g/t 1.6 – – – 3.2

Strip ratio (tonnes) waste : ore 2.1 – – – 1.0

Underground mining

Ore mined kt 621 312 581 737 505

Mined grade g/t 9.7 8.4 8.9 7.9 9.3

Processing

– Mill tonnes kt 935 417 883 1,066 1,315

– Mill head grade g/t 7.0 6.5 6.2 5.8 5.3

– Yield g/t 6.5 5.9 5.8 5.6 4.8

– Plant recovery factor % 94.0 93.7 93.4 92.6 92.9

Gold produced

– Milling koz 194 80 165 192 204

– Heap leach koz N/A N/A N/A N/A N/A

Total gold producedkoz 194 80 165 192 204

kg 6,035 2,258 4,685 5,253 5,873

Gold sold oz 194 80 165 192 204

Financials

Operating cost A$/oz 692 680 614 526 452

Total cash costA$/oz 675 662 611 541 496

US$/oz 696 621 539 401 445

Capital expenditure A$ million 71.8 26.6 62.6 41.6 37.0

Notional cash expenditure

(NCE)

A$/oz 1,062 1,013 992 743 632

US$/oz 1,096 951 875 550 567

General

Employees (TEC) number 440 364 375 343 314

Mineral Reserves Mt 7.1 6.9 6.7 2.9 2.5

Mineral Reserve Head Grade g/t 5.7 6.0 5.7 7.7 7.7

Mineral Reserves Moz 1.3 1.3 1.2 0.7 0.6

Expected Life of Mine years 7 7 7 4 3

1Figures shown represent the six months to 31 December 2010. Rounding off of figures presented in this report may result in minor computational discrepancies. Where this occurs it is not deemed significant.

Ag

new

CIP

pla

nt

co

mp

lex


In comparison to other greenstone belts in the Yilgarn Craton, the Norseman-Wiluna

Greenstone Belt is highly mineralised, particularly in gold and nickel.

4

Agnew is situated in the northern portion of the Norseman-

Wiluna Greenstone Belt, which is part of the Yilgarn Craton,

a 2.6 Ga granite greenstone terrain in Western Australia.

The rock types in the belt comprise abundant tholeiitic

and komatiitic volcanic rocks, chert, sulphidic and albitic

sedimentary rocks, and a chain of discrete felsic volcanic

centres.

The greenstones of the Agnew area have been

metamorphosed to upper greenschist, lower amphibolite

metamorphic grades. Gold mineralisation is found in quartz

breccia lodes, quartz tensional veining and disseminated

arsenopyrite-pyrite-biotite mineralisation developed along the

lithological contact between a sandstone and ultramafic

conglomerate and on other contacts within the ultramafic

conglomerates package. High-grade ore shoots plunge

steeply to the north along these contacts. The controls on

mineralisation are dilational zones at the intersection of

steeply dipping N-S axial planar structures with the

stratigraphy. The stronger the contrast in rock competency in

these zones, the greater is the potential for mineralisation.

Much of the Yilgarn Craton is deeply weathered and partially

covered by Tertiary and Quaternary regolith. Pre-Tertiary

lateritic horizons are variably exposed, stripped or buried by

later deposits that have in turn been lateritised. The depth of

weathering is strongly controlled by original rock types, with

mafic rocks generally being more susceptible to weathering

than felsic rocks.

Local geology

The Agnew-Wiluna section of the Norseman-Wiluna

Greenstone Belt is bounded by large granitoid bodies and the

Ida fault to the west. The Ida fault, locally termed the Waroonga

shear, is a major regional scale shear zone that defines the

western edge of the Kalgoorlie terrain. The majority of the

Agnew ore bodies are on the western limb of the Lawlers

anticline, a large open fold, plunging 30° to the north, although

economic mineralisation is also formed on the eastern limb

(e.g. Vivien), in axial planar positions to the north (e.g. Cams)

and in the adjacent Mt White syncline (e.g. Maria).

The Agnew anticline and the Mt White syncline are large-

scale folds plunging 30° to the north. The dip of the limbs’

range from moderate at the nose and shoulders of the folds

(e.g. at Waroonga) to steep and slightly overturned along the

limbs (e.g. at Songvang).

Although all of the Agnew deposits are broadly hosted by the

intersections between structures and stratigraphy, there are

subtle differences in alteration and mineralisation controlled in

part by the local host rock chemistry. Songvang is unusual in

its relatively high lead, silver and fluorine content, possibly

reflecting input from tonalite and porphyry intrusions. There

also appears to have been a slight decline in mineralisation

temperatures from south to north through the Agnew area,

associated with the north plunge of the Lawlers Anticline and

resultant erosion of the overlying lower temperature rocks to

the south. This temperature change is reflected in the

changing mineralisation styles from south to north, with

biotite/garnet assemblages dominating to the south and

quartz veining to the north.

4. Geological setting and mineralisation

Schem

atic o

f g

old

min

era

lisatio

n o

ccurr

ences

Geo

log

y o

f th

e A

gnew

Law

lers

reg

ion s

ho

win

g t

he A

gnew

anticlin

e

The stratigraphy of the Agnew-Wiluna belt appears to be

broadly similar to the stratigraphy of the Kalgoorlie region.

The following section provides a detailed description of the

general stratigraphy for the Agnew mining leases and the

stratigraphic location of various ore bodies.

Exploration and drilling

At Agnew there is considerable endowment potential within

the current tenement holdings to add significantly to current

Mineral Resources and Mineral Reserves, through a

combination of on-mine (extensions to known Mineral

Resource) and near-mine exploration. In terms of the extent

of its tenement holdings and the exploration undertaken

Sandstone

Scotty Creek Sandstone

Ultramafic Conglomerate (North)Mafic Conglomerate (South)

Agnew Ultramafic

Lawlers Basalt

New Holland Genesis

Zone 2/3

Kim/Rajah/Main

Pilgrim

Vivien

Songvang

Crusader

Deliverer

Claudius

Gold Mineralisation Granite/Porphyry

Cams Camp

Maria North

Maria

Vivien

Lawlers

Songvang

Donegal North

Goldilocks

Miranda Fault

Alice

Cinderella North

Waroonga Complex

Surprise

Redeemer-Crusader

Endeavour-South

Target 20U

Pinnacles

Pinnacles South 0 5km

N

55

thus far, Agnew cannot yet be considered advanced in

exploration terms, and recent geological studies have

identified numerous prospective areas yet to be tested

effectively.

Mine exploration for the 12 months to December 2011

continued to focus on extensional drilling and reserve

delineation at Waroonga, specifically at Main Lode, where a

programme of surface drilling below Main North and South

was undertaken (exploration triangle below). Directional

surface drilling technology was successfully used and a total

of 17,446 metres was completed during the year. Drilling,

although initially designed to delineate ore for a possible

sub-level caving operation at Main North, was soon altered to

target the newly interpreted high-grade shoots – Fitzroy,

Bengal and Hastings (FBH) – between 700 and 1,200 metres

below surface.

Results and interpretation during 2011 have confirmed the

continuity of the three shoots down to the 9,300 mRL where

they remain open at depth. A fourth high-grade shoot –

Yeoman – has also recently been identified beneath Main

South with a few boreholes, but the dimensions still need to

be determined.

Exploration success in delineating high grade shoots beneath

Main Lode will see the Waroonga Complex continue to be the

focus of activity during 2012. Significant potential for

additional resource ounces exists between the Kim and the

Fitzroy shoots (Link target) as well as depth extensions to the

Fitzroy, Bengal, Hastings and Yeoman shoots.

In conjunction with the directional drilling programmes at

Waroonga, a regional (additional) exploration programme will

target the next complex scale discovery as well as smaller

high-grade deposits that have the potential to provide

supplementary ore feed within a one-to-three-year timeframe

(exploration triangle below). A decision on the viability of a

small open pit on the Cinderella deposit is expected in early

2012, while encouraging initial drill results from the Alice and

Goldilocks prospects will be tested during the first half of

2012.

The success of any exploration project is dependent on the

quality of the exploration data. The ability to extract the

inherent value in the data is also reliant on new technologies

to enhance interpretation and modelling of the data. Agnew

maintains rigorous quality assurance and quality control

(QA/QC) protocols on all of its exploration programmes, using

leading industry practice in data acquisition, reputable

laboratories and having sign-off by Competent Persons under

the 2007 SAMREC and 2004 JORC Codes.

Agnew’s resource development strategy will continue to

focus on the Waroonga Complex where, over the past two

years, our understanding of the geology and mineralisation

has increased and the resource continues to grow. All of the

interpreted mineralised shoots are open at depth and no drill

testing south of the Yeoman shoot has been completed to

date. Near-mine exploration will focus on initial testing of

several targets to the north (Cams) and south (Pinnacles) of

the main mine area. New targets are needed to fill the project

pipeline to ensure Agnew continues to grow.

Research and development

The Research and Development programme undertaken at

Agnew over the previous two years has resulted in a vastly

improved understanding of the following features of the

known gold deposits in the Agnew camp: � Deposit scale structural and temporal controls on the

gold mineralisation; � The geochemical signature of the known deposits and

importantly, the elements that are intimately associated

with gold mineralisation on the micro-scale; � Alteration minerals that are associated with gold

mineralisation; and � The stratigraphic architecture of those areas in the Agnew

camp where gold mineralisation is known to occur.

Observations stemming from the Research and Development

programme are being integrated with exploration targeting

and evaluation programmes and it is envisaged that this will

greatly improve the effectiveness of exploration in the Agnew

gold camp.

Now that the known deposits are understood, the Research

and Development programme will focus more on the regional

geology to identify new areas that are prospective for gold

mineralisation.

Regional (Additional) ExplorationMine (Extensional) Exploration

Cinderella North, Alice, Goldilocks,

Maria, Miranda Fault

Porphyry Link,

FBH Depth Extensions,

Yeoman

Fitzroy,

Bengal, Hastings,

Jaws, Papa Bear

Cinderella

15 targets, including

Cams, Pinnacles

450 South (deep)

Kim South (deep)

Research and development3-D GoCAD & Leapfrog Modelling

Mineral Systems/Prospectivity Mapping

Research and development3-D Leapfrog Modelling

Ongoing Deep Drilling Programmes

Indicated Mineral Resource

Resource

Development

Initial Drilling

Target Definition

Advanced Drilling


Develo

pin

g o

re d

rive

Exam

ple

o

f m

ine d

esig

n m

od

el

5. Mining

Mining methods

Access to the Waroonga underground mine is via a portal

and decline located in the previously mined Waroonga open

pit. All primary infrastructure, including escape ways and

ventilation shafts, are located in the competent sandstone of

the hanging wall. The dimensions of the decline are 5 x 5

metres wide by 5.8 metres high with arched backs to allow

high capacity trucks to operate.

The Rajah Lode will be mined in 2012 using the modified

Avoca Method, which is a variation of bench stoping

methodology where the fill typically consists of un-cemented

waste rock that is introduced to control wall stability at

intervals from 20 to 30 metres. This represents a change from

2011 where conventional long hole, longitudinal retreat open

stoping was used with strategic geotechnical pillars left in

situ. The Rajah reserve material is narrow vein-style

mineralisation paired with a weak footwall. This footwall has

demonstrated poor stand-up characteristics over stope

strikes greater than 15 metres.

The Main Lode North ore body will be extracted using

transverse stoping with mining commencing at the footwall

and retreating to the hangingwall. The stopes will be

accessed via a tramming drive developed in the hangingwall

sandstone.

The cutback of the Songvang pit is mining the northern

extent of the existing pit, which was mined between 2004

and 2007. Mining of the Songvang northern cutback will be

completed early in February 2012 using conventional open

pit truck and excavator methods, with all material mined

requiring drilling and blasting.

Mine planning and scheduling

The current mining areas are situated at Waroonga (Kim

South, Rajah and Main Lodes) and the Songvang open pit.

These form the basis for the 2012 operational plan. The

plans, design and schedules are provided and communicated

to the mining personnel and contractors, forming the basis of

the contract between the parties.

At Waroonga, the stope design takes practical stope layouts

into consideration as well as planning for mining losses in

pillars or other parts of the resource excluded for technical

reasons. Dilution material is included in the stope design. Ore

losses can occur when material cannot be practically

extracted from the stopes.

Datamine’s Mineable Shape Optimiser was used during the

December 2011 Mineral Reserve update. This software

optimises the stope shape by using variable cut-off grades.

At Songvang, the pit design for the northern cutback has

been optimised using Whittle 4X. The pit design includes a

dual lane ramp (23 metres wide to the 10420 level) at a

gradient of 1 in 8 to maximise pit production during the

pre-strip phase. The ramps are designed to suit 100-tonne

capacity rigid dump trucks.

The current mining operations consist of the Waroonga underground complex which includes

underground mining at the Kim South, Rajah and Main Lodes. Together with open pit mining

(and stockpiles) at Songvang North, these form the basis for the 2012 Operational Plan.

Rajah

Main North

Kim South

0 100 m

9,600mRL

9,900mRL

7

Cin

dere

lla c

oncep

t p

it d

esig

n

6. Projects

Underground production from Waroonga does not fully utilise

the processing plant capacity. To fully utilise the milling

capacity, a cutback of the Songvang pit commenced in

January 2011. The mining of the project is scheduled for

completion in February 2012 and stockpiled ore will provide

supplementary mill feed until Quarter 4, 2012.

The possibility of opportunistically exploiting small-scale open

pittable deposits for supplementary mill feed continues to be

examined and reviewed. In this regard a small “starter” pit at

Cinderella will be assessed early in 2012. Possible cutbacks

on existing open pits include New Woman and Redeemer.

Near-mine exploration on the extensive Agnew land holdings

will focus on the Scotty Creek sediments and the Alice and

Goldilocks prospects. The objective is to discover and bring

into production an open pit operation to supplement the

Waroonga complex ore, thus fully utilising available

processing plant capacity.

Extensional exploration within the Waroonga Complex is targeting known and extrapolated

mineralisation trends. Increasing the Mineral Resource and Mineral Reserve will extend

the mine life of the Waroonga Complex and increase production flexibility by opening

new areas for exploitation.

7. Mineral processing

The comminution circuit comprises a contractor-owned and

operated three-stage crushing plant, feeding a fine ore

stockpile, ahead of a two-stage closed circuit ball milling

circuit. Milled ore proceeds to a three-stage leaching train

feeding the six-stage carbon in pulp (CIP) circuit. Carbon

elution is by pressure Zadra with gold being electrowon and

smelted. In February 2003 a gravity circuit, comprising a

Knelson gravity concentrator in conjunction with an

intensive leach reactor (ILR) for intensive cyanidation of the

gravity concentrate, was retrofitted. The gravity circuit was

upgraded and retrofitted in September 2011 to incorporate

a second 26” Knelson gravity concentrator, an Intensive

Leach Reactor 2000BA and two Magscreen 1000 units. The

processing capacity at the plant is 1.3 Mtpa.

Quantitative analysis of recovery improvements will be

evaluated and included in future resources and reserve

calculations in accordance with the grade/recovery model

currently adapted.

Tailings disposal and impoundment have historically been to

a conventional dam constructed using the upstream lift

method sourcing wall material from dried tailings. The

original tailing storage facility (TSF) was located in an area

some 1.5 kilometres southwest of the Agnew plant.

Deposition to this facility ceased in early 2004 and a large

section of this decommissioned facility has been capped

with waste rock. The remaining exposed sections are being

harvested for use as underground paste fill. Following

completion of mining activities at the Redeemer Mine, the

abandoned pit has been converted to a tailings storage

impoundment for tailings arising from the Agnew plant

(TSF3). Although situated seven kilometres south of the

Agnew plant, the static head is negative, thus pumping of

the tailings material is achieved with no additional cost from

the previous deposition technique. The pontoon-mounted

decant pump recovers water from the supernatant pond,

which forms due to liberation of water from the tailings slurry

as it settles and consolidates.

TSF3 is projected to last until 2015 based on deposition

rates of 1.3 million tonnes per annum and historical

deposition levels from December 2004 to February 2011.

Upgrade of the gravity recovery circuit was completed in September 2011.

Ag

new

pla

nt

and

sett

ler

dam

s


8. Sustainable development

In Australia, large advances in safety have been made over

the last 20 years by concentrating primarily on the practices

(policies and procedures, rules, training etc.) and the

environment (equipment, tools, machines etc.). By focusing

on the person aspect of safety, emphasis is placed on the

individual to question their contribution to a positive safety

culture.

In regards to our full compliance to a Health and Safety

Management System, Agnew has been certified

OHSAS18001:2004, through the Australian Standard AS/

NZ4801:2001

Although Gold Fields has developed a Group environmental

policy, the Australian operations are currently guided by their

own individual policies. These policies have been developed

within the Group policy framework, but are tailored to suit the

site-specific environmental conditions. Agnew has developed

and implemented an environmental management system,

certified to the international standard ISO14001, and the site

Agnew manages risk to mitigate and, where possible, eliminate hazards in the working

environment. Maintenance of outstanding health and safety performance through the

participation of all employees and the application of safe, innovative processes and

technologies, within a framework of full legislative and best practice compliance.

Enviro

nm

enta

l m

onito

ring

So

ng

vang

cre

ek r

ehab

ilita

tio

n

policies conform to the standards requirements. If non-

compliances are observed in terms of environmental

legislation and approval documentation commitments,

management are made aware of the issues and take

appropriate measures to address the situation in line with site

policies.

Safety statistics

Class Units June 2007 June 2008 June 2009 Dec 20101 Dec 2011

Fatalities (No) 0 0 0 0 0

Fatality rate (per mmhrs) 0 0 0 0 0

LDIFR (per mmhrs) 0.9 0 4.6 1.1 2.7

1 For six months to December 2010.

9

Ag

new

Min

e g

old

po

ur

Mineral Resource

classification

Tonnes (Mt) Grade (g/t) Gold (’000 oz)

Dec

2011

Dec 2010

June 2010

Dec

2011

Dec 2010

June 2010

Dec

2011

Dec 2010

June 2010

Open pit and underground

Measured 3.5 4.5 4.4 4.7 4.1 4.1 540 597 584

Indicated 12.9 13.6 14.7 5.3 5.2 5.0 2,199 2,265 2,368

Inferred 7.5 7.4 7.7 4.5 4.1 4.3 1,082 981 1,075

Total open pit and underground 23.9 25.5 26.8 5.0 4.7 4.7 3,820 3,843 4,027

Surface stockpiles

Measured 0.3 0.0 0.0 1.7 6.3 6.1 17 2 2

Total surface stockpiles 0.3 0.0 0.0 1.7 6.3 6.1 17 2 2

Grand total 24.2 25.5 26.8 4.9 4.7 4.7 3,838 3,845 4,028

9. Mineral Resources and Mineral Reserves

Mineral Resources

The Mineral Resources are classified as Measured, Indicated or Inferred, as described in the 2007 SAMREC Code. Mineral

Resource categories are assigned with consideration given to geological complexity, grade variance, drill hole intersection

spacing, and mining development. Kriging neighbourhood analysis is also used to assist with classification. The impacts of

year-on-year changes are covered in the reconciliation section. The following factors apply to the Mineral Resources presented

in this report: � All Mineral Resources are declared using a cut-off grade calculated for the individual deposit; � The declared Mineral Resources are further tested by the application of modifying factors to ensure that there is a reasonable

prospect of eventual economic extraction; � Open pit Mineral Resources comprise the undiluted material above the nominated cut-off within a diluted optimised pit shell; � Underground Mineral Resources are selected using a minimum mining width and minimum stope size; and � Mineral Resources are quoted at an appropriate in situ economic cut-off grade with tonnages and grades based on the

relevant resource block models. They also include estimates of any material below the cut-off grade required to be mined to

extract the complete pay portion of the Mineral Resource.

Geological and evaluation models have been updated as at December 2011 to reflect the latest

available data sets. An integrated mine design and schedule based on current performance

levels takes cognisance of the inherent risks associated with mining operations at Agnew.

DATA TO COME


Modifying factors � The Measured and Indicated Mineral Resources are

inclusive of those Mineral Resources modified to produce

Mineral Reserves; � All quoted Mineral Resources and Mineral Reserves are

100% Agnew ownership; � Mineral Reserves are quoted in terms of run-of-mine (RoM)

grades and tonnages as delivered to the metallurgical

processing facility and are therefore fully diluted; � Mineral Reserve statements include only Measured and

Indicated Mineral Resources, modified to produce Mineral

Reserves and contained within the LoM plan; and � Mineral Resource and Mineral Reserve undergo both

internal and external audits annually. Any issues identified

are rectified at the earliest opportunity.

Mineral Resource parameters

Dec 2010

Dec

2011

Mineral Resource gold price

US$/oz

US$/A$

A$/oz

1,100

1.23

1,350

1,450

1.07

1,550

Cut-off for mill feed g/t 0.3 0.3

Cut-off for open pit g/t 0.3 – 0.4 0.3

Cut-off for underground g/t 1.5 – 4.0 0.3 – 4.0

Mineral Reserve parameters

Mineral Reserve gold price

US$/oz

US$/A$

A$/oz

1,000

1.23

1,225

1,300

1.07

1,400

Cut-off for mill feed

underground g/t 1.5 – 4.4 3.1 – 4.4

Cut-off for mill feed open pit g/t 0.4 0.4

MCF % 100 100

Dilution % 26 26

Plant recovery factor % 94.5 94.5

Processing capacity Mtpa 1.3 1.3

Grade tonnage curves

Grade tonnage curves for the total and open pit Mineral

Resource is presented. The total chart illustrates the relatively

high-grade characteristic of the Agnew camp where historical

grades have been in the region of 5 to 6 g/t.

25

20

15

10

5

0

16

14

12

10

8

6

4

2

00 1 2 3 4 5 96 7 8

Cut-off grade (g/t)

— A

vera

ge g

rade

abo

ve c

ut-o

ff (g

/t)

— T

onne

s (m

illio

ns)

Underground

Total (underground and open pits)

32

28

24

20

16

12

8

4

0

16

14

12

10

8

6

4

2

00 1 2 3 4 5 6 7 98

Cut-off grade (g/t)

— A

vera

ge g

rade

abo

ve c

ut-o

ff (g

/t)

— T

onne

s (m

illio

ns)

So

ng

vang

cut-

back

11

Mineral Reserves

The Mineral Reserve estimate for Agnew is based on an appropriately detailed and engineered LoM plan. All design and

scheduling work is undertaken to an appropriate level of detail by experienced engineers using appropriate mine planning

software. The planning process incorporates appropriate modifying factors and the use of cut-off grades and other technical-

economic investigations.

The table in this section summarises the Agnew statement of Mineral Reserves. The terms and definitions are those given in the

2007 SAMREC Code prepared by the South African Mineral Resource Committee under the auspices of the South African

Institute of Mining and Metallurgy. The current Operational Plan has mining occurring in the Kim South, Rajah and Main Lode at

the Waroonga Complex.

The Mineral Reserves are derived following the production of the LoM plan by incorporating modifying factors into the resource

model.

Mineral Reserve

classification

Tonnes (Mt) Grade (g/t) Gold (’000 oz)

Dec

2011

Dec 2010

June 2010

Dec

2011

Dec 2010

June 2010

Dec

2011

Dec 2010

June 2010

Open pit and underground

Proved 1.4 1.3 0.7 5.5 4.8 6.9 239 195 166

Probable 5.4 5.6 6.0 6.0 6.2 5.5 1,046 1,126 1,061

Total open pit and underground 6.8 6.9 6.7 5.9 6.0 5.7 1,285 1,321 1,227

Surface stockpiles

Proved low-grade stockpiles 0.3 – – 1.7 – – 17 – –

Total surface stockpiles 0.3 – – 1.7 – – 17 – –

Grand total 7.1 6.9 6.7 5.7 6.0 5.7 1,302 1,321 1,227

Mineral Reserve classified

per mining area

Proved Probable Total Mineral Reserve

Tonnes

(kt)

Grade

(g/t)

Gold

(koz)

Tonnes

(kt)

Grade

(g/t)

Gold

(koz)

Tonnes

(kt)

Grade

(g/t)

Gold

(koz)

Underground

Waroonga - Kim Lode 294 13.4 127 2,831 7.4 677 3,125 8.0 804

Waroonga - Rajah Lode 179 4.2 24 265 3.7 32 444 3.9 56

Waroonga - Main Lode 671 3.7 79 2,351 4.5 338 3,022 4.3 417

Total underground 1,144 6.2 230 5,447 6.0 1,046 6,591 6.0 1,276

Surface

Songvang open pit 208 1.4 9 – – – 208 1.4 9

Surface stockpiles 306 1.7 17 – – – 306 1.7 17

Total surface 514 1.6 26 – – – 514 1.6 26

Grand total 1,658 4.8 255 5,447 6.0 1,046 7,105 5.7 1,302

Pano

ram

ic v

iew

of C

IP p

lant


Factors that affected Mineral Resource reconciliation:

� Changes from December 2010 were dominated by

extensions to the Main ore body;

� An increase in the Mineral Resource gold price from

A$1,350 to A$1,550 mitigated by rise in costs; and

� Depletion by mining occurred in the Kim, Main, Rajah

and Songvang ore bodies.

5.0

4.0

3.0

2.0

1.0

0

Change in Mineral Resources December 2010 to December 2011

Gol

d (M

oz)

Res

ourc

em

odel

ling

Incl

usio

ns/

Exc

lusi

ons

Gol

d pr

ice

Cos

ts

Dep

letio

n

Dis

cove

ry

Dec

embe

r 20

10

Dec

embe

r 20

11

3,845

0.193.8 3.8

3,652

0.23 0.00

0.60 0.14

0.32

3,838

Factors that affected Mineral Reserve reconciliation:

� Depletion by mining (-1,207 kt and -224 koz);

� Improvements in the definition of additional high-grade

Mineral Resources primarily at Main Lode from the

surface diamond drilling programme and grade control

definition in Kim Lode; and

� The use of the Mineable Stope Optimiser software

(MSO) resulted in an increase that included lower grade

“halo” material into the Mineral Reserves.

Change in Mineral ReservesDecember 2010 to December 2011

1.4

1.2

1.0

0.8

0.6

0.4

0.2

0

Res

ourc

em

odel

ling

Exc

lusi

ons/

Incl

usio

ns

Gol

d pr

ice

Cos

ts

Dis

cove

ry

Min

ed d

eple

tion

Dec

embe

r 20

10

Dec

embe

r 20

11

1.3

0.22

0.060.08

0.060.03

0.041.3

Gol

d (M

oz)

Mineral Reserve Sensitivity

The graph below illustrates the sensitivity of the Mineral

Reserve to incremental changes in the gold price.

The sensitivities are not based on detailed depletion

schedules and should be considered on a relative and

indicative basis only.

(-10%) (-5%) (+5%) (+10%) (+25%)(Base)1,400

Managed Mineral Reserve Sensitivity

Gol

d (M

oz)

1.161.24 1.30

1.35 1.40

1.61

Gold price (A$/oz)

2.0

1.5

1.0

0.5

0

Surf

ace w

ork

sho

p –

main

tenance o

n d

rilling

rig

Mineral Resources and Mineral Reserves reconciliation year-on-year

13

10. Regulatory codes

SAMREC

This technical statement has been prepared in compliance

with the South Africa Code for the Reporting of Exploration

Results, Mineral Resources and Mineral Reserves (2007

SAMREC Code).

JSE

This technical statement has been prepared in compliance

with the Listings Requirements of the JSE Limited, South

Africa (JSE), specifically Section 12.

Sarbanes-Oxley Act

The Mineral Resources and Mineral Reserves are

underpinned by an appropriate Mineral Resource

management process and protocol to ensure adequate

corporate governance in respect of the intent of the

Sarbanes-Oxley Act.

Environmental

Agnew has an environmental management team that is

supported by specialists from the regional office

in Perth. The systems, procedures, training etc. are at

international leading practice levels.

11. Competent Persons

Competent Persons

Peter Johansen: Mineral Resource Manager BSc (Hons) Geology. AusIMM membership number 108674. Industry experience: 23 years in exploration and mining in

Australia and PNG. Commodities: gold, iron ore. 5 years at Agnew.

Alan Pedersen: Resource Modelling ManagerGraduate Certificate in Geostatistics. MAusIMM membership number: 222422. Industry experience: 29 years in mining and

exploration in Australia, PNG and Ghana. Commodities: gold, nickel and copper. 14 years at Agnew.

Jason Sander: Mine Planning Manager BEng (Hons) Mining Engineering. LoM strategic planning, reserve estimation and LoM planning. MAusIMM membership

number: 111818. Industry experience: 16 years in mining in Australia. Commodities: gold, copper, iron ore. 6 years at Agnew.

James Emslie: Technical Services ManagerBSc (Hons) Geology. AusIMM membership number 205418. Industry experience: 15 years in mining in Australia Commodities:

gold, iron ore. 3 years at Agnew.

Internal technical reviews have been conducted by the Competent Persons as listed, who are

full-time employees of Gold Fields Limited.A

erial vie

w o

f Lein

ste

r


Post Incumbent Qualifications Years Key responsibilities

General Manager Timothy Gilbert BEng (Hons) Mining Engineering 24 Responsible for overall strategic

direction, leadership and management

of the mine site

Mining Manager

(Underground and

Open Pit Mining)

David Vemer B App Sci (Hons) Extractive Metallurgy 16 Management of mining operations

Financial Management

and Accounting

Commercial Manager

Eric Asubonteng BSc Administration (Accounting)

ACCA

8 Financial management, reporting and

compliance

Sustainable

Development Manager

Greg Yarrick B App Sci (Environmental Health)

Post-grad Diploma (Health Sciences

– OHS)

24 Management of health, safety

environmental and community

Human Resources

Manager

Sean Redmond MBa 15 Human resources management

Metallurgy and

Engineering Manager

Alex Kraan BBa 4 Engineering, logistics and infrastructure

management. Mineral Processing and

Metallurgy CIL and Tailings

management.

Mineral Resources

Manager:

Mine Planning

and Resource

Management

Peter Johansen BSc (Hons) Geology 23 Mineral Resources and Mineral

Reserves and compilation of CPR

12. Key technical staff

Fin

e o

re s

tockp

ile

Ag

ne

w G

old

Min

eP

lan s

how

ing m

ine in

frastr

uctu

re

as a

t 31 D

ecem

ber

2011

69

15

00

0N

69

00

00

0N

69

15

00

0N

69

00

00

0N

69

15

00

0N

69

00

00

0N

270000E

255000E

22

23

1G

enes

is P

it

2N

ew H

olla

nd P

it

3H

idde

n S

ecre

t Pit

4W

aroo

nga

Com

plex

5W

aroo

nga

Pit

6U

nder

grou

nd O

pera

tions

7Em

u Ta

iling

s S

tora

ge

8R

edee

mer

Offi

ce

9R

edee

mer

Pit

10S

tock

pile

s

11C

rusa

der C

ompl

ex

12C

laud

ius

Pit

13P

ilgrim

’s P

it

14D

eliv

erer

Pit

15C

rusa

der

Pit

16C

rusa

der

Offi

ce

17S

ongv

ang

Pit

18G

reat

Eas

tern

Pit

19N

orth

Pit

20W

eigh

t H

ill P

it

21Tu

ret

Pit

22E

mu

Offi

ce

23W

aroo

nga

Offi

ce

24V

ivie

n P

it

25M

aria

Sou

th P

it

26M

aria

Nor

th P

it

Re

fere

nc

e

Agn

ew M

inin

g Le

ase .

....

....

....

....

...........

Agn

ew P

rosp

ectin

g Li

cenc

e ...

..........

Agn

ew E

xplo

ratio

n Li

cenc

e ..

....

........

Taili

ngs .

....

....

....

....

....

....

....

....

....

....

....

....

........

Ope

n P

it ...

....

....

....

....

....

....

....

....

....

....

...........

Was

te D

ump

....

....

....

....

....

....

....

....

....

.........

Roa

ds ..

....

....

....

....

....

....

....

....

....

....

....

....

.........

Tow

ns ..

....

....

....

....

....

....

....

....

....

....

....

....

.........

6885000N

6885000N

6885000N

270000E

255000E

17

16

1920

21


13. Brief history

The history of Agnew

1895: Gold discovered at Lawlers, 10 kilometres south of Agnew Township.

1895 – 1912:The Waroonga mine developed, tramming ore 10 kilometres to the existing Great Eastern mine. Closed

due to poor performance.

1934:East Murchison United Limited (EMU) purchased Waroonga lease and constructed a treatment plant in

1936.

1937 – 1948:The Waroonga mine now known as Emu is operated until closure due to high groundwater inflows and

‘company problems’.

1948 – 1975:Despite further exploration by the Kim syndicate, WA Mines department and Western Mining Corporation

(WMC), including the sinking of a 63-metre shaft, funds to develop the ore bodies could not be raised.

1976:WMC exercised an option to purchase the Emu mine after intersecting mineralisation below the old

workings.

1984:Percussion and diamond drilling undertaken by WMC to test open-pit potential of the area. This was

followed by test pitting in 1985 and full scale open-pit mining from 1986.

1985:WMC enters a joint venture with Nord Australex Pty Limited to explore for Emu style mineralisation leading

to the discovery of the Redeemer and Deliverer ore bodies.

1987:The Cox-Crusader ore body discovered 400 metres south of the Deliverer ore body by Asarco Australia

Limited (Asarco).

1989: Exploratory underground development undertaken at Emu from which production was maintained.

1990: Underground operations commenced at Redeemer.

1992:All operations around Emu ceased and Emu mine allowed to flood. WMC purchases Cox leases from

Asarco as ore body extends into WMC tenements to north and Cox pit extended.

1994: Cox pit mined out and a decline developed on the Crusader ore body.

2001:New phase of drilling undertaken in Emu area leading to recommencement of open-pit operations and

renaming from Emu to Waroonga.

Gold Fields Australia acquired the operations from WMC and formed Agnew Gold Mining Company.

2002: Decline developed to access the Kim and Main Lodes. Redeemer underground mine closed.

2005:Ore production from Songvang commenced. Ore development and trial stoping undertaken in Main Lode.

100% of the gold rights to the Miranda and Vivien joint venture leases obtained.

2006 – 2010: Exploration of the Claudius and Vivien complexes continues. Drilling at Waroonga continues to extend the

known limits of the Kim and Main ore bodies.

2011:Ore production from Songvang cutback commenced. High-grade shoots – Fitzroy, Bengal and Hastings –

discovered beneath Main Lode


Agnew Mineral Resource and Mineral Reserve Classification

Drilling into Waroonga ore body extensions

EXPLORATIONRESULTS

MINERALRESERVES

MINERALRESOURCES

Reported as in situmineralisation estimates

Consideration of mining, metallurgical, economic, marketing, legal,environmental, social and governmental factors (the ‘modifying factors’)

24.2 Mt @ 4.9 g/t3.8 Moz

7.1 Mt @ 5.7 g/t1.3 Moz

5.4 Mt @ 6.0 g/t1.0 Moz

1.7 Mt @ 4.8 g/t0.3 Moz

7.5 Mt @ 4.5 g/t1.1 Moz

12.9 Mt @ 5.3 g/t2.2 Moz

3.8 Mt @ 4.5 g/t0.6 Moz

Reported as mineableproduction estimates

Incr

easi

ng le

vel o

f geo

scie

ntifi

c kn

owle

dge

and

confi

denc

e

MEASURED PROVED

PROBABLEINDICATED

INFERRED

1,400 mbs

Waroonga Pit

Main NorthMain South

Kim Lode

Reserve Stopes Completed Stopes

Hastings Shoot

Bengal Shoot

Fitzroy Shoot

Rajah Lode

19

Notes

Reso

urc

e c

onvers

ion d

rilling

at

Waro

ong

a C

om

ple

x

This Technical Short Form Report (“the Report”) contains information as at 31 December 2011 (“the Effective Date of this Report”). The

statements and information set out in this Report speak only as of the Effective Date of this Report. Shareholders and other interested and

affected parties are therefore urged to review all public disclosures made by Gold Fields after the Effective Date of this Report, as some of the

information contained in the Report may have changed or have been updated. Gold Fields does not undertake any obligation to update publicly

or release any revisions to statements and information set out in this Report to reflect events or circumstances after the Effective Date of this

Report or to reflect the occurrence of unanticipated events, unless obliged to do so pursuant to law or regulation. In such event, Gold Fields

does not undertake to refer back to any information contained in this Report.

“if we cannot mine safely, we will not mine” filetelephone: +27 (0) 11 562 9700 facsimile: +27...

Documents