JOHANNESBURG (miningweekly.com) – South African gold-miner Gold Fields’ adjusted earnings declined by 34% to R625-million in the quarter ended September 30, 2009, compared with R949-million in the previous quarter, while gold production at 906 000 oz remained largely unchanged.

The company posted first quarter adjusted-earnings a share of 89c a share, compared with 140c a share.

Output at the South African operations had declined marginally to 527 000 oz, down from 529 000 oz in the previous quarter, despite a 26% increase in output at South Deep and a 7% production increase at the Beatrix mine.

Gold production at the Kloof mine was unchanged, despite safety-related stoppages, increased seismicity and a fire during the quarter.

However, gold production at the Driefontein mine dropped by 11%, mainly as a result of safety-related stoppages.

Production at the West African operations had increased by 4% to 161 000 oz, compared with 155,000 oz in the June quarter, with the Tarkwa mine, in Ghana, increasing production by 6%.

The Cerro Corona operation, in South America, meanwhile, increased production by 5% to 88 500 equivalent gold ounces.

The Australian Agnew mine also increased production by 1,5% to 49 500 oz in the quarter, compared with 45 200 oz in the previous quarter, while St Ives had seen an 8% drop in output to 100 300 oz as a result of safety-related rehabilitation.

Meanwhile, Gold Fields noted that the strength of the rand against the dollar had led to a 5% drop in the rand gold price to R241 161/kg, which in turn led to a reduction in revenues in rand terms to R7,42-billion, compared with R7,78-billion in the June quarter.

A 4% increase in the average dollar gold price to $959/oz, resulted in revenues increasing by 5% in dollar terms to $948-million.

By: Creamer Media Reporter
Edited by: Mariaan Webb
www.miningweekly.com