4th Quarter & Final Results

RNS Number:9094O
Gold Fields Ld
3 August 2000


GOLD FIELDS REPORTS SUBSTANTIAL IMPROVEMENT IN EARNINGS OVER PREVIOUS QUARTER 

* Earnings before exceptional items up 57 per cent to
R370 million.

* Net operating profit up 30 per cent.
       
* Cash costs down from $217 to $207 per ounce.

* Beatrix, Tarkwa and Kloof had good quarters, Oryx
broke even.

* Net earnings for the year are R651 million.

Johannesburg, 3 August 2000 - Gold Fields Limited is pleased to report its
fourth quarter and financial 2000 year-end results.  For the quarter ended 30
June, the company reported revenue of R1 804 million ($263 million) compared
to R1 793 million (US$285 million) for the quarter ended 31 March.  Earnings
before exceptional items net of taxation were R370 million (US$54 million), or
82 cents per share (US$0.12/share), compared to R235 million (US$37 million),
or 52 cents per share (US$0.08/share), for the previous quarter, a 57 per cent
increase. Net earnings, after taking account of the exceptional items, were
R314 million, an increase of 35 per cent when compared to the previous
quarter.

The results for financial year-end 2000 are not directly comparable with those
of the previous year due to a number of factors. During the previous year
Driefontein's results were proportionately accounted for at 38 per cent for
the first half of the year; Oryx's results were capitalised for the full year;
and Tarkwa was in a build-up phase. There were also significant asset
impairments. Notwithstanding, net earnings of R651 million were generated for
financial 2000, as opposed to a loss of R747 million in the previous year.

Chris Thompson, Chairman and Chief Executive Officer of Gold Fields, said:
"These results reflect our broad commitment to the strategy of consolidation
in South Africa and our focus on improving productivity and profitability. We
are particularly pleased with the improving cost control across the group and
look forward to a continuation of this trend over the next year".

Attributable gold produced in the June quarter was 920 000 ounces compared to
959 000 ounces in the March quarter, due mainly to a reduction in face grades
at Driefontein and lower yields at St. Helena and Libanon, partially offset by
Tarkwa reporting a 10 per cent increase in production and Beatrix a 7 per cent
increase.  

The weakening Rand exchange rate resulted in an improved realised gold price
for the June quarter of R62 093 per kilogram (US$281 per ounce) compared to a
price of R58 911 per kilogram (US$291 per ounce) during the March quarter, an
increase of over 5 per cent.  

Cost per ton of ore milled declined from R257 in the March quarter to R239 in
the current quarter as a result of good cost control across all operations, in
particular at Driefontein, assisted by increased surface tonnage at
Driefontein and Tarkwa. 

The lower operating cost, assisted by the weakening in the exchange rate,
resulted in a decrease in attributable cash costs from US$217 per ounce in the
March quarter to US$207 per ounce in the June quarter, with Kloof producing at
US$165 per ounce, Tarkwa at US$172 per ounce and Beatrix at US$175 per ounce.

Net operating profit at R302 million was 30 per cent higher than that achieved
in the previous quarter.

Libanon  reported an operating loss of R47 million for the June quarter. A
decision has been taken to downscale operations to reduce the drain on
profits. It has also been decided to write down the carrying value of the
mining assets by R100 million. The net effect of this write-down on after tax
earnings is R54 million. Where possible employees will, in consultation with
the unions, be redeployed elsewhere within the group.

A reversal of deferred taxation of R 202 million was made during the quarter
compared to a reversal in the previous quarter of R22 million, mainly as a
result of releasing prior year deferred taxation at the Beatrix/Oryx tax
entity of R162 million, which resulted from the lifting of ring fencing at
these mines, and the reversal of R46 million deferred tax resulting from the
R100 million write-down at Libanon. The net tax impact for the June quarter
was a credit of R 108 million.  

Management deeply regrets the gas explosion at Beatrix on 15 May 2000, in
which 7 employees tragically lost their lives. This incident masked a quarter
of otherwise exceptional improvements in the group's overall safety record.

As announced on 13 June 2000, the group plans to merge with Franco-Nevada
Mining Corporation Limited. The merged group will be renamed Gold Fields
International. The approvals of the South African Minister of Finance and the
South African Reserve Bank are awaited. Upon receipt of these approvals
documentation will be sent to shareholders for their approval of the
associated scheme of arrangement. Agreement has been reached with the
Securities Regulation Panel on a reduced break fee of US$15 million plus a fee
equivalent to one per cent of the market value of Gold Fields Limited as at 12
June 2000, equivalent to a total break fee of US$32.4 million.  Shareholders
will be kept advised of developments regarding the transaction.

A term of the recently announced merger with Franco-Nevada Mining Corporation
is that neither group is to declare any dividends pending finalisation of the
transaction.  Accordingly, Gold Fields will not declare a final dividend for
the year ended 30 June 2000. The intention is that the inaugural dividend of
Gold Fields International will take account of this deferral.

Gold Fields Limited is one of the largest unhedged gold producers in the
world, with annual production of approximately 4 million ounces, proven and
probable reserves of approximately 70 million ounces and resources of
approximately 142 million ounces.  It has in its portfolio some of the highest
quality and lowest cost operations in South Africa, including the Kloof and
Driefontein Gold Mines, which are widely regarded as amongst the richest mines
in the world, as well as the Beatrix Gold Mine, which has the best
productivities and lowest underground costs in South Africa.  Gold Fields is
focused on increasing value at its existing operations and on international
growth.  It trades on the Johannesburg Stock Exchange (GFI), as well as on
NASDAQ (GOLD) and on the London, Paris, Brussels, and Swiss stock exchanges.

SALIENT FEATURES

SA RAND
Quarter                 March 2000            June 2000
Gold Production*(kg)    29 818                28 623
Cash costs*  (R/kg)     44 001                45 830    
Tons milled (000)       5 520                 5 815
Revenue (R/kg)          58 911                62 093
Operating costs(R/ton)  257                   239
Operating profit (Rm)   377                   418
Earnings before  (Rm)   235                   370                  
exceptional items                           
- net of tax (SA c.p.s.)52                    82
Net earnings (Rm)       232                   314
            (SA c.p.s.) 51                    69                              
           
US DOLLARS
Quarter                        March 2000            June 2000
Gold Production*(oz 000)       959                   920
Cash costs* ($/oz)             217                   207   
Tons milled (000)              5 520                 5 815
Revenue ($/oz)                 291                   281
Operating costs ($/ton)        41                    35
Operating profit $m            60                    61
Earnings before exceptional($m)37                    54
items - net tax  (US c.p.s)    8                     12
Net earnings ($m)              37                    46 
             (US c.p.s)        8                     10
                             
* Attributable - All companies wholly owned except Tarkwa (71.1 per cent)



Contact:
London
Keith Irons, Bankside Consultants,    Tel [phone]

South Africa
Willie Jacobz, Gold Fields Limited    Tel [phone]

North America
Cheryl A Martin, Gold Fields Limited  Tel [phone]