GFI

• Safety Performance: Achieved zero fatalities and no serious injuries across the group, marking significant momentum in the safety improvement program launched in 2024. Focus has shifted from lagging indicators to verifying critical controls and fostering psychological safety.
• Operational Excellence: Delivered 1.25 million ounces of attributable production. Salares Norte achieved steady-state operations despite winter conditions, driving a 173% production increase. Granny Smith improved productivity via higher mined grades, while South Deep demonstrated underground efficiency through improved destress mining and stope turnover.
• Transformation Program: Executing a dual-pillar strategy focused on 'Value' (productivity, cost efficiencies, supply chain optimization) and 'Operating Capabilities' (standardized processes, digital backbone). This aims to make performance reliable and scalable while delivering immediate value.
• Portfolio Optimization: Completed the exit from Damang and executed $182 million in non-core disposals. Continued investment in high-potential assets like Windfall and St. Ives, including renewable energy projects and water recycling initiatives (93% recycling rate).
• Shareholder Returns: Paid an interim base dividend of ZAR 16.25 per share (up 132% YoY) and completed $300 million in share buybacks. Announced an additional $500 million allocation to the top-up shareholder return program, bringing the total allocated to $1.25 billion since November 2025.

• Production Guidance: Maintained unchanged; management expects delivery towards the upper end of the guidance range.
• Cost Guidance: All-in sustaining costs expected towards the midpoint of the guidance range. All-in costs expected towards the lower end due to anticipated lower capital expenditure in the second half.
• Capital Expenditure: Group CapEx revised slightly downward, while sustaining capital remains unchanged.
• Specific Asset Outlook: Salares Norte full-year production guidance raised to a likely range of 550,000 to 600,000 ounces (previously 500,000–550,000), driven by positive grade reconciliation and higher silver prices.

Gold Fields reported strong first-half results driven by higher production and a supportive gold market. Total attributable production increased by 12% to 1.267 million ounces, with sales volumes up 18%. The average realized gold price rose 51% to $4,678 per ounce. Adjusted free cash flow more than doubled to $2.225 billion, resulting in a free cash flow yield of 11%. Cash costs rose 10% to reflect external factors like royalties and inflation, while all-in sustaining costs (AISC) increased 13% to $1,893 per ounce. Salares Norte was the standout performer with a 173% year-over-year production increase, contributing significantly to the group's output. Granny Smith produced 147,000 ounces (up 10%), and South Deep delivered 151,000 ounces in line with plan.

• Tarkwa Lease Renewal Uncertainty: The current lease expires in April 2027. While a commercial proposal was submitted in July 2026, the timing and terms of renewal remain uncertain, posing a risk to long-term operational stability in Ghana.
• Regulatory and Royalty Risks: Management highlighted sovereign risk in jurisdictions like Ghana, where recent royalty increases could impact competitiveness. There is a risk of similar regulatory changes in other regions if governments seek short-term fiscal gains.
• Project Delays: Windfall’s development is contingent on receiving Environmental Impact Assessment (EIA) approval. A delay beyond the end of calendar year 2026 risks pushing the project timeline to late 2029 or later due to weather constraints.
• Inflationary Pressures: Rising costs for contractors, labor, consumables, and maintenance are impacting cash costs, alongside structural inflationary impacts at specific assets like Gruyere and Tarkwa.

Q: Can Salares Norte exceed its previous annual guidance, and will costs rise as grade normalizes? / A: Yes, full-year guidance is raised to 550k-600k oz due to better grade reconciliation and high silver prices. Costs will depend on silver prices but will be mitigated by ongoing transformation-driven efficiency optimizations.

Q: Will the scope of Windfall be scaled up given available cash, and how does current spend fit into the $1.7B-$1.9B estimate? / A: No, the scope cannot change until after EIA approval to avoid contaminating the process. Current pre-approval spend is expensed as exploration but will be reconciled into the final capital estimate once permits are secured.

Q: What is the consequence if Windfall’s EIA is not approved by year-end? / A: Missing the year-end deadline will likely cause slippage to late 2029 due to winter execution constraints. Unplanned scope items like nitrate treatment have already pushed estimates toward the upper end of the range.

Q: How does Gold Fields define 'bolt-on' M&A opportunities? / A: They focus on assets that create incremental value without distracting from Windfall. They are unlikely to buy shovel-ready projects now due to high costs; instead, they look for opportunistic deals that align with growing cash flow per share over time.

Q: What is needed to close the valuation gap with peers? / A: Resolution of Tarkwa uncertainty, successful execution of Windfall, and consistent delivery of sustainable capital returns. Management believes the market undervalues these catalysts and their disciplined approach to shareholder returns.