Gold Fields to invest in West African operations

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Mine challenges disrupt Harmony’s gold production

“Even in such a tough economic and fiscal environment, the company is still pumping over 180 million US dollars this year into its mining operations in the country,” said [DATA GFI:Gold Fields] West Africa’s executive vice president, Alfred Baku.

According to the globally diversified gold producer, 20 million US dollars of the planned capital spending will go to Damang mine while 160 million US dollars will be allocated to Tarkwa mine.

(READ MORE: Gold rush threatens West Africa’s cocoa future)

The spending at Tarkwa is expected to include an additional mining fleet, waste stripping operations and spending on existing and new tailings storage facilities.

However, expenditure on tailings storage facilities will depend on receiving the necessary approvals from environmental authorities.

“In 2013, we paid almost 218 million US dollars in taxes and royalties to the government. We continue to honour our legal obligations to government, and social commitment to our stakeholder communities,” Baku said.

In addition to the company’s mines in West Africa, it has operations in South Africa, the America’s and Australasia, as well as services in the Netherlands.  

(READ MORE: Gold Fields to embrace mechanised mining in S.Africa)

Gold Fields recently stated that group revenue had dropped to 714 million US dollars in the quarter ending 31 March 2014 from 780 million US dollars in the December quarter.

It also reported profit before taxation of 30 million US dollars in the March quarter from a loss of 654 million US dollars in December and headline earnings from continuing operations of four million US dollars from a loss of 23 million US dollars.