Cornelius

Cornelius from Robeco inquired whether the proposed royalty increase in Ghana is expected to lead to higher royalty payments for Gold Fields in the next five years.

Answer

CEO Mike Fraser indicated that if the new sliding scale royalty regime (6-12%) applies post-2027, even with a 2% stability levy offset, it would likely result in an additional 5% royalty payment. CFO Alex Dall quantified this impact at current spot prices as a $350 per ounce increase in unit costs.

Cornelius asked if Gold Fields anticipates higher royalty payments in Ghana over the next five years due to the proposed royalty increase.

Answer

CEO Mike Fraser confirmed that if the new sliding scale royalty regime (6%-12%) applies after Tarkwa's current lease expires in April 2027, it could mean an additional 5% royalty payment at current gold prices, translating to a $350 per ounce increase in unit costs, as quantified by CFO Alex Dall.