• Connect with us
    • Information
      • About Us
      • Contact Us
      • Careers
      • Partnerships
      • Advertise With Us
      • Authors
      • Browse Topics
      • Events
      • Disclaimer
      • Privacy Policy
    • Australia
      North America
      World
    Login
    Investing News NetworkYour trusted source for investing success
    • North America
      Australia
      World
    • My INN
    Videos
    Companies
    Press Releases
    Private Placements
    SUBSCRIBE
    • Reports & Guides
      • Market Outlook Reports
      • Investing Guides
    • Button
    Resource
    • Precious Metals
    • Battery Metals
    • Base Metals
    • Energy
    • Critical Metals
    Tech
    Life Science
    Precious Metals Market
    Precious Metals News
    Precious Metals Stocks
    • Precious Metals Market
    • Precious Metals News
    • Precious Metals Stocks
    gold investing

    Gold Fields’ Q1 Production Falls as Problems at South Deep Continue

    Nicole Rashotte
    Apr. 25, 2018 04:35PM PST
    Precious Metals
    NYSE:GFI

    South African miner Gold Fields announced its Q1 2018 results, reporting a drop in production and ongoing issues at its problematic South Deep mine.

    South Africa’s Gold Fields (NYSE:GFI) reported Q1 results, which show a decline in gold production and signal additional challenges for its troublesome South Deep mine.

    South Deep is the company’s last South African asset, and it has experienced a string of operational obstacles in a tough geological setting. In 2017, South Deep saw a loss of US$27 million, and the downfall has continued into 2018.

    “South Deep had a tough start to 2018, with production in Q1 2018 4 percent higher year-to-year but 41 percent lower (from the previous quarter) at 48,000 ounces,” the company said.

    The mine, which is located west of Johannesburg, has persistently missed targets set by the company, causing Chief Executive Nick Holland to state that Gold Fields will consider undefined “alternatives” if losses are not halted.

    According to the report, gold production dipped to 490,000 ounces for Q1 2018 compared to 497,000 ounces in 2017.

    The top gold producer added that seasonal holidays and labor restructuring had an impact on production, and output was also reduced from a change in shift arrangements. The change was originally supposed to lift productivity but had an adverse effect instead.

    “Although necessary to create a platform for sustainable and consistent performance, these changes have inevitably created workforce uncertainty and a disruption of operations,” the company noted.

    Looking forward, Gold Fields expressed production guidance concerns, stating, “[w]e do not expect the production guidance provided at the start of the year to be achieved and we are currently forecasting production of 244 ounces for the year.”

    As of 1:22 p.m. EST on Wednesday (April 25), shares of Gold Fields were down 4.93 percent, trading at 4,662 rand.

    Don’t forget to follow us @INN_Resource for real-time news updates!

    Securities Disclosure: I, Nicole Rashotte, hold no direct investment interest in any company mentioned in this article.

    top goldsouth africanyse:gfigold investing
    The Conversation (0)

    Go Deeper

    AI Powered
    Gold nuggets on black background.

    Top 10 Gold-mining Companies

    Gold Outlook

    Gold Outlook

    Latest News

    Trading Halt

    Locksley Qualifies for Trading on U.S. OTCQX Market

    Locksley Resources Limited Qualifies for Trading on U.S. OTCQX Market

    Locksley Announces Major Advancement at Mojave as Structural Mapping Expands Scale of Antimony Target with a 400% Increase in Target Strike Length

    Nasdaq Listing Update

    More News

    Outlook Reports world

    Resource
    • Precious Metals
      • Gold
      • Silver
    • Battery Metals
      • Lithium
      • Cobalt
      • Graphite
    • Energy
      • Uranium
      • Oil and Gas
    • Base Metals
      • Copper
      • Nickel
      • Zinc
    • Critical Metals
      • Rare Earths
    • Industrial Metals
    • Agriculture
    Tech
      • Artificial Intelligence
      • Cybersecurity
      • Gaming
      • Cleantech
      • Emerging Tech
    Life Science
      • Biotech
      • Cannabis
      • Psychedelics
      • Pharmaceuticals

    Featured Precious Metals Stocks

    Blue Jay Gold

    Providence Gold Mines

    PHD:CC

    Mount Hope Mining

    MHM:AU

    Walker Lane Resources

    WLR:CC

    Rua Gold

    RUA:CC

    Golconda Gold

    GG:CC
    More featured stocks

    Browse Companies

    Resource
    • Precious Metals
    • Battery Metals
    • Energy
    • Base Metals
    • Critical Metals
    Tech
    Life Science
    MARKETS
    COMMODITIES
    CURRENCIES