Former Gold Fields CEO Nick Holland won plaudits prior to his retirement announcement in August 2020 for having invested in new gold production, especially at a time when the gold price was relatively low.
Establishing a base of about 2m ounces in gold annually for 10 years was ahead of the gold industry curve, especially as the sector has been reticent to invest in new gold resources, analysts said. To some extent, this assessment was reflected in Gold Fields’ share price, which gained 43% compared to a slim 3.5% gain for rival AngloGold Ashanti over the course of 2020.
Today, however, that’s not enough. Chris Griffith, Gold Fields CEO, is keen to arrest the decline in the firm’s production from a peak of 2.7m ounces in 2024. He hopes to achieve this through a combination of acquisitions and organic growth. The plans are strategic at this stage.