JOHANNESBURG, April 15, 2011 /PRNewswire-FirstCall/ — Gold Fields
Limited (Gold Fields) (JSE, NYSE, NASDAQ Dubai: GFI) today announced that it
has entered into a binding agreement with IAMGOLD Corporation to acquire its
18.9% minority stake in the Tarkwa and Damang gold mines in Ghana, for a cash
consideration of US$ 667 million.

Upon completion of the proposed acquisition, Gold Fields will have
increased its interest in each of the Tarkwa and Damang gold mines from 71.1%
to 90%, the remaining 10% interest being held by the Government of Ghana. The
completion of the proposed acquisition, which is subject to certain condition
precedent being met, including Gold Fields shareholders approval, is expected
by 31 July 2011.

Upon completion of this transaction Gold Fields will acquire:

– an additional 181,000 ounces of annual production at current cash costs
of $ 540/oz and Notional Cash Expenditure[1] (NCE) of about $ 940/oz based on
results for the six months ended 31 December 2010;

– an additional 2.14 million reserve ounces at a cost of about $ 300 per
ounce;

– an additional 3.27 million resource ounces at a cost of approximately
US$ 198 per ounce;

– a significant resource and reserve upside potential, in particular at
the Damang mine; and

– US$ 20 million in working capital.

Nick Holland, Chief Executive Officer of Gold Fields, said:

“The two most important guiding principles of our strategy are to grow
our free cash flow by growing our margin per ounce and by increasing ounces
produced on a per share basis. This transaction meets those requirements.

“Through this transaction we will consolidate our ownership in two
world-class mines in a stable and mining friendly jurisdiction where we have
been operating successfully for almost two decades and have a strong brand.

“This is a low-risk acquisition of ‘in-production ounces’ generating
healthy free cash flow that will improve the overall quality of our portfolio
and be accretive to our shareholders on a per share basis.

“This proposed acquisition, together with the recent offer to the
minority shareholders in our Cerro Corona mine in Peru, are important steps
towards our objective of international diversification, and will contribute
meaningfully to our target of growing our production base to five million
ounces, either in production or in development, by 2015.”

As at 14 April 2011, Gold Fields’ economic interest in Gold Fields La
Cima, owners of Cerro Corona, was 92.9% up from 80.7% before the offer was
made. The offer closes in Peru later today.

There will be global teleconference relating to this announcement on
Monday, 18 April 2011, 16h30 (SA time).

    Teleconference details:

                             DIAL IN NUMBERS
    Country        Toll Number              Toll-free Number
    South Africa   011-535-3600             0-800-200-648
    USA            1-412-858-4600           1-800-860-2442
    Australia                               1-800-350-100
    United Kingdom                          0-800-917-7042
    Canada                                  1-866-605-3852


    Notes to editors
    About Gold Fields

Gold Fields is one of the world’s largest unhedged producers of gold with
attributable annualised production of 3.6 million gold equivalent ounces from
eight operating mines in Australia, Ghana, Peru and South Africa. Gold Fields
also has an extensive and diverse global growth pipeline with four major
projects in resource development and feasibility, with construction decisions
expected in the next 18 to 24 months. Gold Fields has total attributable gold
equivalent Mineral Reserves of 76.7 million ounces and Mineral Resources of
225.4 million ounces. Gold Fields is listed on the JSE Limited (primary
listing), the New York Stock Exchange (NYSE), NASDAQ Dubai Limited, Euronext
in Brussels (NYX) and the Swiss Exchange (SWX).

Sponsor: J.P. Morgan Equities Limited

[1] Notional Cash Expenditure (NCE) is the measure that Gold Fields
introduced to show the true cost of operating. NCE includes all operating
costs including G&A, all on- or near-mine exploration expenditure, as well as
all capital expenditure, inclusive of maintenance as well as so-called growth
capital. The delta between NCE and the spot gold price is cash flow available
to pay tax, interest, greenfields exploration and dividends.

SOURCE Gold Fields Limited