Notes to the Financial Statements
102
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28. Financial risk management and instruments continued
A change of 100 basis points (“bps”’) in interest rate at the reporting date would have increased / (decreased) equity and profit or loss by the amounts 
shown below. This analysis assumes that all other variables, in particular foreign exchange rates, remain constant. 
100 bps increase 100 bps decrease
Profit 
$’000
Equity 
$’000
Profit 
$’000
Equity 
$’000
Variable rate instrument – 2013 1,920 – (1,920) –
Variable rate instrument – 2012 481 – (481) –
(b) Credit risk
Credit risk arises from cash and cash equivalents, deposits with banks and financial institutions, as well as credit exposures to customers including, 
outstanding receivables and committed transactions.
The Group has no significant concentrations of credit risk. The sale of gold and other cash transactions are limited to counterparties with sound credit 
ratings.
The maximum exposure to credit risk is represented by the carrying value of the Group’s financial assets in the statement of financial position. The maximum 
exposure to credit risk at reporting date was:
2013 
$’000
2012 
$’000
Cash and cash equivalents 32,987 90,623
Receivables 9,431 12,226
Restricted cash 5,474 –
Other financial assets 7,808 4,670
Total exposure to credit risk at year end 55,700 107,519
(c) Liquidity risk
The Group’s liquidity requirements are based upon cash flow forecasts which are based upon forward production, operations, exploration and capital  
projections. Liquidity management, including debt / equity management, is carried out under policies approved by the Board and forecast material liquidity 
changes are discussed at Board meetings. The following table analyses the Company’s financial assets and liabilities into relevant maturity groupings based 
on the remaining period at the reporting date. The amounts disclosed are the contractual undiscounted cash flows.
Carrying 
amount 
 $’000
1 year  
or less 
 $’000
1–2 years 
 $’000
2–5 years 
 $’000
More than  
5 years 
 $’000
Total 
 $’000
2013
Payables 47,10 6 41,185 – 3,373 4,327 48,885
Borrowings 202,565 94,432 30,458 85,138 13,521 223,549
Derivatives held for trading 1,271  1,271 – – – 1,271
Total financial liabilities 2013 250,942 136,888 30,458 88,511 17,848 273,705
2012
Payables 49,278 42,597 4,637 2,044 – 49,278
Borrowings 157,5 4 4 45,474 75,260 66,359 – 187,0 93
Derivatives held for trading 2,685 2,685 – – – 2,685
Total financial liabilities 2012 209,507 90,756 79,897 68,403 – 239,056