JOHANNESBURG (miningweekly.com) – Ratings agency Moody's Investors Service has said that an investigation by the US Securities and Exchange Commission (SEC) into a 2010 black economic-empowerment (BEE) deal by Gold Fields will have no immediate impact on the South African gold miner’s credit ratings.

The agency said in a statement on Friday that, given the early stage of the investigation and the limited information provided by the Gold Fields' board, it was not yet possible to “estimate reliably” the outcome of the probe on the company.

“We do, however caution that an outcome that results in the imposition of penalties or sanctions, which could be material, would adversely affect Gold Fields' credit metrics and liquidity profile. Additionally, the SEC investigation could trigger further investigations by South African authorities,” Moody’s said.

This statement came just three days after the JSE- and NYSE-listed gold major confirmed that the commission was investigating the BEE transaction, which was associated with the granting of a mining licence for its South Deep operation.

News of the investigation followed an article by the Mail & Guardian on September 6, which stated that the company had, in effect, bribed African National Congress (ANC) chairperson Baleka Mbete to secure a licence for the operation.

According to the weekly newspaper, Mbete was endowed a R25-million share allocation as part of the deal following an “alleged threat by her representative.

The ANC has rubbished these claims as “flimsy” and “unsubstantiated”.

Moody's further noted that the investigation could have additional repercussions following Gold Fields' recent announcement of its intention to acquire Barrick's Yilgarn South assets, in Australia, for $300-million, with the option to settle half in shares.

“A negative outcome would likely lower Gold Fields' share price and could prompt the company to turn to its cash resources to fund the entire transaction, which would negatively impact its leverage metrics and liquidity,” it said.

The rating agency was also “concerned” that a negative outcome would call into question the reliability of Gold Fields' internal corporate governance controls and procedures.

“Moody's will continue to monitor developments surrounding the SEC's investigation and the implications it may have for Gold Fields,” said the agency.