UPDATE 1-Gold Fields sees Q4 gold production up 4 pct

* Output up on improved safety record, ramp up of mines

* Targets output of 950,000 to 1 mln oz per month

(Adds details, shares)

JOHANNESBURG, June 26 (Reuters) - Gold Fields (GFIJ.J), the world's No. 4 gold producer, said on Friday it expects output for the fourth quarter to end-June to rise by 4 percent to 905,000 ounces, exceeding an earlier forecast a 3 percent rise.

The company said improved safety performance and ramp-up of its South African mines had led to the increase in production, but total cash costs and expenditure were seen rising slightly, due to a stronger rand versus the U.S. dollar.

Total cash cost and Notional Cash Expenditure for the group are expected to be about $525/ounces and $750/ounces.

Chief Executive Nick Holland said in a statement the company still plans to boost output to between 950,000 and 1 million ounces per quarter in the next 12 months.

He said this would be achieved by an improved safety record to prevent stoppages, a ramp-up of its Tarkwa mine in Ghana as well as a boost at its South Deep mine in South Africa, which is due to hit its target output of around 300,000 ounces in 2010.

Shares in Gold Fields were 2.5 percent stronger at 100.55 rand a share by 0955 GMT, in line with a 2.23 percent stronger JSE Top-40 blue chip index .JTOPI

(Reporting by Agnieszka Flak; Editing by James Macharia)