MINING | SECTOR OVERVIEW
SECTOR GROWTH
COVID IMPACT ON MINING
“In many ways, we contributed to
South Africa saw R120-million better-
“The leadership cooperation
sustaining lives and livelihoods outside
than-expected tax revenue for the
between the Minerals Council, the
first half of the 2021/2022 fiscal year,
Department of Mineral Resources
of which 85% came from the mining
and Energy and organised labour
sector. This does not come as a
helped the mining sector get back
surprise, with 16 of the commodities
to work after the national lockdown
coming out of the country ranking in
at the beginning of 2020, with all the
the top 10 internationally.
right preventative and mitigating controls in place thus saving lives
the industry,” added Langehoven. Even within the industry, roughly 5000 jobs were created. “The combination of better commodity prices and the lowerthan-expected contraction of global demand during the Covid-19 crisis resulted in the value of exports
In October, mining production
and livelihoods in one of the most
increased 2.1 % year-on-year. The
important economic sectors in the
biggest positive contributors to
country,” said Roger Baxter, Minerals
production were iron ore, platinum-
Council CEO.
in 2019. This compensated for lower
ore. Coal was the biggest negative
The Minerals Council’s Chief
by value have continued to grow
contributor to production. Overall
Economist, Henk Langehoven
mineral sales increased 4.8% year-
echoed these sentiments, speaking
on-year with the largest positive
to Mining Weekly, when reflecting
contributors being coal and iron ore
on how the mining sector was
at 58.5% and 28.4%, respectively.
impacted by COVID-19: “Mining is doing well at the moment. There’s a
Early in the year, growth by
very good feeling that’s developed
the platinum group of metals
between the companies and their
was bolstered by an increase
employees, because of how the
in global car sales, with South
companies kept paying salaries and
Africa positioned perfectly to take
tried to keep miners safe during the
advantage of the demand.
height of the pandemic.”
during 2021, increasing by 54% yearon-year in May.” A significant part of the export sales have been the platinum group of metals which were bolstered by an increase in global car sales, with South Africa positioned perfectly to take advantage of the demand.
SALES YEAR-ON-YEAR, IN OCTOBER:
Chromium ore increased by 28.7%
Coal rose by 58.5%
PGMs rose by 24%
Copper rose by 28.4%
Nickel decreased by 30.5%
Gold dropped by 37.9%
Diamonds decreased by 11.4%
an estimated 24% higher in 2020 than production and exports. Export sales
group metals (PGM) and chromium
PRODUCTION YEAR-ON-YEAR, IN OCTOBER:
growing at a surprising rate, ending at
SOUTH AFRICA AND THE REST OF THE WORLD • 4th largest exporter of gold • 5th largest coal producer in the world • Ranks in the top 10 producers for 16 different commodities
Chromium ore dropped by 32%
2 1 ST E D I T I O N
• Around 75% of global production of platinum • 6th in the world in mineral production production value
IMPUMELELO TOP EMPOWERMENT
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