Mining activities in South Africa has seen a backwards trend that is now resulting in regular mining production decreased appearing on the statistics.
The latest numbers for November 2024 that were released by Stats SA today, revealed a -0,9% year-on-year overall decrease for November 2024.
Production Decrease Concern in Key Sectors
By Category, the largest negative contributors were:
· Gold (-11,5% and contributing -1,5 percentage points);
· Iron ore (-3,8% and contributing -0,5 of a percentage point);
· Coal (-1,6% and contributing -0,3 of a percentage point); and
· Diamonds (-11,4% and contributing -0,2 of a percentage point).
On the positive side of the production spectrum, PGM production grew by 4,0% and contributing 1,3 percentage points, with chromium ore up nicely by 15,6% and contributing 0,7 of a percentage point, that were the largest positive contributors.
Seasonally Adjusted Numbers:
A decrease of 0,2% was recorded in the seasonally adjusted mining production numbers, in November 2024 compared with October 2024. This followed month-on-month changes of -2,8% in October 2024 and 4,2% in September 2024.
Seasonally adjusted mining production increased by 4,0% in the three months ended November 2024 compared with the previous three months. The largest positive contributors were:
· PGMs up 7,2% and contributing 2,2 percentage points;
· Iron ore up 9,4% and contributing 1,3 percentage points
· Coal production up 2,7% and contributing 0,6 of a percentage point.
Mineral sales: results However Positive for November 2024
Fortunately for the mineral mining sector the price significant increases in minerals, and particularly gold that has seen a 34,93% growth in price in the past year, resulted in sales value growth.
November saw an increase in sales value of minerals, at current prices of 8,1%, despite a reduction in production volume seen in the same month.
Total sales value increased by 8,1% year-on-year in November 2024.
The largest positive contributors were:
· Gold with a sales value increase of a significant 93,4% and contributing 11,4 percentage points to overall value
· Coal had an increase of 8,5% in sales value
· PGMs had a 4,3% increase
The largest negative contributor was iron ore that worryingly saw a -28,2% decrease in sales
