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Mining in South Africa
South Africa is particularly rich in mineral resources and is one of the leading raw material exporters in the world. The main mineral raw materials are gold, diamonds, platinum, chromium, vanadium, manganese, uranium, iron ore and coal. These goods make up about 60 % of the entire export. With platinum, manganese, vanadium and chromium, South Africa is number one globally, as far as mineral resources as well as the actual mining and export volumes are concerned.
Gold mining still holds a special position. 40 per cent of the world's gold reserves are still to be found in the Witwatersrand area. But the gold-bearing stone has to be mined with considerable technical expenditure from great depths (down to about 4,000 metres). To produce one fine ounce of gold, on average about 3 tons of ore, 5,000 litres of water and 600 kilowatt hours of electricity are required.
Over the last few years, the price of gold has dropped continuously. The main reason is the reduced demand for gold on the world market, because fewer currencies are being backed up by gold reserves. Also, competition from Russia and Australia puts pressure on the gold price, because their gold mining is easier and cheaper.
The gold mines in South Africa suffered a heavy crisis temporarily, and in 1995 more than 100,000 workers were laid off. So far, the industry has been saved from ruin by down-sizing, establishing co-operatives and the weakening currency, although many mines have reached their limit of profitability and at times even work below it.
The South African economy has, in recent years, succeeded in reducing its dependency on the gold price. In general, the economy is striving to shift away from its one-sided orientation as a raw material exporter. In future, the proportion of semi-finished and finished products in the entire export volume shall be increased by a capital-intensive modernisation of the industrial structures, which became outdated through the isolation of the apartheid era.
South Africa is one of the few countries that are rich in mineral resources and has exploited them. Her minerals range from very valuable ones like gold and diamonds to iron ore and coal. Other minerals in South Africa include Uranium, Wolfram, Zinc, phosphate, and lead.
Most of these minerals are found in the Rand region. The presence of these minerals ensured that South Africa develop her industrial sector successfully. The development of the Rand into a major industrial centre in Africa has been mainly due to the presence of these minerals. However, Gold remains the most important mineral mined in South Africa.
South Africa produces 69% of the world’s gold produce and it accounts for 56% of the total mineral output in South Africa. Gold mining began in the Witwatersrand between the Krugersdor and Springs. However, other gold fields were developed in the Orange Free State in the far west Rand and at Krugersdop.
Gold is mined by the use of the shaft method. It is mainly found in the quartzite rocks, in veins referred to as reefs. Gold is usually found at great depth ranging between 1350 metres below the surface to 4000 metres in some areas and the great depth has made Gold mining an expensive venture in South Africa. After Gold is extracted from the earth surface, it is crushed to a fine powder and then mined and steered in cyanide. The cyanide helps to dissolve the finer particles of Gold. The solution is then mixed in zinc dust causing Gold to precipitate. It is then melted and formed in Gold bars.
Gold appears together with uranium and South Africa has almost 25% of the world’s known resources. Other countries with the same minerals are Congo, Central African Republic, Nigeria, Gabon and Namibia. But in South Africa Uranium is mined at a place called Vandilaba, just outside Pretoria. Other gold producers in Africa are Zimbabwe, DRC and Ghana.
Coal is another important mineral in South Africa. It is mined at the following places:
(a) Cape province-Vereeninging is South Africa’s leading producer.
(b) Transvaal Province-Springs, Belfast, Witsbank.
(c) The Orange Free State-Vierfontein
(d) The Natal province- Newcastle, Glencoe, Utrecht, and Vryheid.
Transvaal is the leading province in coal produce. Coal in the Transvaal relies close to the surface thus making extraction easy. It is close to the Rand and assures of market since coal is needed as thermal power in the running of industries. There are few labour costs involved in coal mining in this region. Companies mainly concentrated in Transvaal especially at Vendarand.
Iron ore is another mineral in South Africa and it has led to the establishment of an iron and steel industry compared to those of the industrial nations. In South Africa, iron ore is concentrated in the northwest cape which still has more in reserves.
SOUTH AFRICA: AREAS WITH MINERALS
Gold mining still holds a special position. 40 per cent of the world's gold reserves are still to be found in the Witwatersrand area. But the gold-bearing stone has to be mined with considerable technical expenditure from great depths (down to about 4,000 metres). To produce one fine ounce of gold, on average about 3 tons of ore, 5,000 litres of water and 600 kilowatt hours of electricity are required.
Over the last few years, the price of gold has dropped continuously. The main reason is the reduced demand for gold on the world market, because fewer currencies are being backed up by gold reserves. Also, competition from Russia and Australia puts pressure on the gold price, because their gold mining is easier and cheaper.
The gold mines in South Africa suffered a heavy crisis temporarily, and in 1995 more than 100,000 workers were laid off. So far, the industry has been saved from ruin by down-sizing, establishing co-operatives and the weakening currency, although many mines have reached their limit of profitability and at times even work below it.
The South African economy has, in recent years, succeeded in reducing its dependency on the gold price. In general, the economy is striving to shift away from its one-sided orientation as a raw material exporter. In future, the proportion of semi-finished and finished products in the entire export volume shall be increased by a capital-intensive modernisation of the industrial structures, which became outdated through the isolation of the apartheid era.
South Africa is one of the few countries that are rich in mineral resources and has exploited them. Her minerals range from very valuable ones like gold and diamonds to iron ore and coal. Other minerals in South Africa include Uranium, Wolfram, Zinc, phosphate, and lead.
Most of these minerals are found in the Rand region. The presence of these minerals ensured that South Africa develop her industrial sector successfully. The development of the Rand into a major industrial centre in Africa has been mainly due to the presence of these minerals. However, Gold remains the most important mineral mined in South Africa.
South Africa produces 69% of the world’s gold produce and it accounts for 56% of the total mineral output in South Africa. Gold mining began in the Witwatersrand between the Krugersdor and Springs. However, other gold fields were developed in the Orange Free State in the far west Rand and at Krugersdop.
Gold is mined by the use of the shaft method. It is mainly found in the quartzite rocks, in veins referred to as reefs. Gold is usually found at great depth ranging between 1350 metres below the surface to 4000 metres in some areas and the great depth has made Gold mining an expensive venture in South Africa. After Gold is extracted from the earth surface, it is crushed to a fine powder and then mined and steered in cyanide. The cyanide helps to dissolve the finer particles of Gold. The solution is then mixed in zinc dust causing Gold to precipitate. It is then melted and formed in Gold bars.
Gold appears together with uranium and South Africa has almost 25% of the world’s known resources. Other countries with the same minerals are Congo, Central African Republic, Nigeria, Gabon and Namibia. But in South Africa Uranium is mined at a place called Vandilaba, just outside Pretoria. Other gold producers in Africa are Zimbabwe, DRC and Ghana.
Coal is another important mineral in South Africa. It is mined at the following places:
(a) Cape province-Vereeninging is South Africa’s leading producer.
(b) Transvaal Province-Springs, Belfast, Witsbank.
(c) The Orange Free State-Vierfontein
(d) The Natal province- Newcastle, Glencoe, Utrecht, and Vryheid.
Transvaal is the leading province in coal produce. Coal in the Transvaal relies close to the surface thus making extraction easy. It is close to the Rand and assures of market since coal is needed as thermal power in the running of industries. There are few labour costs involved in coal mining in this region. Companies mainly concentrated in Transvaal especially at Vendarand.
Iron ore is another mineral in South Africa and it has led to the establishment of an iron and steel industry compared to those of the industrial nations. In South Africa, iron ore is concentrated in the northwest cape which still has more in reserves.
SOUTH AFRICA: AREAS WITH MINERALS