Mining production up, mineral sales down

Johannesburg, South Africa — MININGREVIEW.COM — 09 April 2010 – South African mining production showed a 3.4% increase in the three months to 28 February 2010, compared with the same period last year, while the estimated total value of minerals sales at current prices showed a decrease of 3% in the three months to 31 January 2010, compared with a year earlier.

The latest mining production figures released by Statistics South Africa showed that the production of platinum group metals (PGMs) was the main contributor towards the three-month increase, contributing 1.8 percentage points.

The index of total mining production was 5.8% higher in February 2010 compared with February 2009. This increase in mining production year-on-year followed an increase of 9.7% in January 2010 and a decrease of 2.1% in December 2009. This is the second consecutive positive annual growth since December 2009

Statistics South Africa went on to reveal that main contributors to the 3% decrease in the estimated total value of mineral sales at current prices for the three months ended January 2010 were: coal (contributing -5.1 percentage points or -R3 112.2 million), iron ore (contributing -3.2 percentage points or -R1 925.0 million), manganese ore (contributing -1.8 percentage points or -R1 077.0 million) and other non-metallic minerals (contributing -1.2 percentage points or -R724.9 million).

The total seasonally adjusted value of mineral sales at current prices for the three months ended January 2010 reflected an increase of 7.7% compared with the previous three months. This was mainly due to increases in the sales value of PGMs contributing 7.0 percentage points or R4 013.3 million; coal contributing 2.6 percentage points or R1 497.1 million; and manganese ore contributing 1.7 percentage points or R1 0048 million.