Skip to main content
Invest Now
012 012 5270
Copyright © Aluma Capital (Pty) Ltd. All rights reserved.
Aluma Capital (Pty) Ltd is a registered Financial Services Provider (FSP 46449) in terms of The Financial Advisory and Intermediary Services Act (37 of 2002)
Frederick Mitchell, Chief Economist | Aluma Capital (Pty) Ltd
Frederick Mitchell
April 16, 2025

Mining Production and Sales

February 2025

In February 2025, mining activities in South Africa saw a significant decline of 9.6%, following a revised decrease of 1.5% in January 2025.

The key factors behind this downturn include:

  • Platinum Group Metals (PGMs): down 23.9%, contributing a decline of 5.8 percentage points.
  • Coal: decreased by 4.3%, accounting for a further 1.0 percentage point loss.
  • Iron Ore: contracted by 10.5%, adding 1.9 percentage points to the overall drop.
  • Gold: saw a decrease of 7.6%, contributing another 1.0 percentage point to the decline.

However, manganese ore production rose by 8.6% in February 2025, partially offsetting the overall decline.

Mining sales also fell by 12.9% in February, with the main contributors to this contraction being:

  • Platinum Group Metals (PGMs): down 12.2%, resulting in a 2.5 percentage point decline.
  • Chromium: decreased by 23.2%, contributing 2.1 percentage points to the overall drop.
  • Iron Ore: contracted by 29.5%, adding 4.9 percentage points to the decrease.
  • Gold: experienced a decrease of 32.7%, contributing an additional 3.5 percentage points to the overall decline.

On a brighter note, coal sales increased by 5.3%, providing 1.4 percentage points to offset losses in other categories.

The mining sector is vital to South Africa’s economy, generating foreign exchange and directly employing approximately 484,000 people, according to StatsSA. However, concerns about the potential closure of ArcelorMittal (AMSA) pose significant challenges for iron ore production and sales in the country. The government is actively seeking to prevent AMSA from exiting the market due to rising production costs and infrastructure bottlenecks, particularly in ports and railways. Timely action is essential to ensure AMSA’s continued presence in the mining and steel industry.

On the global front, ongoing tensions between the US and China, coupled with their trade conflict, have unsettled markets and led to a reduction in international trade. This trend is reflected in production and sales volumes worldwide. The coming months will reveal whether we can avoid a global and domestic recession.

Back to News

More Coverage

From Grid Crisis to Digital Gold: South Africa’s New Crypto-Energy Nexus

South Africa’s story is shifting—from the frustration of load shedding to the emergence of a bold new opportunity. As we move through 2026, an unexpected partnership between energy and cryptocurrency is reshaping the economic landscape. With Eskom exploring ways to monetise surplus solar power and SAA embracing Bitcoin for transactions, the country is stepping into a new era where digital finance and energy innovation converge—unlocking fresh potential for businesses, investors, and growth.

Mining Production and Sales for February 2026

Discover the dynamic shifts within South Africa’s mining sector with our latest analysis. In a remarkable February 2026 performance, mining activities surged by 9.7%, spearheaded by dramatic increases in PGM, chromium ore, manganese, and gold production. Despite a quarterly dip, February’s nominal sales skyrocketed by 58.3%, driven by remarkable gains in platinum and gold. As the backbone of South Africa’s economy, the sector faces evolving global challenges and opportunities, from new US tariff measures to geopolitical tensions affecting global trade and energy prices. Stay ahead with insights into the sector’s resilience and strategic importance. Read the full article to understand the trends shaping South Africa’s economic landscape.

The Fuel Factor: Balancing Sticky Inflation with a R415 Billion Investment Anchor

Discover how South Africa is navigating the turbulent waters of global economic pressures and local inflation with a strategic fuel price adjustment and a major boost from a R415 billion investment windfall. As rising Brent Crude prices and a fluctuating Rand impact fuel costs and inflation forecasts, all eyes are on the South African Reserve Bank’s next move. Meanwhile, the Sixth South Africa Investment Conference has sparked optimism, with substantial commitments in the energy and technology sectors, promising a resilient economic future. Dive into the full article to explore the intricate balance between surviving immediate economic challenges and positioning South Africa as a hub for global investment amidst a world in flux.

South African Gold and Foreign Exchange Reserves for March 2026

South Africa’s reserves fell in USD terms in March 2026 as the Rand weakened amid Middle East tensions, though higher gold prices supported reserves in Rand terms. Rising oil prices and currency pressure point to higher inflation risks, while ongoing geopolitical tensions and US trade measures are likely to keep markets volatile.

A Watershed Moment: Global Ceasefire and Massive Oil Correction Offer Crucial Relief for the SA Economy

A sudden global shift has delivered much-needed relief for South Africa. Following a Middle East ceasefire, oil prices have dropped sharply and the Rand has strengthened—easing pressure on fuel costs and inflation. While earlier price spikes still weigh on the outlook, this combined correction offers a critical window for economic stability, improved consumer confidence, and renewed growth momentum.