Q1 south African mining outputs decline 12.8%

May 20 MetalBiz-- According to statistics South Africa, the country's total mining production for March was down 4.6% y-o-y, while total mining production for the quarter decreased 12.8%, compared with the quarter ended December 2008.

Stats SA stated that the main contributors to the 12.8% decline were platinum group metals and diamonds.

Mr Naryshkine said that the two biggest drawdowns in the quarter had been diamonds and chrome, with each recording a 52.2% drop on the quarter ended December 2008.

Many diamond mining companies had placed their operations on care and maintenance as a result of lower demand during the Q1 of the year. Gold had, meanwhile, increased 0.2% while iron ore had remained flat.

He said that there seemed to be a good uptick in demand for iron ore.

PGMs production could also likely increase once the automotive industry started its turnaround, while coal production could likely increase given that South Africa was now entering winter.