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South African coal mining industry statistics and trends

South African coal mining industry statistics and trends

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Coal is an important part of the South African mining industry. The South African coal mining industry accounts for an average of 28% of the total mining industry sales which occur during the average year, which leads the mining sector. Platinum accounting for 21% of the total, followed by gold at 15%.

Despite leading in total sales, the growth in production for coal in South Africa was just 0.5%. In comparison, manganese mining production grew by 32%.

Mining is important to the overall economy in the country in several ways. It contributes 8% of the revenues that are produced for the national economy and employs 2.5% of the overall workforce. 1 in 40 people in South Africa are miners.

South African Coal Mining Industry Statistics
#1. With over 31 billion tons of recoverable coal reserves that are verified, the South African coal mining industry is the sixth-largest holder of coal in the world today.
#2. 11% of the world’s total coal reserves are currently located within the borders of South Africa.
#3. The 8 largest coal mines that are currently operational in South Africa produce over 60% of the coal that is mined each year. Over 53% of the coal comes from open-cast mining methods.
#4. 77% of the energy needs in South Africa are currently met by coal that is produced by the industry, with 83% of that coal being mined in Mpumalanga.
#5. 21% of the run-of-mine coal that is produced by the industry each year is exported, which equals the percentage that is used domestically, excluding coal that is used for power stations. The remainder of the coal that is produced by the industry is either discarded or considered to be not saleable.
#6. Kumba Resources Ltd. is responsible for 85% of the saleable coal production which occurs in South Africa each year, along with Sasol, Ingwe Collieries Ltd, Anglo Coal, and Eyesizwe.
#7. More than 65 million tons of coal discards are produced by the mining industry each year.
#8. Total revenues generated by the coal mining industry in South Africa totaled R119 billion in 2019, which was R14 billion more than the year before. A majority of the increase in revenues came from pricing differences since production levels were flat.
#9. 61% of the coal that is produced by the industry each year is sold to Eskom.
#10. The coal which is produced in South Africa is ranked the highest in terms of foreign exchange earnings that are generated in the country. Over 200 major chemicals, for thousands of carbon-based products, are based on what the coal industry is able to provide.
#11. 40% of the diesel and gasoline requirements for South Africa are met because of the activities of the South African coal mining industry.
#12. Coal that is used for electricity fetches the lowest price for the coal industry, at just R223 per ton. In comparison, coal exports fetch a price of R691 per ton. Metallurgical coal fetches the highest price, at R814 per ton.
#13. The coal industry in South Africa provides over 6% of the total merchandise exports produced for the country each year. About 69 million tons of coal are processed through the Richard’s Bay Coal Terminal each year.

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