For the 19th consecutive month, gold companies in South Africa have recorded a decrease in the production of yellow precious metal. The decline in production this year has accelerated. Some companies cease to operate and leave the field.

According to the statistical office of South Africa (Stats SA), gold production in April this year showed a sharp drop of -19.5% compared with April 2018. April was the nineteenth consecutive month when a decline in gold production is recorded, although several decades ago South Africa was the world leader in the extraction of yellow precious metal. Every month the decline in production is increasing more and more.

According to Stats SA, the share of gold mining in the total mining industry of the country decreased by -2.7%. The report does not provide accurate data, but only changes in percentages. Production of platinum group metals also showed a decline in April, namely: -3.8% compared with the same period last year.

According to the Bloomberg news agency, in Africa there is a change in the countries leading in the extraction of yellow precious metal. For example, last year Ghana was able to get ahead of South Africa in gold mining on the African continent. Companies such as AngloGold Ashanti and Gold Fields plan to move their production to countries that can offer better working conditions. Sibanye Gold, the largest gold miner in South Africa, has already cut thousands of jobs. In her plans to concentrate on the extraction of platinum group metals.

According to the US Geological Survey (USGS), South Africa still has the second largest gold deposits in the world after Australia. According to geologists, there are still 6.000 tons of yellow precious metal in the earth. But with the current price of gold, gold mining in South Africa is becoming less profitable, as gold miners have to drill to a depth of 5,000 meters to get to the precious metal.