75% of South African gold mines unprofitable– mineral council
South Africa’s 140-year-old gold industry– which was when the world’s largest– is now facing a significant crisis. The country’s mineral council says 75 percent of cash cow are unprofitable or barely generating income.
The statement comes as the sector gets in wage talks with its employees. Around 200 company and staff member representatives are set to start the settlements on Wednesday. The variety of work stoppages in South Africa increased by eight percent over the previous two years to 132.
or outputs will imply that the cost of labor as a part of general expenses will increase, and the variety of limited and unprofitable operations will increase,”the council said on Tuesday.South Africa’s Reserve Bank Deputy Governor Kuben Naidoo stated inflation in the country has actually accelerated fromthe seven-year low it reached in March and the rand’s (RSA national currency)plunge to its weakest in seven months might increase rate development.