By: Mining Focus Africa

South Africa’s mining sector delivered a strong performance in April 2026, with mining production increasing by 8.2% year-on-year and mineral sales recording significant gains, signalling renewed momentum for one of the country’s most important economic sectors.

The latest data from Statistics South Africa shows that higher output from platinum group metals (PGMs), manganese and chrome ore helped drive production growth, while rising commodity prices supported a sharp increase in mineral sales.

Mining Output Returns to Growth

The positive April performance follows a challenging period for the sector, which experienced production disruptions during 2025 due to adverse weather conditions and operational constraints.

Mining production rose 8.2% compared with April 2025, when output had declined sharply amid heavy rainfall that affected several major mining operations.

The strongest contributors to production growth were platinum group metals, which recorded a substantial increase in output, followed by manganese ore and chromium ore production.

Industry analysts note that the latest figures reflect both improved operating conditions and stronger production levels across key mining commodities.

Platinum Group Metals Lead RecoveryPGMs remained the standout performer in April, making the largest contribution to overall mining growth.

South Africa continues to dominate global platinum production and remains a major supplier of palladium and rhodium, metals that are critical to industrial manufacturing, automotive technologies and emerging clean energy applications.

Higher production levels, combined with strong international prices, provided a significant boost to mining revenues during the period.

Mineral Sales Surge in 2026

The sector’s financial performance was equally impressive.

Total mineral sales for the first four months of 2026 reached approximately R332 billion, representing a 36.5% increase compared with the same period in 2025.

The strongest gains came from PGMs, gold, chromium ore and coal, highlighting the broad-based nature of the recovery.

If current trends continue, industry projections suggest that South Africa’s total mineral sales could approach the R1 trillion mark by the end of 2026, underlining the sector’s importance to economic growth, export earnings and government revenue.

Commodity Prices Strengthen Mining Earnings

Global commodity markets provided additional support for the sector.

Gold prices recorded significant year-on-year growth, while platinum, palladium and rhodium also posted strong gains. Higher coal and iron ore prices further contributed to improved revenue performance across the industry.

The combination of stronger prices and increased production has enhanced profitability for many mining companies operating in South Africa.

Coal Production Remains a Challenge

Despite the broader recovery, coal production continued to face headwinds.

Coal output declined during the reporting period, making it the largest negative contributor to overall mining production growth.

However, industry observers believe demand from South Africa’s power sector will continue to provide support for coal producers in the near term, particularly as Eskom maintains its reliance on coal-fired generation capacity.

Mining’s Role in Economic Growth

The latest results reinforce mining’s strategic importance to South Africa’s economy.

The sector remains a major source of export earnings, employment, investment and tax revenue, while also supporting a wide network of suppliers and downstream industries.

Economists argue that maintaining growth will require continued investment in infrastructure, energy reliability, logistics and regulatory certainty to attract both domestic and international mining capital.

Outlook for the Sector

With commodity prices remaining relatively strong and production recovering across several key minerals, the outlook for South Africa’s mining industry has improved considerably.

The rebound in output and sales demonstrates the sector’s resilience and highlights its ability to contribute meaningfully to economic growth despite ongoing operational and global market challenges.

As demand for critical minerals, precious metals and industrial commodities continues to grow, South Africa’s mining sector is well positioned to benefit from evolving global market trends while strengthening its contribution to the national economy.

The largest positive contributors to the increase in mineral sales were:

• PGMs, which increased by 120.3% to R27.9bn.
• Gold, which increased by 12.2% to R19.5bn.
• Chromium ore, which increased by 34.8% to R7.3bn.
• Coal, which increased by 8.1% to R16.1bn.

Price developments in April 2026 (y-o-y):

• Coal: +18.7% ($105.9).
• Gold: +46.5% ($4 720).
• Iron ore: + 8.4% ($109.4).
• Palladium: +60.7& ($1 516).
• Platinum: +110.5% ($2 017).
• Rhodium: +85.4% ($10 063).