An increase in pgm production was a major factor behind a rise in total South African mining output in the second quarter of the year.

According to a report produced by Statistics South Africa, total mining production for the second quarter of 2009 was found to be 4.5 per cent higher than in the first quarter of the year once seasonal discrepancies were taken into consideration.

The extent to which pgm production is supporting total mining output is illustrated by the fact that four percentage points of the increase can be attributed to the sector.

However, when compared with the second quarter of 2008, total mining production is actually down 10.8 per cent, while mining production for June 2009 was 7.3 per cent lower than the level seen in the previous year.

Meanwhile, the total value of mineral sales for the three months to May was down 24.1 per cent, with pgms contributing 15 per cent towards the decline.

Source:

Mining: Production and sales, June 2009 (13/08/09)

Ÿ Adfero Ltd