South Africa is one of the world's largest producers of gold and other precious minerals.Africa is a major producer of gold, producing up to 30% of global production. Although South Africa is one of the global leaders in gold production, it also has the highest average production costs in the world. Coupled with labour problems, lowering grades as well as several mines reaching the end of their lives, it is not anticipated that South African production will increase in the future. Last year there was reason to believe in the golden future of a region that had long been handicapped by challenging terrain, underdeveloped infrastructure and political risk. Economic uncertainty was fuelling demand for gold and traditional producers were struggling to keep up.
