Why SA lost its African gold crown to Ghana

Why SA lost its African gold crown to Ghana

Why SA lost its African gold crown to Ghana


South Africa used be the world’s king of gold accounting for half of all the gold in the world. Just twenty years ago- it was producing over 1000 tons of gold per year and now produces only one tenth of that. How is it with South Africa having the second highest reserves next Australia, is now lagging behind Ghana in Africa? CNBC Africa spoke to Rene Hochreiter, Mining Analyst at Noah Capital Markets.

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5 Responses

  1. Again, it’s value will always be determined by it’s ultimate use.
    And under what value system this function is determined.

  2. S.A isn’t sinking. The mines have just reached a maturity stage just like the North Sea oil that brought so much money to the UK. Ghana has always held second place but has nothing to show for it. Transfer pricing means that, Switzerland where there is not a single goldmine, gets more income than Ghana. The mining companies are flocking to Ghana because transfer pricing is allowed, give Ghanaian politician a Range Rover and $200,000 and he will be ecstatic, then the mining companies then make $1bn just cos they paid $200k in kick backs . That’s why Ghana will never build any city to Rival Jo-burgh in the next 50 years as long as they practice this so called ballot box democracy.

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