South Africa’s mining industry gets the government’s nod to operate at 50pc of production capacity over the next couple of weeks as a few COVID-19 restrictions and regulations start to ease in the country.
The South African government had previously proposed a three-week lockdown till April 30. The government has however announced that idled mines pose potential safety risk if they are kept inactive for a long due to dangers of rockfalls and increased seismicity arises. Therefore, the govt has taken a decision to restart mining operations at 50pc capacity.
Mining companies are, however, facing a problem as their workforce is unable to report to work. Mining companies were also asked to provide transport for their employees to travel. All the mining operations must adhere to strict safety precautions including screening of workers.
The Minerals Council in South Africa stated, some mines might not re-open post the COVID-19 lockdown period due to a lack of cash flow. Consolidated production capacity could decline by 15pc as a result of the lockdown extension, according to local media.