Press Releases

South Africa coal production projected to grow at a CAGR of 2.6%, says GlobalData

31 Aug 2017

South Africa coal production is set to increase from 255.6 (million tonnes) mt in 2016 to around 291.1 mt by 2021, representing a compound annual growth rate (CAGR) of 2.6%, according to research and consulting firm GlobalData.

The company’s latest report “Coal Mining in South Africa to 2021 – Supply of Coal to get Strengthen as Domestic Coal Fired Power Capacity Expands” states that the projected increase in coal production is supported by the commencement of various projects scattered across the provinces of Mpumalanga and Limpopo. Upcoming projects, which are scheduled to commence operations during the forecast period, have a combined ROM capacity of 57 mt.

South Africa’s coal consumption is expected to grow at a CAGR of 2.9% over the forecast period. Coal consumption by the domestic power sector is expected to reach 182.7 mt by 2021 supported by the government’s target to achieve a 97% electrification rate by 2025 with a combination of on-grid and off-grid electricity generation plants.

India is the largest export partner for South Africa’s coal accounted for 53.3% of the total country’s coal exports in 2016. GlobalData expects that the country will maintain its leading position, driven by the demand from the domestic power sector.

Source: Company Press Release

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