Mining Production Index improves in Oct

The composite mining production index, which consists of diamonds, gold bullion, uranium and ‘zinc rebounded on a monthly basis, recording an increase of 1.8% in October 2022, according to the Namibia Statistics Agency (NSA). In the preceding month, the index recorded a contraction of 2.2%.The production of gold bullion stood at 698 kg in October 2022, compared to 626 kg and 946 kg that was recorded in September 2022 and in the corresponding month of 2021, respectively.In addition, for the month of October 2022, the volume of diamonds produced amounted to 175 969 carats, compared to 164 503 carats and 140 576 carats recorded during the previous month and October 2021, respectively, NSA said.Furthermore, Namibia produced 8 248 tonnes of Zinc concentrate and contained during the reporting period, compared to the production of 7 854 tonnes and 8 489 tonnes recorded for September 2022 and the corresponding month of 2021, respectively.Lastly, 464 tonnes of uranium were produced for the under review, compared to 620 tonnes and 578 tonnes produced in September 2022 and the corresponding month of 2021, respectively.The decline uranium production was due to insufficient water supply required to mine and process uranium minerals efficiently, NSA pointed out.OutlookThe Bank of Namibia (BoN) recently revised the economic growth forecast upwards from 3.2% to 3.9% in 2022.The projected growth is on the back of robust growth for diamond mining based mainly on higher production volumes up to date.Diamond mining is estimated to expand strongly in 2022 and 2023, boosted by high production from the Benguela Gem mining vessel. The diamond mining sector is expected to grow by 30.9% and 9.8% in 2022 and 2023, respectively, an improvement from 0.0 percent registered in 2021, the central bank said.Meanwhile, the uranium mining sector is expected to contract by 4.3% in 2022 before expanding significantly by 4.5% in 2023. This sector continues to be negatively affected by water supply interruptions that led to mines reducing their production targets for the year, BoN said.During the first and second quarter of 2022, the domestic economy expanded by 6.5% and 5.6%. In the first quarter, growth was mainly driven by the mining sector, expanding by 21.3%, according to NSA.In the second quarter, mining was also the main contributor to gross domestic product, recording positive growth of 12.1%. The third quarter GDP figures are expected to be released today.-phillep@nmh.com.na

Mining Production Index improves in Oct

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Namibian Sun 2025-06-17

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Mining Production Index improves in Oct

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Namibian Sun 2025-06-17

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