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Soaring gold prices, which recently broke records by exceeding $4,100 per ounce, are triggering significant activity across African markets. This bullish trend, driven by global economic tensions and monetary policy shifts, has now spurred South Africa to open its first new underground gold mine in 15 years. The project, launched by Australia’s West Wits Mining near Johannesburg, is expected to produce 70,000 ounces annually, generating about $90 million in revenue. This development marks a potential reversal for a nation whose gold output has declined sharply over the past two decades. The high-price environment is also fueling consolidation and expansion, as major South African miners like Gold Fields and Harmony Gold pursue billion-dollar acquisitions abroad to secure long-life assets, signaling a renewed strategic focus on the precious metal and positioning South Africa to reclaim some of its historic dominance in global gold production.
Business Insider Africa