The History of Gold Mining in South Africa
November 24, 2009 by Jack Wagon
Filed under Business
South Africa has very important geographical location because of its mineral reserves like gold and diamonds. Almost half of the gold deposits of the world are in South Africa, which is around 40,000 tons. Due to the abundance of gold reserves, their economy depends primarily on the mining business.
The largest gold deposits of South Africa are in Witwatersrand. The mining started at Orange River in’67, when somebody found a diamond by chance. Flocks of foreigners as well as locals flew there to start business from the gold and diamond fields. From that day onwards, there was no looking back for the investors, and this industry in South Africa has grown since then.
Gold mining was very similar to the mining of copper, iron and other metals. It was dug by hundreds of miners and then processed like iron or copper ore, i.e. it was smelted in the furnace. The resulting product was used in jewellery making or gold bars to be sued in barter trading.
Due to the time consuming process of mining and smelting, gold produced in this manner was limited.
The gold reserves are found in the coastal areas of South Africa in the deep reef area, where the rocks are harder in deep area because of the pressures of rocks and sea as well. Due to the pressure, the temperature is normally above 50 Celsius, which makes it impracticable for humans to work in. To make the conditions in the mine feasible for humans to work in, water in huge amounts is poured down in the mine and then pumped back to the surface. This cooling system is being employed in the mining process nowadays, making the whole process very expensive. Due to the expenses of the mining business, it is said to be restricted only for the rich people. At the beginning of the industry in South Africa, many foreigners and natives claimed their ownerships on the mines but could not meet the expenses of this demanding business; hence, they had to give it up to others.
Gold is formed in the rocks due to immense heat and pressure. With depth, the rocks get harder and the temperature rises above 50 Celsius, which is unbearable for humans to work in. New refrigeration system is being used nowadays, in which large amounts of cold water is poured into the mine, and then pumped out to the surface. This refrigeration system makes the working conditions a lot better, but also increases the cost of gold production.
Millions of people have worked in this industry in South Africa; the economy primarily depends upon this industry. This profession has not only been the means of profit and development for the country but has also been the source of civil wars due to this discrimination between the locals and the foreigners.
Jack Wagon is a gold investment consultant. You can take his help to buy gold bullion. For more information about buying gold you can visit his recommended site at http://www.goldmadesimple.com/
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