Mining companies account for about one-third of the Johannesburg Stock Exchange’s total market value, underscoring the sector’s importance to South African equities as gold and platinum-group-metal producers recover from years of underinvestment, weak prices and operational pressure.
The JSE Mining Index returned 18.66% in 2024, exceeding the 13.4% return recorded by the broader FTSE/JSE All Share Index. The performance followed a period marked by low PGM prices, electricity insecurity, wage pressure, safety concerns and investor caution over deep-level mining operations.
South Africa remains a major source of gold, platinum, rhodium, ruthenium, iridium, palladium, chrome and manganese. Its coal, iron ore and industrial-mineral producers also remain important to domestic infrastructure, exports and state revenue. The exchange is dominated by operating mining companies with established assets, high operating costs and exposure to globally significant mineral supply chains.
Gold Producers Increase Cash Returns
Higher bullion prices have improved earnings and shareholder returns among JSE-linked gold companies. Gold Fields produced 2.438 million ounces of gold in 2025, representing an 18% increase from the previous year. Headline earnings per share rose to $2.88, compared with $1.33 a year earlier.
The company increased its total annual dividend to R25.50 per share, from R10.00 per share in 2024, and announced $353 million in additional shareholder returns. These included a $253 million special dividend and $100 million in share buybacks. Gold Fields operates across Ghana, South Africa, Australia, Chile and Peru. Its Tarkwa mine in Ghana produced about 475,000 ounces in 2025, accounting for roughly one-fifth of group production.
Harmony Gold, South Africa’s largest gold producer by volume, reported a 13% increase in profit during the first half of FY26. The company more than doubled its interim dividend to R5.30 per share, resulting in a record R3.38 billion payout. The earnings improvement came despite a 9% decline in production. Output was affected by earthquake damage at the Hidden Valley operation in Papua New Guinea and sodium cyanide shortages in South Africa.
Harmony Expands Copper Portfolio
Harmony is pursuing a copper growth strategy alongside its gold operations, targeting annual copper production of about 100,000 tonnes within several years. The company acquired the CSA copper mine in Australia and is advancing the Eva project while retaining exposure to Wafi-Golpu. Gold cash flow continues to support the company’s expansion into copper, which is used in power grids, electrification systems and industrial applications.
AngloGold Ashanti reported 2025 profit of $2.725 billion, nearly three times the previous year’s level, after producing 3.1 million ounces of gold at higher gold prices. The company no longer operates mines in South Africa and has shifted its primary corporate centre away from the country. It remains associated with South Africa’s mining-capital base through its historical origins and shareholder base. AngloGold reported 4.9 million ounces of mineral reserves at the Arthur Gold Project in Nevada. The project is expected to produce about 500,000 ounces per year, with capital expenditure estimated at $3.6 billion.
PGM Producers Face Constrained Supply
South Africa remains the dominant global source of several platinum-group metals, including platinum, rhodium, ruthenium and iridium, while also producing significant palladium volumes. Platinum is used in autocatalysts, jewellery, chemical catalysts, petroleum refining, glass, electronics and hydrogen technologies. Rhodium is used in vehicle emissions-control systems, while ruthenium and iridium are used in electronics, electrochemical applications and hydrogen-related systems.
PGM demand has been affected by the pace of battery-electric vehicle adoption, hybrid vehicle sales, palladium substitution, jewellery trends, recycling costs and hydrogen-sector development. At the same time, supply has been constrained by low prices, reduced investment, shaft closures, electricity challenges and high-cost deep-level mining.
Valterra Platinum, the demerged successor to Anglo American Platinum, retains its primary listing on the JSE and a secondary listing in London. Anglo American separated the PGM business while refocusing on copper, iron ore and crop nutrients.
Valterra reported 3.2 million PGM ounces of mined and purchased concentrate production in 2025, as well as 3.4 million PGM ounces of refined production. Both measures were marginally above guidance. For 2026, Valterra has guided for 3.0 million to 3.4 million PGM ounces of mined and purchased concentrate production and refined production. Cash operating unit costs are expected to range between R19,000 and R20,000 per PGM ounce, while targeted all-in sustaining costs are about $1,050 per 3E ounce.
Northam Records Higher Revenue and Margins
Northam Platinum recorded H1 FY26 revenue of R23.3 billion, a 60% increase from the comparable period. The result reflected a 53.1% rise in the rand 4E basket price, higher metal sales and increased production. The company’s operating profit margin increased to 25.1%, compared with 7.5% in the first half of the previous financial year.
Northam owns the Zondereinde, Booysendal and Eland operations. Its portfolio includes chrome co-product exposure, linking the company to Chinese stainless steel demand and ferrochrome supply chains. Impala Platinum has operations including Impala Rustenburg, Zimplats in Zimbabwe, Two Rivers, Marula and Impala Canada. The company also expanded its western Bushveld position through the acquisition of Royal Bafokeng Platinum. Its asset base provides exposure to South Africa, Zimbabwe and North American palladium production. Its performance remains tied to PGM basket prices, shaft productivity, labour conditions, power availability, chrome revenues and capital allocation.
Sibanye Restarts Dividend as Prices Improve
Sibanye-Stillwater reported headline earnings of R2.44 per share in 2025, compared with R0.64 per share in the previous year. The company declared its first dividend since 2023 after higher gold and PGM prices improved earnings. The average rand gold price rose 39%, while the average South African PGM basket price increased 28%.
Sibanye recorded R7.8 billion in impairments at the Keliber lithium project in Finland, citing a weaker lithium hydroxide price outlook. It also cancelled its planned investment in the Rhyolite Ridge project in the United States after lithium prices declined. The company began mining lithium ore at Syväjärvi in Finland in February 2026. It plans phased production, initially targeting about 140,000 tonnes per year of spodumene concentrate from the concentrator.
A decision on commissioning a refinery capable of producing around 15,000 tonnes per year of battery-grade lithium hydroxide will depend on market conditions and discussions with the European Union regarding policy support, including possible measures related to price volatility and unfair competition. Sibanye’s portfolio includes South African gold and PGMs, US PGMs and recycling, European lithium, nickel, zinc and zinc retreatment assets.
Tharisa Plans Underground Mine Development
Tharisa operates in South Africa’s Bushveld Complex and produces both PGMs and chrome concentrate.
The company has announced a $547 million plan to transition the Tharisa mine underground over the next decade as surface resources are depleted. At full capacity, the underground operation is expected to produce about 200,000 ounces of PGMs annually and more than 2 million tonnes of chrome concentrate per year. Chrome production provides exposure to stainless steel demand and ferrochrome supply chains, while PGM output is linked to automotive, industrial, chemical and hydrogen-related markets.
Valterra has said global primary PGM production could decline by 15% to 20% by the end of the decade because of limited investment in new mines and extensions of existing operations. South Africa supplies more than 70% of global platinum.
Currency, Power and Labour Remain Key Variables
South African miners sell commodities priced in global markets while much of their cost base is denominated in rand. Changes in the exchange rate can affect margins, dividends and valuations.
Gold producers benefited from higher rand gold prices in 2025, while PGM companies benefited from improved rand basket prices. Currency weakness can support local-currency margins but can also reflect broader country risk, inflation and investor caution.
Electricity reliability, tariff increases and logistics constraints remain material issues for mining operations. Deep-level gold and PGM mines require ventilation, refrigeration, hoisting, pumping and continuous electricity supply. Concentrators, smelters and refineries also depend on stable power.
Labour relations, wage negotiations, union activity, safety stoppages, seismic events and operational discipline continue to influence production. South African mines remain technically complex, deep and labour-intensive.
Policy Focus Turns to Critical Minerals
South Africa’s Critical Minerals and Metals Strategy identifies PGMs and manganese as materials relevant to global decarbonisation, industrialisation and digital transformation. Mining companies require reliable rail infrastructure, electricity, permitting processes, security, water, processing capacity and export logistics to support investment and production.
The country has mining, concentration, smelting and refining capacity for PGMs, but local beneficiation remains dependent on commercial conditions. Power reliability, logistics, skills, industrial clusters and downstream demand affect the viability of further processing.
The JSE can provide financing for sustaining capital, mine expansions, mechanisation, environmental upgrades and downstream projects. Mining companies must also balance shareholder returns with investment in reserve replacement, development, exploration and new supply. Gold Fields is returning capital while managing its global portfolio. Harmony is using gold cash flow to build copper exposure. AngloGold is advancing US growth through the Arthur project. Valterra is operating as an independent PGM producer, while Northam, Impala Platinum, Sibanye-Stillwater and Tharisa remain exposed to PGM prices, operational performance and capital discipline.
Russia remains a major PGM producer, particularly of palladium and nickel-linked PGMs. Sanctions and geopolitical tensions have increased attention on supply reliability, adding strategic significance to South African PGM supply for Western buyers.
Central-bank buying, de-dollarisation narratives and geopolitical stress have also increased gold’s role in reserve-asset markets. South African-origin gold equities, including globally diversified producers, remain exposed to that environment. Johannesburg-listed mining companies provide exposure to gold, PGMs, chrome, manganese, iron ore and battery metals through Sibanye’s Keliber project. Their performance remains dependent on commodity prices, operating costs, infrastructure conditions, regulation, project execution and investment levels.
