26
2 THE IMPORTANCE OF MINERALS TO THE ECONOMY OF SOME MAJOR
MINING COUNTRIES
Figure 1 below [8] demonstrates a general positive trend of how four major mining countries
are faring in respect of their mineral export contributions as a percentage of total exports.
At 48 per cent, mining contributed the largest proportion of export revenue for Ghana in
2016. The figure further depicts that since 2007 Australia’s mining export contributions have
exceeded 50% of total.
A report by the World Gold Council found that gold mining contributed some USD78 billion in gross economic value added and 530,000 direct jobs in the 15 leading gold producing
countries [7]. Additionally, large numbers of indirect jobs are also generated. For example, in
Ghana, one mining position supports an estimated 28 other jobs and livelihoods in the country and in Peru about 19 jobs. In South Africa, mining supports about 1.4 million direct, indirect and induced jobs, and each of these supports on average around nine dependents [7].
Digital mining success is premised on other important considerations receiving the requisite attention, such as taking into account those communities directly impacted through
mining activities. A shared value approach to promoting community development is based
on three key areas: (i) Preferential community employment, (ii) Preferential community procurement, and (iii) Water security. A practical example would be how Gold Fields Limited
operates within Ghana, where the following milestones have been accomplished in its 25
years of operating there [6]:
1. Community spend: – Gold Fields’ Ghana Foundation started in 2004 and has spent USD
47 million to date.
2. Employment: – the current workforce includes around 7,570 people. The dependency
ratio is approximately 8–15, leading to support of 70,000 to 100,000 people.
3. In country procurement: – support of local economy is good, with 90% of supplier spend
staying in Ghana, and 25% of the supplier spend is now within the host community.
4. Government revenue: – Gold Fields has paid USD 1.2 billion in taxes since 1998, plus an
additional USD 100 million in shareholder payments to the government.
5. Infrastructure: – Gold Fields has assisted by rehabilitating over 100 km of public roads,
including the upgrading of the Tarkwa to Damang road for USD 22 million. Further support to communities has, amongst others, included connecting them to the energy grid.
Figure 1. The importance of minerals to the economy of some major mining countries [8].
70
....,. 60
> ro
0.. 50
E
~
~ 40
2
'" ~ 30
~ 20
~
J:: 10
------2000 2001 2002 2003 2004 2005 2005 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
Year
- -Australia - -Canada - -Ghana - - s outhAfri ca
2 THE IMPORTANCE OF MINERALS TO THE ECONOMY OF SOME MAJOR
MINING COUNTRIES
Figure 1 below [8] demonstrates a general positive trend of how four major mining countries
are faring in respect of their mineral export contributions as a percentage of total exports.
At 48 per cent, mining contributed the largest proportion of export revenue for Ghana in
2016. The figure further depicts that since 2007 Australia’s mining export contributions have
exceeded 50% of total.
A report by the World Gold Council found that gold mining contributed some USD78 billion in gross economic value added and 530,000 direct jobs in the 15 leading gold producing
countries [7]. Additionally, large numbers of indirect jobs are also generated. For example, in
Ghana, one mining position supports an estimated 28 other jobs and livelihoods in the country and in Peru about 19 jobs. In South Africa, mining supports about 1.4 million direct, indirect and induced jobs, and each of these supports on average around nine dependents [7].
Digital mining success is premised on other important considerations receiving the requisite attention, such as taking into account those communities directly impacted through
mining activities. A shared value approach to promoting community development is based
on three key areas: (i) Preferential community employment, (ii) Preferential community procurement, and (iii) Water security. A practical example would be how Gold Fields Limited
operates within Ghana, where the following milestones have been accomplished in its 25
years of operating there [6]:
1. Community spend: – Gold Fields’ Ghana Foundation started in 2004 and has spent USD
47 million to date.
2. Employment: – the current workforce includes around 7,570 people. The dependency
ratio is approximately 8–15, leading to support of 70,000 to 100,000 people.
3. In country procurement: – support of local economy is good, with 90% of supplier spend
staying in Ghana, and 25% of the supplier spend is now within the host community.
4. Government revenue: – Gold Fields has paid USD 1.2 billion in taxes since 1998, plus an
additional USD 100 million in shareholder payments to the government.
5. Infrastructure: – Gold Fields has assisted by rehabilitating over 100 km of public roads,
including the upgrading of the Tarkwa to Damang road for USD 22 million. Further support to communities has, amongst others, included connecting them to the energy grid.
Figure 1. The importance of minerals to the economy of some major mining countries [8].
70
....,. 60
> ro
0.. 50
E
~
~ 40
2
'" ~ 30
~ 20
~
J:: 10
------2000 2001 2002 2003 2004 2005 2005 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
Year
- -Australia - -Canada - -Ghana - - s outhAfri ca