Mines in Mpumalanga and Their Economic Impact

31 May, 2025

Mining in Mpumalanga Province: Key Sectors and Economic Value

Mpumalanga is one of South Africa’s most resource-rich provinces, home to a variety of mines that play a vital role in the national economy. The mines in Mpumalanga are predominantly focused on coal, although the province also hosts gold, platinum group metals, and chrome operations. Coal mining dominates, making Mpumalanga the heart of South Africa’s power generation and industrial activity.

The coal industry is a major employer in the province, supporting about 5.2 percent of Mpumalanga’s workforce. Beyond direct employment, mining generates thousands of indirect jobs through supply chains and services.

Research from the University of Cape Town has highlighted Mpumalanga’s economic dependence on coal mining. The province contributes approximately 80 percent of South Africa’s coal output. With the country producing over 250 million tonnes of coal each year, Mpumalanga’s role in the national energy and export economy is central.

Mines in Secunda: Powering Industry and Supporting Jobs

Secunda, located in south-west Mpumalanga, is home to some of South Africa’s most productive coal mines. These operations supply feedstock to Sasol’s Secunda Synfuels plant, one of the world’s largest coal-to-liquids facilities. The plant converts coal into synthetic fuels, chemicals and electricity, making it a cornerstone of national industrial activity.

The types of mines in Secunda are primarily underground and opencast, operated by Sasol Mining and other key industry players. Sasol alone runs five major collieries in the area. These mines are essential to meeting South Africa’s energy needs while also supplying raw materials to domestic and international markets.

Mining in Secunda supports thousands of direct jobs and sustains even more through service providers and contractors. According to the Mpumalanga Economic Growth Agency, the mining sector in Mpumalanga is a significant driver of employment and economic transformation. In contrast with mining hubs like the Kathu mines in the Northern Cape, which focus on iron ore exports, Secunda’s coal production is closely linked to domestic industry and energy supply.

Infrastructure and Skills Development Driven by Secunda Mines

Mining companies in Secunda are actively involved in local development, particularly through investments in infrastructure and education. Firms like Sasol align their community upliftment efforts with regulatory obligations under the Mineral and Petroleum Resources Development Act. These efforts aim to empower local communities and support long-term sustainability beyond the life of the mines.

Sasol’s community development programmes include the funding of technical high schools, bursaries for engineering and mining studies and the upgrading of science laboratories. These projects ensure that young people in the region gain the skills needed to enter technical and engineering fields.

In addition, mining companies collaborate with local municipalities to improve road networks, water infrastructure and power supply. These improvements benefit not only the mining industry but also support the broader economy, including sectors such as agriculture, tourism and retail.

How Secunda Coal Mine Operations Shape the Local Economy

Coal mining in Secunda contributes significantly to the provincial economy, with the sector accounting for more than 20 percent of Mpumalanga’s gross domestic product. This economic impact is felt through wages, local procurement, and infrastructure investment.

Mining companies in Secunda also work closely with local suppliers of goods and services, helping to stimulate the growth of small and medium enterprises. These procurement relationships create a ripple effect across the region, enabling economic diversification even in areas heavily reliant on mining.

While mining in Kathu continues to showcase South Africa’s strength in iron ore, the mines in Kathu serve a different purpose compared to those in Mpumalanga. Secunda’s focus on coal and energy production has made it a hub for industrial development, skills creation and infrastructure investment.

The mines in Mpumalanga, especially those in Secunda, are more than extraction sites. They are engines of economic growth and social development. Through strategic investment in people and places, they continue to power sustainable development in the province and across South Africa.

Empowering Safer Mines with SafetyCloud

As mining continues to shape Mpumalanga’s economy—especially in hubs like Secunda—ensuring the safety and preparedness of workers is more critical than ever. SafetyCloud explores these mining landscapes not only to understand their economic value but also to support them with expert-led training and safety solutions.