South Africa has opened its first new underground gold mine in more than a decade, offering a rare lift for an industry long plagued by closures and declining output.
The Qala Shallows project, developed by Australia-listed West Wits Mining, was officially launched in Roodepoort, west of central Johannesburg. The mine comes online at a time when global gold prices are hovering near record highs, adding to optimism around the sector’s revival.
The project marks a significant milestone for the Witwatersrand basin the historic goldfield that built Johannesburg which has seen production fall by more than 70 percent over the last 20 years as many deep-level mines became too costly to operate.
West Wits delivered its first ore to surface in October and has already accumulated a 30,000-ton stockpile. Its first gold pour is expected in March 2026. The mine is set to ramp up to a steady 70,000 ounces of gold annually for the first 12 years of its 17-year life, contributing an estimated US$1.15 billion to the economy.
Beyond its output, Qala Shallows is expected to deliver strong socioeconomic gains. More than 1,000 direct jobs will be created during the first phase, with recruitment focused on nearby communities. Additional benefits are expected through local procurement, enterprise development and community partnerships.
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Mineral Resources Minister Gwede Mantashe, the Australian High Commissioner and Minerals Council South Africa representatives attended the opening ceremony.
“Today’s ceremony is important because it demonstrates especially to those with lingering scepticism that South Africa remains one of the wealthiest countries when it comes to mineral resources,” Mantashe said.
Qala Shallows forms part of West Wits’ broader Witwatersrand Basin Project, which hosts more than five million ounces in resources. The company plans to expand into nearby zones such as Bird Reef Central as part of its long-term “Project 200,” aimed at eventually building a 200,000-ounce-per-year operation.
