Possible extended shutdowns of mines in South Africa due to poor safety will cost the country dearly, according to an article in the latest edition of Finweek.

The Department of Mineral and Energy is taking a hard stance saying that mines and shafts would be shut after fatal accidents, it says.

One million jobs supporting between seven and 10 million South Africans are in the balance the journal reports. Without mining SA would directly lose R120-billion, seven percent of the country's gross domestic product, it says.

Chamber of Mines CEO Zoli Dilize said South Africa agreed to strive to reach international best safety standards in 2013. That would require that fatality rates are reduced by 20 percent per annum. Statistics, however, show that that is not happening, despite real improvements shown by the 50 percent drop in the SA mining industry fatality frequency rate achieved between 1996 and 2005, according to the article.

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