Gemfields’ emerald and beryl production up 19% in September quarter

Gemfields plc announced its operational update for the quarter ending 30 September 2015. During the three months, it recorded an increased production of emerald and beryl sourced from its Kagem mine in Zambia, which rose 19 percent from the same period in the prior year, reports say. The aid production was of 7.5 million carats. The company owns 75 percent of the mine. The average grade of the production saw improvement from 214 carats per tonne in the corresponding quarter last year to now be at 237 carats per tonne, as per reports.

The production from its 75 percent-owned Montepuez mine in Mozambique - of ruby and corundum was at 0.5 million carats from 2.9 million carats in the same quarter last year. The company recorded a 96 percent increase in the volume of higher quality rubies recovered, as per reports.

An auction in September offering predominantly higher quality rough emerald which took place in Singapore earned delivered revenues worth US$ 34.7 million, with 0.59 million carats being sold. In Singapore an auction also held in September of predominantly higher quality rough amethyst churned revenues of US$ 0.44 million or 4.32 US cents per carat, “the highest ever achieved at any Gemfields' amethyst auction”, as per the company, reports say.

Ian Harebottle, CEO of Gemfields, commented: We maintain our production target for the 2016 financial year of 25 to 30 million carats for rough emeralds and 8 million carats for rough ruby.”

Gemfields’ wholly owned Fabergé Ltd recorded gross profits from sales orders increasing 61 percent from the quarter ending 30 September 2014, as per reports. The gross profit margin on sales orders agreed increased from 30 percent to 51 percent over the same period.