Gemfields, the supplier of coloured gemstones, announced yesterday that basic operations had resumed at its Montepuez ruby mine (MRM) in Mozambique after it initiated an evacuation of operational employees and contractors last week.
In a statement, the group said key operational personnel had now returned to MRM, and basic operations had resumed.
“Mining and processing activities are being resumed in phases after giving due consideration to the threat perceptions in the licence area,” it said.
According to the group, the evacuation was initiated as a precaution due to an attack on a neighbouring ruby mine located about 12km south-east of MRM’s operations, on the morning of Thursday, October 20, attributed to Cabo Delgado insurgents.
“MRM’s security personnel and the Mozambique police force remained on-site at MRM. The Mozambique military arrived at MRM later that day and will maintain a presence for the foreseeable future,” it said.
The Gemfields group, based in London and listed on the Johannesburg and London stock exchanges, is focused on mining emeralds at the Kagem mine in Zambia and the MRM in Mozambique.
In its latest results, released in September, Gemfields declared a dividend of $15 million (R260m) as its CEO Sean Gilbertson said its hard-working teams, aided by buoyant market conditions, had pulled a “very well-groomed bunny out of the hat”.
The group reported total revenue of $193.2m for the six months ending June 30, 2022, with all three auctions held in the period breaking records.
Earnings before interest, taxes, depreciation, and amortization (Ebitda) for the reported period were $104.8m, with a 54% Ebitda margin.
The group’s share price was unmoved on Monday afternoon. It has decreased by 3.12% in the past six months.
BUSINESS REPORT