Gemfields Announces CEO Departure Amid Ruby Mine Production and Security Challenges
Gemfields CEO Sean Gilbertson Steps Down as Mozambique Ruby Mine Faces Production Challenges
Gemfields has announced that Chief Executive Officer Sean Gilbertson will step down from his role and as a director of the company on July 15, 2026, by mutual agreement with the board.
Chief Financial Officer David Lovett has been appointed interim CEO while retaining his current responsibilities.
Nonexecutive Chairperson Bruce Cleaver will provide additional support to the executive team as the board begins the search for a permanent successor.
The company thanked Gilbertson for his leadership and said the interim arrangement will ensure continuity as Gemfields continues to focus on its operational and strategic priorities.
The announcement comes as Gemfields reported mixed operational results from its 75%-owned Mozambique Ruby Mine (MRM).
The company’s inaugural Trade Select ruby auction, held between June 22 and 29, generated US$23.1 million in revenue after selling more than 93% of the 374,008 carats offered at an average price of US$66.30 per carat.
The auction featured a wider range of ruby qualities alongside sapphire offerings and attracted strong buyer participation despite challenging market conditions.
However, Gemfields warned that ruby production at MRM has declined due to falling premium-grade recoveries, heavy rainfall earlier this year, and ongoing commissioning challenges at its Second Processing Plant (PP2).
As a result, the company expects a material reduction in the volume and quality of rubies available for auction for the remainder of 2026.
Although PP2 has been operational since September 2025, final commissioning is now expected during the third quarter of 2026 as engineers address equipment wear, construction defects, and plant optimisation issues.
The company also continues to face security concerns in Mozambique’s Cabo Delgado province.
While operations have largely returned to normal following nearby insurgent-related attacks earlier this year, illegal mining remains a significant challenge, with an estimated 700 illegal miners entering the concession daily.
Gemfields said the activity poses safety risks and negatively affects resource recovery.
Adding to the operational pressures, MRM is awaiting US$28.3 million in outstanding VAT refunds from the Mozambican government, which has placed additional strain on cash flow.
Gemfields said declining ore grades, processing plant challenges, security risks, illegal mining, and delayed VAT repayments are expected to continue impacting production and financial performance while the company works with authorities to address the issues.
