Gemfields Surpasses Auction Revenue Milestone with Strong Ruby Sales
Gemfields, renowned for its ruby and emerald mining, recently concluded a successful auction, boasting total revenues of $69.5 million from the sale of 97 lots, comprising 239,591 carats of rough rubies.
The average price realized for the rubies stood at $290.02 per carat, marking a prosperous auction for the mining company.
These rough rubies, extracted by Montepuez Ruby Mining (MRM), a joint venture with Mozambican partner Mwiriti (75% owned by Gemfields and 25% by Mwiriti), will see the entire proceeds repatriated to MRM in Mozambique. Notably, all owed royalties to the Mozambique government will be settled based on the full auction sales price.
The auction lots were showcased in Bangkok, allowing private, in-person viewings by prospective buyers from November 20 to December 5.
Subsequently, the auctions were conducted through a tailored online platform, enabling participation from multiple global jurisdictions via a sealed bid process, adapting specifically for Gemfields.
Adrian Banks, Gemfields’ Product and Sales Managing Director, expressed satisfaction with the auction’s outcomes, citing a consistent upward trajectory in ruby prices over recent auctions.
He emphasized the robust demand and pricing trends for rough rubies, affirming the market’s strong appetite for these gemstones.
Gemfields’ total auction revenue for the year stands at an impressive $242 million, marking the second-highest figure in the company’s history.
Moreover, Banks highlighted a significant milestone, surpassing $2 billion in cumulative emerald and ruby auction sales. He lauded this achievement, particularly the remittance of these sales revenues to the countries of origin, along with substantial contributions of nearly $400 million in mineral royalties and corporation taxes to the governments of Mozambique and Zambia.
The success of this auction cements Gemfields’ stature in the gemstone industry, showcasing robust market demand and affirming the company’s commitment to equitable contributions to the nations where these precious gems originate.
