REG - Gemfields Group Ltd - Auction Results: Mixed-Quality Rubies

GemfieldsAnnouncement

19/06/2024 07:00

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RNS Number : 9585S  Gemfields Group Limited  19 June 2024

Incorporated in Guernsey. Guernsey registration Number: 47656

South African external company registration number 2009/012636/10

Share code on JSE: GML / AIM: GEM

ISIN: GG00BG0KTL52 | LEI: 21380017GAVXTCYS5R31

("Gemfields" or the "Company")

Auction Results: Mixed-Quality Rubies

LONDON, 19 JUNE 2024

Gemfields is pleased to announce the results of a ruby auction comprised of
mixed-quality rough rubies held during the period 3 to 18 June 2024.

Highlights: June 2024 Mixed-Quality Ruby Auction

·    Total auction revenues of USD 68.7 million

·    94 of the 97 lots (comprising 217,044 carats) offered for sale were
sold (97%)

·    Average realised price of USD 316.95 per carat

·    The 22 auctions of MRM gemstones held since June 2014 have now
generated USD 1.12 billion in total revenue

Adrian Banks, Gemfields' Managing Director of Product & Sales, commented:

"This auction marks the 10(th) anniversary of Gemfields' first auction in June
2014 of rubies from the Montepuez Ruby Mine in Mozambique. We are pleased to
announce another strong result demonstrating the confidence that loyal
customers have in our product offering and auction platform. While auction
results should not be directly compared, our team is proud to have crossed the
milestone of an average selling price of USD300 per carat at this auction.

While the industry is currently facing some headwinds, arising in part from a
softening in China, we hope this result provides good comfort to other
stakeholders in our sector. As always, our thanks and appreciation goes out to
the hardworking team at MRM, our partners Mwiriti and the Government of
Mozambique, whose support makes these results and achievements possible."

The rough rubies were extracted by Montepuez Ruby Mining Limitada ("MRM",
which is 75% owned by Gemfields and 25% by its Mozambican partner Mwiriti
Limitada). The proceeds of this auction will be fully repatriated to MRM in
Mozambique, with all royalties due to the Government of the Republic of
Mozambique being paid on the full sales price achieved at the auction.

The auction lots were made available in Bangkok for private, in-person
viewings by customers. Following the viewings, the auctions took place via an
online auction platform specifically adapted for Gemfields and which permitted
customers from multiple jurisdictions to participate in a sealed-bid process.

The results of the five most recent Mixed-Quality MRM ruby auctions are
summarised in the table below (and earlier results are available at
www.gemfieldsgroup.com (http://www.gemfieldsgroup.com) ):

 AUCTION RESULTS (MIXED QUALITY)    Jun '24 AUCTION                                                           Dec '23 AUCTION                                                           Jun '23 AUCTION                                                  Dec '22 AUCTION                                                  Jun '22 AUCTION

                                    (7 sequential mini-auctions)                                              (7 sequential mini-auctions)                                              (7 sequential mini-auctions)                                     (7 sequential mini-auctions)                                     (7 sequential mini-auctions)
 Dates                              3 - 18 Jun 2024                                                           20 Nov -                                                                  5 - 20 Jun 2023                                                  21 Nov -                                                         30 May -

                                                                                                              5 Dec 2023                                                                                                                                 8 Dec 2022                                                       17 Jun 2022
 Location                           Bangkok / Online                                                          Bangkok / Online                                                          Bangkok / Online                                                 Bangkok / Online                                                 Bangkok / Online
 Type                               Rough Ruby (Higher, Medium and Commercial Quality), no 'Low Ruby' (1) or  Rough Ruby (Higher, Medium and Commercial Quality), no 'Low Ruby' (1) or  Rough Ruby (Higher, Medium and Commercial Quality), no Corundum  Rough Ruby (Higher, Medium and Commercial Quality), no Corundum  Rough Ruby (Higher, Medium and Commercial Quality), no Corundum
                                    Corundum                                                                  Corundum
 Carats offered                     217,044                                                                   239,591                                                                   446,202                                                          525,246                                                          610,135
 Carats sold                        216,600                                                                   239,591                                                                   302,317                                                          431,671                                                          387,681
 No. of companies placing bids      52                                                                        53                                                                        51                                                               44                                                               49
 No. of lots offered                97                                                                        97                                                                        94                                                               104                                                              119
 No. of lots sold                   94                                                                        97                                                                        91                                                               98                                                               112
 Percentage of lots sold            97%                                                                       100%                                                                      97%                                                              94%                                                              94%
 Percentage of lots sold by weight  99.8%                                                                     100%                                                                      68% (2)                                                          82%                                                              64%
 Total sales realised at auction    USD 68.7                                                                  USD 69.5                                                                  USD 80.4                                                         USD 66.8                                                         USD 95.6

                                    million                                                                   million                                                                   million                                                          million                                                          million
 Average per carat sales value      USD                                                                       USD                                                                       USD                                                              USD                                                              USD

316.95/carat
290.02/carat
265.99/carat
154.84/carat
246.69/carat

 

1 - The 'Low Ruby' category was not offered at the December 2023 or June 2024
auctions. Approximately 703,000 carats of 'Low Ruby' were sold at the
commercial quality ruby auction in September 2023.

 

2 - One lot of 26,806 grams (representing some 30% of the total weight
offered) remained unsold at the June 2023 auction. As a result, the average
price per carat realised at this auction was considerably higher than it would
have been had this lot also been sold. These gems were then sold at the
September 2023 commercial quality ruby auction.

The specific auction mix and the quality of the lots offered at each auction
vary in characteristics such as size, colour and clarity on account of
variations in mined production and market demand. Therefore the results of
each auction are not always directly comparable.

 

 

-ENDS-

 

 

Further information on Gemfields Group Limited can be found at:

 GEMFIELDSGROUP.COM (http://WWW.GEMFIELDSGROUP.COM)

 

To join our investor mailing list, contact us on:
ir@gemfields.com (mailto:ir@gemfields.com)

 

For any press enquiries please contact us on:
gemfields@camarco.co.uk (mailto:gemfields@camarco.co.uk)

 

 

 

This announcement contains inside information for the purposes of Article 7 of
the Market Abuse Regulation (EU) no. 596/2014 which forms part of domestic UK
law pursuant to the European Union (withdrawal) act 2018 ("MAR").

 

 

 

ENQUIRIES

 

 GEMFIELDS            Sean Gilbertson / David Lovett / Ian Hughes

                      ir@gemfields.com (mailto:ir@gemfields.com)

T:  +44(0) 20 7518 3400
 SPONSOR (JSE)        Investec Bank Limited
 NOMINATED ADVISER    Liberum

(AIM) & BROKER
Scott Mathieson / John More / Anake Singh
                      T: +44(0) 20 3100 2222
 FINANCIAL PR/ IR     Camarco
                      Gordon Poole / Emily Hall / Charlie Dingwall

T: +44(0) 20 3757 4980

 

ADDITIONAL INFORMATION ON GEMFIELDS

 

Gemfields is a world-leading responsible miner and marketer of coloured
gemstones. Gemfields is the operator and 75% owner of both the Kagem emerald
mine in Zambia (believed to be the world's single largest producing emerald
mine) and the Montepuez ruby mine in Mozambique (one of the most significant
recently discovered ruby deposits in the world). In addition, Gemfields also
holds controlling interests in various other gemstone mining and prospecting
licences in Zambia, Mozambique, Ethiopia and Madagascar.

 

Gemfields' outright ownership of Fabergé - an iconic and prestigious brand of
exceptional heritage - enables Gemfields to optimise positioning, perception
and consumer awareness of coloured gemstones through Fabergé designs,
advancing the wider group's "mine and market" vision.

 

Gemfields has developed a proprietary grading system and a pioneering auction
platform to provide a consistent supply of coloured gemstones to downstream
markets, a key component of Gemfields' business model that has played an
important role in the growth of the global coloured gemstone sector.

 

GEMFIELDS

GEMFIELDS.COM (https://gemfields.com/) (https://gemfields.com/) | INVESTORS
(https://www.gemfieldsgroup.com/) (https://www.gemfieldsgroup.com/)
|FOUNDATION (https://www.gemfieldsfoundation.org/)

INSTAGRAM (https://www.instagram.com/gemfields/)
(https://www.instagram.com/gemfields/) | FACEBOOK
(https://www.facebook.com/Gemfields/) (https://www.facebook.com/Gemfields/) |
TWITTER (https://twitter.com/GemfieldsLtd?lang=en)
(https://twitter.com/GemfieldsLtd?lang=en) | YOUTUBE
(https://www.youtube.com/channel/UCArCE0JFtakTP-tHq6v0KVg)

 

FABERGÉ

FABERGÉ.COM (https://www.faberge.com/) | INSTAGRAM
(https://www.instagram.com/officialfaberge/)
(https://www.instagram.com/officialfaberge/) | FACEBOOK
(https://www.facebook.com/OfficialFaberge)
(https://www.facebook.com/OfficialFaberge) | TWITTER
(https://twitter.com/OfficialFaberge) (https://twitter.com/OfficialFaberge) |
YOUTUBE (https://www.youtube.com/user/officialfaberge)

 

KAGEM MINING LINKEDIN (https://www.linkedin.com/company/kagem-mining-ltd)

MONTEPUEZ RUBY MINING LINKEDIN
(https://www.linkedin.com/company/montepuez-ruby-mining)

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