Gemfields’ Emerald, Beryl Production Takes a Hit

Rapaport reported yesterday that production of emeralds and beryl at Gemfields plc’s (LSE:GEM) Zambia-based Kagem mine fell 45 percent during the quarter ended March 31, 2014. The decline came on the back of “unseasonably high rainfall” and grade volatility.

As quoted in the market news:

Ian Harebottle, CEO of Gemfields assured that operations at the mine remain robust, ‘with Kagem in a strong position to benefit from an anticipated improvement in grades and achieve overall production volumes in line with management expectations.’

Harebottle noted that underlying gemstone markets remained healthy, supported by the ongoing increase in global demand for emeralds and other colored gemstones.

Click here to read the full Rapaport report.