Gemfields PLC
Gemfields is one of the world´s leading coloured gemstone companies. With a strong focus on Zambian emeralds, Gemfields mines, processes and markets both rough and polished gemstones internationally. Gemfields prides itself on its unique ability to bring ethically produced, conflict-free gemstones of certified provenance directly from mine to market on an integrated basis.
. In order to support and influence the entire channel from mine to market, Gemfields is in the process of setting up state-of-the-art Cutting and Polishing facilities with cutting-edge technologies and will offer consumers vast quantities of emeralds in calibrated sizes, high precision and special cuts and large collections of Suites, Pairs, matching earring sets. We will also venture into co-branding projects with large, reputed retailers, most notably the company has acquired a worldwide exclusive 15 year licence to use the Fabergé brand name for coloured Gemstones
Gemfields H1 revenues hike 35x after two successful emerald auctions
Coloured gemstone producer Gemfields (AIM: GEM) reported revenues of US$12 million for the six months ended 31 December 2009 compared to just US$0.34 million in H1 2008 after two successful emerald auctions in July and November 2009 that raised the company US$11.5 million.
The higher revenues were achieved despite lower levels of emerald and beryl production, which amounted to US$7.82 million carats compared to last year’s 14.7 million carats as ore grades declined 28% from 367 cpt (carats per tonne) to 264 cpt. The amount of ore mined also declined 28%, though the mining costs per tonne of ore rose 29%, while the costs per carat improved 12%.
The company slashed its interim loss to US$6.35 million compared to US$186.6 million in H1 2008 - the latter having been the result of the writedown of the Kagem mine.
The post-period progress included the discovery of an exceptional 6,225 carat emerald at the Kagem mine, first production form the trial underground mining project and what the company called encouraging signs of a sustainable increase in demand and interest for emeralds across all key markets, including India, China and the Middle East.
Gemfields intends to look into expanding activities at the Kagem mine, while targeting higher grades and further cost reduction. The next low grade emerald auction is currently scheduled for March 2010, with the company reporting high level of interest and demand, which it hopes will help it achieve higher prices for the gems on offer.
The objectives for the current year include the expansion of the underground mining project and open cast mining activities to include new target sites within the Kagem license area, the opening of a rough gemstone trading business in Kitwe, Zambia, to purchase rough emeralds from locals and the establishments of a trial cutting facility on the mine to establish the feasibility of local beneficiation.
Gemstone garnered some public attention during this year’s Oscar ceremony, which was attended by Hollywood star Morgan Freeman, who wore a Nelson Mandela themed bangle that featured Gemfields produced emeralds.
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Other Gemfields PLC news
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18/05/10 Rox Limited boosts stake in Gemfields to 63.4%
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28/04/10 Gemfields encouraged by emerald and beryl auction revenues, boosts cash balance
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23/04/10 Gemfields to launch jewellery collection at Selfridges in aid of World Land Trust's Indian elephant
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09/04/10 Gemfields new CFO Devidas Shetty promoted to board
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25/03/10 Gemfields notes major shareholder transactions
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17/03/10 Gemfields achieves record sales at rough emerald and beryl auction in Jaipur
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08/03/10 Morgan Freeman wears Gemfields' Nelson Mandela themed emerald bangle on Oscar Day
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22/02/10 Gemfields discovers exceptional 6,225 carat ‘insofu’ emerald at Kagem Mine, Zambia
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18/02/10 Gemfields says its first underground emerald production may transform Zambian mining industry
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28/01/10 Gemfields produces mined grade gemstones in Q2 and sees encouraging signs in all key markets