December 18, 2018

Singapore Ruby Auction Results

Gemfields is pleased to announce the results of an auction of rough rubies in Singapore from 10 – 14 December 2018. The rough rubies were extracted from the licence held and operated by Montepuez Ruby Mining Limitada (“MRM”), which is 75% owned by Gemfields and 25% by local partner Mwiriti Limitada. Highlights – Ruby Auction Auction revenues of USD 55.3 million; Of the 90 lots offered, 88 were sold (98%); Average price of USD 84.32 per carat; 655,623 carats sold out of the 685,363 carats offered (96%); and The eleven Gemfields auctions of MRM rubies held since June 2014 have generated USD 462.6 million in aggregate revenues.

Zambian Revenue Authority Clears Kagem

Gemfields advises that the Zambian Revenue Authority (“ZRA”) has now cleared Kagem Mining Limited (“Kagem”) following its recent tax investigation. The investigation commenced on 16 August 2018 when the ZRA served two search warrants during an unannounced visit to Kagem. The search warrants authorised the ZRA to take wide‐ranging documents and files including those allegedly “used by Kagem Mining Ltd / Limpopo Polygraphs CC to evade the payment of value added tax, income tax, withholding tax and other taxes”.