Gemfields auction revenue falls 34%: project and production signals for mine planners
Reviewed by Joe Ashwell

First reported on MINING.com
30 Second Briefing
Gemfields’ 2025 auction revenue dropped 34% to $129 million, down from $196 million in 2024 and 47% below the $242 million achieved in 2023, signalling sustained pricing and demand weakness across coloured gemstones in line with the diamond market. The second processing plant at the Montepuez ruby mine in Mozambique is in final commissioning, on budget, with first output due for the February 2026 mixed‑quality ruby auction. At the Kagem emerald mine in Zambia, premium emerald recoveries have met expectations since focused mining restarted in May 2025, while group net debt has been cut to $39.2 million from $80.5 million.
Technical Brief
- Second Montepuez processing plant is in final commissioning, reported as delivered “materially on budget”.
- First rubies from the new Montepuez plant are scheduled for the February 2026 mixed‑quality auction.
- Zambia holds a 25% equity stake in Kagem via the government, with Gemfields retaining 75%.
- Gemfields also owns a 75% interest in the Montepuez ruby mine in Mozambique, confirming majority operational control.
- Parallel weakness in coloured gemstones and diamonds suggests price risk correlation across luxury stone segments for mine planning.
Our Take
Within our 825 Mining stories, coloured gemstones like emeralds and rubies appear far less frequently than bulk commodities, so Gemfields’ auction-led model at Kagem and Montepuez offers one of the clearer barometers for pricing and liquidity in this niche segment.
The reduction in net debt from US$80.5 million to US$39.2 million despite weaker auction revenue suggests Montepuez and Kagem are still throwing off enough cash to fund debt reduction, which may give Gemfields more room to defer or phase capex-heavy expansions if market softness persists.
With the Zambian government holding 25% of Kagem, any prolonged downturn in emerald auction receipts is likely to feed directly into fiscal and royalty discussions, which in our database has often translated into pressure for higher local value-add or revised marketing arrangements rather than simple tax relief.
Prepared by collating external sources, AI-assisted tools, and Geomechanics.io’s proprietary mining database, then reviewed for technical accuracy & edited by our geotechnical team.
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