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    Gemfields revenue down 32%: operational and safety takeaways for mine planners

    March 26, 2026|

    Reviewed by Tom Sullivan

    Gemfields revenue down 32%: operational and safety takeaways for mine planners

    First reported on MINING.com

    30 Second Briefing

    Gemfields’ 2025 revenue fell 32% to $135.1 million and EBITDA dropped 85% to $6.2 million as disruptions at the Montepuez ruby mine in Mozambique and the Kagem emerald mine in Zambia cut production and auction volumes. Seven auctions raised $129 million, but Kagem mining was halted for five months amid weak Chinese demand and oversupply from a rival Zambian producer, while Montepuez faced low premium-ruby recoveries, rising illegal mining and a fatal incursion that killed two police officers. The group is delaying commissioning of its $70 million Montepuez processing plant into H1 2026, has sold Fabergé for $50 million and completed a $30 million rights offer, while warning that Middle East-driven diesel supply risks could hit Mozambique and Zambia operations.

    Technical Brief

    • Gemfields is assessing alternative diesel supply routes and increased on-site fuel storage to maintain critical services.
    • Operational adjustments under review include throttling diesel-intensive activities to preserve power for dewatering and ventilation.
    • Suspension of Kagem mining required maintaining pit stability and water management with minimal production traffic.
    • Delayed commissioning of the new processing plant extends reliance on existing circuits with known throughput and recovery constraints.
    • Group operating costs were cut, which may pressure maintenance, spares inventories and non-critical safety upgrades if not ringfenced.
    • For other diesel-dependent African mines, Gemfields’ “pinch point” warning reinforces the need for contingency fuel and power planning.

    Our Take

    The 34% drop in 2025 auction revenue to $129 million flagged in the 30 January piece aligns with the 32% group revenue fall here, underscoring that Gemfields’ earnings are now tightly coupled to realised auction pricing at Kagem and Montepuez rather than volume alone.

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    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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