Gemfields plc reported record revenues for lower quality auctions of US$ 19.2 million at its recent sale held in Jaipur, India from November 18th to 21st, 2015. The sale was of predominantly lower quality rough emerald extracted by Kagem Mining Ltd (75% owned by Gemfields; and 25% by the Government of the Republic of Zambia), Zambia.

The Company said that a new record was set – of US$ 4.32 per carat – for lower quality auctions. This auction also saw the highest number of companies – 29 in all – placing bids since the last auction held in Jaipur in March 2011.  “Of the 5.07 million carats offered for sale, 4.45 million carats were sold (88%),”   Gemfields declared.

So far, 20 Kagem auctions have been held since July 2009, which have generated total revenues of US$ 379 million in total revenues.

This was Gemfields' second auction of Kagem production in the current financial year, and the first   of predominantly lower quality rough emerald outside Zambia since June 2012.

“In addition to the auction of gemstones mined by Gemfields at Kagem, the Jaipur event was also used to host a traded emerald auction of predominantly higher quality emeralds originating from Zambia and Brazil and obtained by Gemfields in the open market from various sources,” the Company said. “The traded auction yielded additional gross revenue of US$ 1.1 million with 20,400 carats sold.”

Ian Harebottle, CEO of Gemfields, commented: "Our return to Jaipur has delivered a knock-out result at a time when global commodity and diamond prices are experiencing well-documented difficulties. Despite the volatility across international financial markets, demand for, and prices of, emeralds, clearly remain as robust as ever. The counter-market cyclicality often associated with precious gemstones, and their reputation as a store of value in turbulent times, have once again shone through.”

Gemfields' next auction is expected to take place in December 2015 in Singapore and, based on current market demand, is anticipated to be predominantly comprised of mixed lots of ruby and corundum from the Montepuez ruby deposit in Mozambique, the Company announced.