REG - Gemfields Group Ltd - Emerald Auction Results

GemfieldsAnnouncement

27/03/2023 07:00

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RNS Number : 2731U  Gemfields Group Limited  27 March 2023

Incorporated in Guernsey. Guernsey registration Number: 47656.

South African external company registration number 2009/012636/10

Share code on JSE:GML / AIM:GEM

    ISIN: GG00BG0KTL52   |  LEI: 21380017GAVXTCYS5R31

("Gemfields" or the "Company")

Emerald Auction Results - Commercial Quality

LONDON, 27 MARCH 2023

Gemfields is pleased to announce the results of an emerald auction comprised
of commercial-quality rough emeralds held during the period 6 March - 24 March
2023.

Highlights - March 2023 - Commercial-Quality Emerald Auction

·    Total auction revenues of USD 21.2 million

·    29 lots were offered for sale, of which 25 were sold (86%)

·    Average price of USD 7.13 per carat

·    95% of the carats offered were sold

·    The 44 auctions of Kagem gemstones held since July 2009 have
generated USD 920 million in total revenues

Adrian Banks, Gemfields' Managing Director of Product & Sales, commented:

"Gemfields' first auction of 2023 has yielded a sound outcome. While it is
evident that the market has normalised appreciably following the exuberance we
experienced in 2022, this auction delivered the third highest price per carat
that we've seen across our 21 auctions of commercial quality emeralds from
Kagem, a sign that the market remains in good shape."

The auction lots were made available for private, in-person viewings by
customers in Jaipur. Following the viewings, the auctions took place via an
online auction platform specifically adapted for Gemfields, which permitted
customers from multiple jurisdictions to participate in a sealed-bid process.

The rough emeralds sold were extracted by Kagem (which is 75% owned by
Gemfields and 25% by the Industrial Development Corporation of Zambia). The
proceeds of this auction will be fully repatriated to Kagem in Zambia, with
all royalties due to the Government of the Republic of Zambia being paid on
the full sales prices achieved at the auction.

The results of the five most recent commercial-quality Kagem auctions are
summarised in the table below (and earlier results are available at
www.gemfieldsgroup.com (http://www.gemfieldsgroup.com) ):

 AUCTION RESULTS (COMMERCIAL QUALITY)  Feb '20             Jul-Aug '21           Mar-Apr '22             Aug-Sep '22 AUCTION     Mar '23 AUCTION

                                       AUCTION             AUCTION               AUCTION
 Dates                                 18-21 Feb 2020      28 Jul - 11 Aug 2021  15 Mar - 1 Apr 2022     31 Aug - 19 Sept 2022   6 - 24 Mar 2023
 Location                              Lusaka, Zambia      Online                Jaipur, India / Online  Jaipur, India / Online  Jaipur, India / Online

                                                           Auction
 Type                                  Commercial Quality  Commercial Quality    Commercial Quality      Commercial Quality      Commercial Quality
 Carats offered                        4.49 million        3.59 million          4.52 million            3.75 million            3.15 million
 Carats sold                           2.86 million        3.50 million          4.52 million            3.65 million            2.97 million
 No. of companies placing bids         29                  49                    56                      44                      45
 Average no. of bids per lot           6                   14                    17                      11                      11
 No. of lots offered                   25                  32                    32                      34                      29
 No. of lots sold                      19                  31                    32                      33                      25
 Percentage of lots sold               76%                 97%                   100%                    97%                     86%
 Percentage of lots sold by weight     64%                 97%                   100%                    97%                     95%
 Total sales realised at auction       USD 11.5            USD 23.1              USD 42.3                USD 32.9                USD 21.2

                                       Million             million               Million                 million                 million
 Average per carat sales value         USD                 USD                   USD                     USD                     USD

                                       4.01/carat          6.61/carat            9.37/carat              9.01/carat              7.13/carat

 

The specific auction mix and the quality of the lots offered at each auction
vary in characteristics such as size, colour and clarity on account of
variations in mined production and market demand. Therefore the results of
each auction are not always directly comparable.

 

 

-ENDS-

 

 

Further information on Gemfields Group Limited can be found at:

 GEMFIELDSGROUP.COM (http://WWW.GEMFIELDSGROUP.COM)

 

To join our investor mailing list, contact us on:
ir@gemfields.com (mailto:ir@gemfields.com)

 

For any press enquiries please contact us on:
gemfields@camarco.co.uk (mailto:gemfields@camarco.co.uk)

 

This announcement contains inside information for the purposes of Article 7 of
the Market Abuse Regulation (EU) no. 596/2014 which forms part of domestic UK
law pursuant to the European Union (withdrawal) act 2018 ("MAR").

 

 

 

ENQUIRIES

 

 GEMFIELDS                  Sean Gilbertson / David Lovett / Ian Hughes

T:  +44(0) 20 7518 3400
 SPONSOR (JSE)              Investec Bank Limited
 NOMINATED ADVISER          finnCap

(AIM) & JOINT BROKER      Christopher Raggett / Tim Redfern / Edward Whiley
                            T: +44(0) 20 7220 0500
 JOINT BROKER               Liberum

Scott Mathieson / Kane Collings
                            T: +44(0) 20 3100 2222
 FINANCIAL PR/ IR           Camarco
                            Gordon Poole / Emily Hall

T: +44(0) 20 3757 4980

 

ADDITIONAL INFORMATION ON GEMFIELDS

 

Gemfields is a world-leading responsible miner and marketer of coloured
gemstones. Gemfields is the operator and 75% owner of both the Kagem emerald
mine in Zambia (believed to be the world's single largest producing emerald
mine) and the Montepuez ruby mine in Mozambique (one of the most significant
recently discovered ruby deposits in the world). In addition, Gemfields also
holds controlling interests in various other gemstone mining and prospecting
licences in Zambia, Mozambique, Ethiopia and Madagascar.

 

Gemfields' outright ownership of Fabergé - an iconic and prestigious brand of
exceptional heritage - enables Gemfields to optimise positioning, perception
and consumer awareness of coloured gemstones, advancing the wider group's
"mine and market" vision.

 

Gemfields has developed a proprietary grading system and a pioneering auction
and trading platform to provide a consistent supply of coloured gemstones to
downstream markets, a key component of Gemfields' business model and has
played an important role in the growth of the global coloured gemstone sector.

 

 

GEMFIELDS

GEMFIELDS.COM (https://gemfields.com/) (https://gemfields.com/) | INVESTORS
(https://www.gemfieldsgroup.com/) (https://www.gemfieldsgroup.com/)
|FOUNDATION (https://www.gemfieldsfoundation.org/)

INSTAGRAM (https://www.instagram.com/gemfields/)
(https://www.instagram.com/gemfields/) | FACEBOOK
(https://www.facebook.com/Gemfields/) (https://www.facebook.com/Gemfields/) |
TWITTER (https://twitter.com/GemfieldsLtd?lang=en)
(https://twitter.com/GemfieldsLtd?lang=en) | YOUTUBE
(https://www.youtube.com/channel/UCArCE0JFtakTP-tHq6v0KVg)

 

FABERGÉ

FABERGÉ.COM (https://www.faberge.com/) | INSTAGRAM
(https://www.instagram.com/officialfaberge/)
(https://www.instagram.com/officialfaberge/) | FACEBOOK
(https://www.facebook.com/OfficialFaberge)
(https://www.facebook.com/OfficialFaberge) | TWITTER
(https://twitter.com/OfficialFaberge) (https://twitter.com/OfficialFaberge) |
YOUTUBE (https://www.youtube.com/user/officialfaberge)

 

KAGEM MINING LINKEDIN (https://www.linkedin.com/company/kagem-mining-ltd)

MONTEPUEZ RUBY MINING LINKEDIN
(https://www.linkedin.com/company/montepuez-ruby-mining)

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