Login
Mining

CORONAVIRUS AFFECTS EMERALD AUCTION

GEMFIELDS Mining Limited says the uncertainty surrounding the Chinese emerald consumer demands in the wake of the coronavirus (Covid -19) has created negative sentiments On the market.

Company Product and Sales Managing Director Adrian Banks says the breakout of the disease has understandably created negative sentiments in the emerald market.

He explained that a number of customers did not travel to Lusaka as a result of the increased risk associated with the virus.

According to information obtained from the Mining Weekly, Banks said the Hong Kong Market which was important for both gemstones and jewellery had endured multiple successive misfortunes as a result of the outbreak.

Gemfields holds a 75% interest stake and the Industrial Development Corporation (IDC) holds the other 25% in Kagem Mining.

He said an auction of predominantly commercial quality rough emeralds held in Lusaka from February 18 to 21, had been in line with prior auctions of commercial quality emeralds.

Despite demonstrating a stable underlying market there was evident fallout of Covid-19 which dampened what might otherwise have been buoyant result.

During the auction, 29 companies placed bids generating total revenues of USD $11.5 million, with an average value of USD $4.01 per carat.

Banks said 64% of the carats which were on offer were sold.

“The proceeds of the auction will be repatriated to Kagem in Zambia with all loyalties due to the government being paid on the full sales prices achieved at the auction,” he says.

 

 

 


This article was tagged in

Kagem Mining gemfields emeralds