Gemfields recently conducted a mini auction to sell emeralds from its Kagem mine in Zambia. These gems had remained unsold from a previous sale due to strong competition from another producer offering similar stones at lower prices.
Held between February 19 and 21, the auction generated $4.8 million from the sale of 45,864 carats, the company announced on Monday. Of the 13 lots offered, 10 were successfully sold, achieving an average price of $105 per carat.
In November 2024, Gemfields had initially put 43 lots up for auction but sold only 30, marking its weakest emerald auction in over two years. At the time, the company withheld several lots due to intense competition from Grizzly Mining.
Despite a sluggish market, demand and pricing have shown signs of improvement in recent months.
“The auction consisted solely of unsold lots from Kagem’s November 2024 higher-quality emerald auction,” said Adrian Banks, Gemfields’ managing director of product and sales. “The composition of the schedules on offer remained unchanged, providing a rare opportunity to directly compare demand and pricing across two auctions.
It was encouraging to see significantly higher bids, allowing us to sell 10 of the 13 previously unsold lots. While market sentiment remains subdued, the improvement in both demand and pricing is promising.”
The prolonged weak pricing environment has taken a toll on Gemfields’ financial performance, prompting the company to suspend several operations, including Kagem, for up to six months while exploring the sale of other ventures.
