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Mozambique unrest impacts Gemfields operations

Published 12/24/2024, 05:04 PM

LONDON - Gemfields Group Limited (JSE:GML / AIM:GEM), a mining company with significant operations in Mozambique, has reported disturbances in the region following the Mozambican Constitutional Council's recent election ruling. The company, which is headquartered in Guernsey, highlighted the safety of its employees and the potential for disruptions to its mining activities in the northern province of Cabo Delgado.

The unrest has particularly affected the Montepuez Ruby Mining Limitada (MRM), which is 75% owned by Gemfields and represents the company's largest operation in the area. On Monday, groups linked to the illegal ruby trade exploited the political turmoil, targeting essential infrastructure in the region. Notable incidents include the burning of the Namanhumbir police station, MRM's Operational Grievance Mechanism offices, the MRM community center, and the community radio center funded by MRM.

Additionally, a water borehole in the village of Nanune, crucial for supplying water to the local community and MRM Village, was deliberately damaged, severing the water supply. In the resettlement village of Wikupuri, the police station, the police commander's residence, and the administrative offices of Namanhumbir district were also set on fire.

Gemfields has expressed its commitment to monitoring the situation and has pledged to update stakeholders as the situation evolves. The company's focus remains on the wellbeing of its personnel and the communities surrounding its operations.

The information provided in this article is based on a press release statement from Gemfields Group Limited.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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