International News
Gemfields will resume open-pit emerald mining at Kagem mine
Gemfields, the world’s leading colored gemstone miner, has announced it will resume focused open-pit emerald mining at its Kagem mine in Zambia, marking a significant shift after a six-month suspension of mining activities. This decision comes after a period of challenging market conditions, a strategic operational pause, and recent signs of recovery in the emerald market.
In December 2024, Gemfields halted all mining operations at Kagem, effective January 1, 2025, as part of broader cost-cutting and business streamlining measures. The suspension was a response to several converging factors:
A slump in auction sales and weaker global demand for gemstones, particularly in China.An oversupply of emeralds, partly due to increased output from a Zambian competitor.
The need to reduce operational costs and focus on processing existing ore stockpiles using an upgraded processing plant.
During the suspension, Kagem continued to process stockpiled ore. While this maintained some level of production, it yielded a lower proportion of premium-quality emeralds compared to direct open-pit mining.
The decision to restart mining was prompted by improved market sentiment following encouraging results from Gemfields’ latest commercial-quality emerald auction in April 2025. The auction generated $16.4 million in revenue, with 89% of lots sold at an average price of $6.87 per carat, signaling renewed demand and stability in the market. These results have increased management’s confidence in the outlook for higher-quality emeralds.
Initially, Gemfields will resume mining at two key production points in the Chama pit at Kagem, employing minimal waste mining to optimize the recovery of premium emeralds for future high-value auctions. The company describes this as “focused open-pit mining,” emphasizing a targeted approach rather than a full-scale restart.
Gemfields has stated that a return to full-scale mining will be considered as market conditions continue to improve. In the meantime, the company will monitor the market closely and adjust its operations accordingly.
Gemfields’ decision to resume focused mining at Kagem reflects cautious optimism after a period of market turbulence and operational retrenchment. The move is underpinned by improved auction results and a strategic emphasis on premium emerald recovery, but the company remains vigilant, with a full-scale restart contingent on sustained market recovery. This development not only signals a potential turnaround for Gemfields but also highlights the broader challenges and dynamics facing the colored gemstone industry today.
- Around $3728 (~Rs 110,300) for gold futures and $43.23 (~Rs 129,7000) for silver, both markets were trading close to a record high ahead of the US FED’s two-day policy meeting that begins today.
- The Fed is expected to cut interest rates by 25 basis points on Wednesday, the first since December, and markets are almost certain that the easing cycle will continue into the following year. Recap: Despite the president’s dismissal, the federal appeals court permits Lisa Cook to remain as a Fed gov and take part in the FOMC meeting beginning tomorrow.
- For clues about the direction of future policy, all eyes will be on the Fed’s quarterly Summary of Economic Projections, which includes the much-awaited dot plot, and Chair Jerome Powell’s press conference. Regarding the data, reports on industrial production and retail sales that are anticipated later today will be closely examined to gain more understanding of how strong the economy is.
Technical Triggers
- Gold Dec Futures has given a breakout above $3700 (~Rs 110,000), the next target would be $3800 (~Rs 113,500). If prices top out and fall below $3650 (~Rs 108,500), then only we could see further profit booking.
- Silver Nov Future prices have given a breakout above its consolidation range of $41 (~Rs 123,000) and $42 (~Rs 126,000) for the past few days and achieved the target of $43. This rally has more room for upside towards $45 (~Rs 140,000)
Support and Resistance
| Commodity | Market | Support Level | Resistance Level |
|---|---|---|---|
| Gold | International | $3650/oz | $3800/oz |
| Indian | ₹108,500/10 gm | ₹113,500/10 gm | |
| Silver | International | $42.5/oz | $45/oz |
| Indian | ₹127,000/kg | ₹140,000/kg |
-
National News2 weeks agoGST on gold, silver jewellery remains unchanged at 3%, with additional 5% on making charges
-
ShowBuzz26 minutes agoShri Devendra Fadnavis unveils GJS – The Diwali Edition 2025 at JWCC, Mumbai
-
New Premises44 minutes agoVasundhra Raj unveils showroom at Noida
-
DiamondBuzz3 hours agoAll non-natural diamonds to be labelled only as “synthetic: CIBJO
JewelBuzz is Asia’s First Digital Jewellery Media & India’s No.1 B2B Jewellery Magazine, published by AM Media House. Since 2016, we’ve been the trusted source for jewellery news, market trends, trade insights, exhibitions, podcasts, and brand stories, connecting jewellers, retailers, and industry professionals worldwide.