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Gemfields, a prominent London-listed mining company, has suspended its ruby mining operations in Mozambique following a series of violent incidents linked to political upheaval in the region. The temporary halt came after more than 200 individuals, associated with illegal mining activities, attempted to invade the company’s residential village adjacent to its Montepuez Ruby Mining (MRM) operation on Christmas Eve.
The unrest, stemming from widespread civil discord following a contested national election, led to arson attacks on community buildings and resulted in two fatalities when security forces intervened. The Mozambican police and military personnel were compelled to defend the residential complex through what the company described as a “staged escalation of force”.
The situation forced Gemfields to relocate a portion of its 500-strong workforce, though the company maintains a substantial on-site presence. Operations have been suspended since 24 December, with a phased return of staff commencing on Thursday. The company expects to resume normal operations before year-end, whilst maintaining close monitoring of the evolving situation.
The unrest coincides with Mozambique’s top court confirming the victory of the ruling Frelimo party in October’s disputed election. Civil society monitoring group Plataforma Decide reports that at least 130 people have lost their lives in police confrontations since the electoral controversy began. The Frelimo party has maintained governance of the southern African nation since 1975.
Gemfields, which owns the Kagem emerald mine in Zambia and the luxury jeweller Fabergé, represents a significant player in the global coloured gemstone market. The company’s Mozambican operation forms a crucial part of its portfolio, highlighting the broader implications of this temporary suspension for the international gemstone trade.
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