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Mozambique's ruby production falls sharply in the first quarter of the year
Mozambique's ruby production fell by 55% in the first quarter, year-on-year, to 252.6 thousand carats, due to problems in the largest national mine, according to budget execution data consulted today by Lusa.
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Economia Moçambique
"It presents a low performance, situated at 8% in relation to the annual plan and a decrease in production in the order of 55% in relation to the homologous period", we read in the budget execution report from January to March, from the Ministry of Economy and Finance.
The global production of rubies in Mozambique had already decreased in 2023, to 2.7 million carats, against 4.2 million carats in 2022 and five million carats in 2021.
In the first three months of 2024, production decreased to 252,665 carats of rubies, against 567,463 carats in the same period of 2023.
"This result was largely due to the low production levels of the largest producer of this mineral, associated with the breakdown of production equipment and the attacks that occurred at its mine in recent times", we read in the report.
The exploration of rubies at the MRM mine in Cabo Delgado, in the north of Mozambique, the largest in the country, has yielded almost one billion euros since 2012, according to data released at the end of April by Gemfields, which owns 75% of the company.
According to the data up to December in the report "G Factor for Natural Resources", which aims to promote "transparency" about the level of wealth of human resources shared by Gemfields "with the governments of the host countries" from the mining, oil, gas, timber and fishing sectors, Montepuez Rubi Mining (MRM) had a total revenue of 151.3 million dollars (141 million euros) in 2023.
Since Gemfields acquired 75% of MRM -- in February 2012, the year in which mining exploration began, with ruby auctions starting two years later --, the mine has accumulated revenues of over 1,055 million dollars (982.7 million euros), having paid the Mozambican State, in the same period, 257.4 million dollars (239.7 million euros).
Last year, MRM paid the Mozambican State 53.2 million dollars (49.6 million euros) in 'royalties' and taxes, according to the same report.
MRM is a Mozambican company that operates in the Montepuez ruby deposit, located in the northeast of Mozambique, in the province of Cabo Delgado, covering approximately 33,600 hectares.
"It is believed to be the most significant recently discovered ruby deposit in the world", says the company, which guarantees that it has created more than 1,500 local jobs, 95% of which are for Mozambicans, with 65% coming from Cabo Delgado.
MRM is 75% owned by Gemfields and 25% by Mwiriti Limitada, a Mozambican company.
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