London-listed mining company Gemfields said it has temporarily halted its ruby mining operations in Mozambique after groups “took advantage” of political unrest to set fire and attempt to invade its site, resulting in two deaths. There were deaths.
Gemfields, one of the world’s largest miners of colored gemstones, said more than 200 people linked to illegal ruby mining were killed on Christmas Eve at a residential village built by the company next to the Montepuez Ruby Mining (MRM) operation in northern Mozambique. Tried to attack.
The company, which is incorporated in Guernsey and listed on the London and Johannesburg stock exchanges, said the groups were trying to take advantage of widespread civil unrest following a contentious and contested national election.
Gemfields said on Friday that looters set fire to community buildings built by the MRM and that security forces made up of Mozambican police and army protected the residential village in a “phased escalation of force”, resulting in two men being shot dead. Went. ,
The same day, in the nearby village of Vikupuri, a vocational training center built by the MRM and operated by Mozambique’s Institute for Vocational Training and Labor Studies was looted and damaged.
As a result of the unrest Gemfields temporarily relocated some of its more than 500 employees, halting its operations from Christmas Eve. The phased return of employees began on Thursday.
“Given the company’s priority is the safety of its personnel, a number of individuals were temporarily relocated to off-site locations due to the increased risk,” Gemfields said.
“MRM maintained a large presence on site of over 500 individuals across staff, contractors and security components. While MRM operations were halted from December 24, MRM intends to return to normal operations before the end of the year. The Company is closely monitoring the evolving situation and will provide further updates as necessary.
On Monday, Mozambique’s top court confirmed the victory of the ruling party, Frelimo, in the October election, sparking widespread protests by groups claiming the vote was rigged.
The final decision on the electoral process rests with the Constitutional Council.
At least 130 people have been killed in clashes with police, according to civil society monitoring group Plataforma Decide.
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The FRELIMO party has ruled the southern African country since 1975.
Kenmare Resources, which operates a titanium mine in northern Mozambique, said there had been no physical incidents at its operations and no damage to its facilities.
Gemfields owns huge mining operations, including Kagame in Zambia, which produces about a quarter of the world’s emeralds, as well as luxury jeweler Faberge, known for its lavish eggs. In the past, Gemfields has used stars such as Hollywood actor Mila Kunis as the face of the company.