Maputo, Mozambique, 21 June – The partnership between British group Gemfields and Mozambican company Mwiriti, Lda is to be called Montepuez Rubi Mining, Lda and the group will be responsible for the entire production chain, from mining the rubies to placing them on the world markets, Mozambican newspaper Notícias reported.
The concession is located in Montepuez, Cabo Delgado province, northern Mozambique, and includes five mines covering 34,000 hectares. So far Mwiriti has only mined a small part of this.
Under the terms of the agreement, the British group will have a 75 percent stake in Montepuez Rubi Mining, Lda for which it paid US$2.5 million.
Asghar Fakhr, managing partner of Mwiriti, Lda, told the newspaper that the company had been seeking a partner that was capable of developing the project, “as we recognised that alone we wouldn’t be able to go very far, even knowing the mining riches in the ground.”
The first direct investment, to be carried out by the end of this year, is expected to total US$3.3 million, which will be used to build the camp, houses, prepare geological information for calculating the potential of the mining deposit and the feasibility study to request the respective concession.
With this acquisition, Gemfields has boosted its presence in Africa where it already owns the Kagem emerald mine in Zambia. (macauhub)
- British company Gemfields buys majority stake in ruby deposit in Mozambique
- Mozambique: ADB grants first tranche of loan for Lichinga-Montepuez road
- British group Beacon Hill Resources to speed up coal mining in Mozambique
- Riversdale Mining Group open to proposals for coal mining partnership in Mozambique
- British Gas to drill for oil and gas in Mozambique