Sri Lanka: Gemfields does sapphire deal

GEMFIELDS has formed a joint venture to mine sapphires in Sri Lanka as part of its long-held ambition to become the De Beers of the global jewel market. Gemfields mines emeralds in Zambia and rubies in Mozambique. This venture will allow it to complete what chief executive Ian Harebottle calls the “traffic light of coloured stones”. Gemfields said yesterday it would hold a 75 percent stake in the venture with East West Gem. It said it paid $400 000 (R4.4 billion) to buy 75 percent interests in 16 exploration licences. – Reuters