Gem Resources PLC (LSE:GEMR) said operations at its Gravelotte emerald mine in South Africa are running smoothly following a series of plant upgrades and is now moving to phase 2 of its ramp-up operation.
Following the upgrade, processing capacity has increased by 45% to an average of approximately 100 tonnes of ore processed per day, said the statement.
As part of the phase 2 programme, active mining operations are now underway in the Cobra Open Pit, though the mine is now heading into its seasonal shutdown with reopening planned for 6 January, 2025.
Gem estimates it made a 75% cost saving compared to buying new equipment by carrying out the upgrades itself.
Ed Nealon, Gem’s chairman, said: "We are pleased to report positive progress in both our mining and processing operations with the production line now performing reliably and active mining commencing in the Cobra open pit.
“We have been able to achieve this progress while remaining debt-free and with strict cash controls.
“The next phase will be a critical step in further ramping up production, improving the quality of the emeralds recovered as well as establishing a steady supply of high-grade ore for processing.”