Gemfields Group Limited (AIM:GEM) said it has temporarily halted operations at its Montepuez Ruby Mining (MRM) operation after civil unrest and two fatalities at the site in northern Mozambique.
Groups involved in groups associated with illegal ruby mining took advantage of the prevailing political unrest to invade its main residential block and the adjacent village of Namanhumbir, said the coloured gemstones miner.
More than 200 looters were involved, the miner added, with external structures built by MRM set on fire and the Mozambican police and military used to restore order.
The vocational training centre built by MRM and operated by Mozambique's Institute for Vocational Training and Labor Studies in the nearby village of Wikupuri was also looted and damaged on two occasions.
Gemfields said it temporarily relocated some people to offsite locations given the increased risk profile but started a phased return on 26 December 2024.
MRM's operations were also halted from 24 December 2024, but the intention is to return to normal operations before the end of the year, said the statement.
Widespread civil unrest has broken out in Mozambique after claims the recent election was rigged in favour of the ruling Frelimo party.
Kenmare Resources plc (LSE:KMR), which operates the Moma titanium mine in northern Mozambique, said there have been no material incidents at its mine and no damage to facilities but it noted the widespread disruption.
Operations at Moma are continuing and the company has comfortably exceeded minimum production guidance in respect of all products for 2024, said a statement.
Kenmare added that it continues to monitor developments daily.