(IDEX Online News) – Emerald and ruby miner Gemfields Inc. has announced its results for the third quarter of the 2016 financial year, which showed that despite fluctuating production performance, it is on target to meet its annual guidance.

The company announced that emerald and beryl production from its 75-percent owned Kagem Mining Limited in Zambia dropped to 7.1 million carats compared to 9.9 million carats in the same quarter a year previously – a 28-percent reduction. Gemfields attributed the difference to the fluid nature of mineralization and having encountered a higher-grade zone in 2015. Average grade also decreased, falling to 297 carats per ton compared to 355 carats per ton in the period ended March 2015.

The production summary for the 75-percent owned Montepuez Ruby Mining Limitada in Mozambique, showed that there was an increase to 2 million carats of ruby and corundum compared to 1.4 million over the same period in the prior year. The average grade also increased, rising to 30 carats per ton compared to 18 carats per ton in the period ending March 31, 2015.

“The coloured gemstone market remains robust, as is evident from Gemfields auction results, and is further supported by improving consumer demand within the US,” said Gemfields CEO Ian Harebottle.

“To date the Company has generated over $116 million in revenue from auctions held in the 2016 financial year and we look forward to two additional auctions, firstly a lower quality emerald auction in [Jaipur, India in] May and another ruby auction in [Singapore in] June, prior to the year end.”