Grant of Share Options

Gemfields plc

("Gemfields" or the "Company")

Grant of Share Options 

16 April 2015  

Gemfields (AIM: GEM) announces that it has granted to certain directors and employees a total of 6,730,000 options over ordinary shares of 1 pence each in the Company (the "Options"). The Options were granted under the 2010 Share Option Scheme approved at the Company's AGM on 21 December 2010 (the "Scheme").

The awarding of the Options was approved by the Board on 14 April 2015 and, in keeping with all prior annual awards made under the Scheme, carry a grant date of 1 January with the exercise price being the volume‐weighted average traded price per ordinary share in the capital of the Company during the 30 days ending on 31 December. As such, the Options have an exercise price of 47.87 pence per share, calculated over the 30 days ending on 31 December 2014.

The Directors that have been awarded Options are as follows:

* In March 2011, as announced at the time, four directors of the Company purchased ordinary shares on the market at 16.88 pence per share. Mr Shetty was one of the four directors, purchasing 100,000 Gemfields shares. Mr Shetty has now sold all of the shares he purchased in March 2011.

The 1,850,000 options granted to the Directors represent approximately 0.34% of the current issued share capital of the Company. The 4,880,000 options awarded to employees also carry an exercise price of 47.87 pence per share and a grant date of 1 January 2015.

Following the grant of the Options, the total number of ordinary shares covered by option arrangements is 31,240,003 ordinary shares, representing 5.77% of the Company's issued share capital (and of which the number of options held by directors of the Company is 11,550,000 ordinary shares, representing 2.13% of the Company's issued share capital).

ENQUIRIES:

Notes to Editors:

Gemfields plc is the world's leading supplier of responsibly sourced coloured gemstones and is listed on the AIM market of the London Stock Exchange (ticker: GEM) where it is a constituent of the AIM50 index.

In July 2009, Gemfields commenced a formal auction programme for Zambian emeralds mined at the Kagem emerald mine. To date, the Company has held 18 auctions of emerald and beryl produced at Kagem and which have generated revenues totalling USD 325 million. The Company has also held 2 traded rough emerald auctions (of gemstones not obtained directly from the Company's own mining operations) which generated revenues of USD 22.0 million.

The Company also owns a 75% stake in the highly prospective Montepuez ruby deposit in Mozambique as well as licences in Madagascar including ruby, emerald and sapphire deposits. In December 2014, Gemfields held its second auction of rough ruby and corundum produced at the Montepuez ruby deposit, generating revenues of USD 43.3 million. The two ruby and corundum auctions have generated USD 76.8 million in aggregate revenues.

In addition, Gemfields holds a 50% interest in the Kariba amethyst mine in Zambia. In February 2015 Gemfields held its second auction of rough amethyst extracted from Kariba amethyst mine, generating revenues of USD 0.45 million.

Gemfields acquired the Fabergé brand in January 2013 to create a globally recognised coloured gemstone champion. Fabergé provides Gemfields with direct control over a high-end luxury goods platform and a global brand with exceptional heritage.