Replacement - Results - Jaipur Emerald Auctions

GENERAL TEXT AMENDMENT

The following amendment has been made to the Results - Jaipur Emerald Auctions announcement released by Gemfields (AIM: GEM) on 23 November 2015 at 07:00 under RNS No, 5422G.

In the first table the percentages should have read:

Percentage of lots sold by weight - 88%

Percentage of lots sold by value - 95%

The incorrect figures in the 07:00 announcement were:

Percentage of lots sold by weight - 39%

Percentage of lots sold by value - 88%

All other details remain unchanged.

The full amended text is shown below.

Gemfields plc

("Gemfields" or "the Company")

Results - Jaipur Emerald Auctions

23 November 2015

Gemfields plc (AIM: GEM) is pleased to announce the results of its auction of predominantly lower quality rough emerald extracted by Kagem Mining Ltd (which is 75% owned by Gemfields and 25% by the Government of the Republic of Zambia) in Zambia.

The auction was held in Jaipur, India from 18 - 21 November 2015 and the proceeds of this auction will be fully repatriated to Kagem Mining Ltd in Zambia, and with all royalties due to the Government of the Republic of Zambia being paid on the full sales price achieved at the auction.

Highlights

The Kagem Auction

· Record auction revenues for lower quality auctions of USD 19.2 million;

· New record of USD 4.32 per carat for lower quality auctions;

· Highest number of companies placing bids (since Jaipur auction of March 2011);

· Of the 5.07 million carats offered for sale, 4.45 million carats were sold (88%); and

· 20 Kagem auctions held since July 2009 have generated USD 379 million in total revenues.

The Kagem Emerald Auction

A total of 29 companies placed bids in Gemfields' second auction of Kagem production in the current financial year. The auction marked the first auction of predominantly lower quality rough emerald outside Zambia since June 2012.

The auction saw 5.07 million carats of lower quality emerald extracted from Kagem placed on offer, with 18 of the 23 lots offered being sold, generating auction revenues of USD 19.2 million. The auction realised an overall average value of USD 4.32 per carat, a new record for lower quality auctions.

The Company's 20 auctions of emeralds and beryl mined at Kagem since July 2009 have generated USD 379 million in total revenues.

The results of the five most recent lower quality Kagem auctions are summarised in the table below. Additional historic information regarding lower quality auctions can be found in the 'Further Information' section of this announcement:

The specific auction mix and the exact quality of the lots offered at each auction vary in characteristics such as size, colour and clarity on account of variations in mined production and market demand. Each auction naturally contains a degree of variation in overall quality composition, which is typically reflected in the average per carat sales value and means that the results of each auction are not always directly comparable.

Traded Emerald Auction

In addition to the auction of gemstones mined by Gemfields at Kagem, the Jaipur event was also used to host a traded emerald auction of predominantly higher quality emeralds originating from Zambia and Brazil and obtained by Gemfields in the open market from various sources. The traded auction yielded additional gross revenue of USD 1.1 million with 20,400 carats sold.

Next Auction

Gemfields' next auction is expected to take place in December 2015 in Singapore and, based on current market demand, is anticipated to be predominantly comprised of mixed lots of ruby and corundum from the Montepuez ruby deposit in Mozambique.

Ian Harebottle, CEO of Gemfields, commented:

"Our return to Jaipur has delivered a knock-out result at a time when global commodity and diamond prices are experiencing well-documented difficulties. Despite the volatility across international financial markets, demand for, and prices of, emeralds, clearly remain as robust as ever. The counter-market cyclicality often associated with precious gemstones, and their reputation as a store of value in turbulent times, have once again shone through.

Kagem is a partnership between the Zambian Government and Gemfields, and we'd like to thank the Government for their vision and support in internationalising the Zambian emerald industry and for supporting an 'international auction circuit' that will see Lusaka remain one of the key hubs for hosting emerald auctions in order to ensure we reach an expanded client base to optimise the prices achieved."

ENQUIRIES:

Notes to Editors:

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

Gemfields is the operator and 75% owner of both the Kagem emerald mine in Zambia (believed to be the world's single largest producing emerald mine) and the Montepuez ruby mine in Mozambique (one of the most significant recently discovered ruby deposits in the world). In addition Gemfields also holds a 50% interest in the Kariba amethyst mine in Zambia, as well as controlling interests in various other gemstone mining and prospecting licenses in Zambia, Mozambique, Colombia, Ethiopia, Madagascar and Sri Lanka.

Gemfields' outright ownership of Fabergé - an iconic and prestigious brand of exceptional heritage - enables Gemfields to optimise positioning, perception and consumer awareness of coloured gemstones, advancing the wider group's "mine and market" vision.

Gemfields has developed a proprietary grading system and a pioneering auction and trading platform to provide a consistent supply of quality coloured gemstones to the global downstream markets. This is a key component of the Company's business model which the Directors believe has played an important role in the appropriate distribution and associated resurgence of the global coloured gemstone sector.

www.gemfields.co.uk

Further Information:

The results of earlier lower quality Kagem auctions are summarised below:

* A larger volume of material was placed on offer in March 2010 following Gemfields extensive inventory building exercise during 2008 and 2009.