Gemfields has released its 2024 ‘G-Factor for Natural Resources’ figures, showing 25% of revenue from its Montepuez ruby mine (Mozambique) was paid to the government, compared to 20% from Zambia’s Kagem emerald mine over the past decade.
However, the Kagem emerald mine saw its G-Factor plummet to just 9% last year due to challenging market conditions that forced a temporary suspension of operations, though its long-term average remains around 19%.
The results underscore how market dynamics directly impact revenue sharing with host nations.
“Despite a challenging in-country context, Montepuez Ruby Mining was able to return a robust 24% of its revenue to the government of Mozambique given a resilient ruby market,” said Gemfields chief executive Sean Gilbertson.
“Conversely, the widely documented adverse market conditions for Zambian emeralds in the second half of 2024 impacted profitability at Kagem. Indeed, Kagem reported losses in respect of 2024, suspended mining operations at the end of the year and saw its 2024 G-Factor falling considerably to just 9%.”
First introduced in 2021, the G-Factor initiative measures the percentage of natural resource revenue paid to host governments across mining, oil, gas and other extractive industries.
Gemfields remains committed to the programme despite Kagem's recent struggles, with operations having resumed in May 2025 as emerald market conditions show signs of improvement.
The company hopes its transparency leadership will encourage wider industry adoption, enabling governments and citizens to better track benefits from their natural resources.
Mathew Nyaungwa, Editor-In-Chief, Rough & Polished
