Gemfields Group Ltd, a London-based gemstone miner, has raised concerns about potential disruptions to its operations in Mozambique’s Cabo Delgado province following recent unrest in the region.
The company, which owns a 75% stake in Montepuez Ruby Mining Limited (MRM), cited security challenges and incidents of sabotage near its facilities.
According to Gemfields, groups involved in illegal ruby mining and trading have exploited the current political instability in Mozambique, leading to targeted attacks on infrastructure. 
On Monday, instigators set fire to MRM’s community and radio centers, operational grievance mechanism offices, and the local police station in the village of Namanhumbir, which is adjacent to MRM’s main residential village.
Additionally, a water borehole serving the village was sabotaged, and another police station was torched, further complicating the situation. Gemfields emphasized that its priority remains the safety of employees, contractors, and local community members.
The unrest comes in the wake of Mozambique’s October 9 presidential elections, which saw Daniel Chapo of the long-ruling Frelimo party secure 71% of the vote, according to official results. Opposition leader Venancio Mondlane, who received 20% of the vote, fled the country and called for protests, fueling political tensions.
Despite the challenges, Gemfields’ shares saw a 3.9% increase, trading at 7.00 pence on Tuesday morning after an initial drop. The company continues to monitor the situation closely, warning that MRM’s mining operations may face further interruptions if the unrest persists.
The developments highlight the broader risks faced by businesses operating in politically volatile regions and underscore the need for enhanced security measures and community engagement.
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