Chaz any thoughts given sim field10 Sep 2009 14:48
31 August 2009
Kenmare Resources plc 2009 Interim Results
Kenmare Resources plc, which owns and operates the Moma Titanium
Minerals Mine in northern Mozambique, issued its interim results
today.
In the second quarter of 2009, production of Heavy Mineral
Concentrate (HMC) was up 23% from the first quarter, production of
ilmenite was up 12.2%, production of zircon was up 45%, and
production of rutile increased 158%. A Performance Improvement
Project (PIP) is 97% complete at the time of writing, compared to 75%
on 16 April, as noted in Kenmare's Annual Report. This has
contributed to the steady increase in output. Results have continued
to improve with July being a record month for HMC and ilmenite
production.
To date, Kenmare has relied on one trans-shipment vessel, the
'Bronagh J'. While this vessel has performed well, it is prudent to
manage the risk that the mine could have to shut down for a period in
the event of a failure of the 'Bronagh J'. In August, the Group
purchased an additional trans-shipment vessel and tug which will
provide loadout capacity beyond the envisaged production rate as well
as reducing operational risk.
Demand for titanium feedstocks is related to global economic activity
and has declined in 2009 due to the onset of the global recession
though the extent is still uncertain. A strong industry inventory
destocking process which occ