Kenmare reported in the second quarter that titanium ore production increased by 8% year-on-year and 4% in the first half of the year

Kenmare Resources plc (LSE: KMR, ISE: KMR), one of the world's leading producers of titanium and zircon, operates Moma titanium ores ("Mine" or "Moma") in northern Mozambique, is pleased to provide trading updates for the quarterly and semi-annual periods ended June 30, 2024 ("Second Quarter 2024" and "First Half 2024").

Managing Director Michael Carvill delivered a speech:

"By the end of the first half, we are on track to achieve guidance from all established targets for 2024. Higher ore grades are expected to support stronger production in the second half of the year, and shipments are expected to increase.

Demand for all of our products remains strong, with ilmenite prices higher than our expectations in the first half of the year, thanks to increased global pigment production.

Kenmare ended the period with A$58.5 million in cash, paid A$34.4 million in dividends and repaid all debt. The company has sufficient capital to fund the upgrade and transformation of Wet Processing Plant A and continue to bring returns to shareholders.

Overview of the second quarter of 2024

Kenmare is expected to achieve its 2024 guidance targets on all established indicators, and a higher forecast level will drive production increase in the second half of the year;

Heavy ore concentrate output in the second quarter of 2024 was 342,600 tons, a year-on-year increase of 7%. This was due to an 8% increase in excavated ore volume and an increase in heavy ore recovery, which offset the impact of a 5% decline in ore grade;

Ilmenite output in the second quarter of 2024 was 238,600 tons, a year-on-year increase of 8%, due to a 6% increase in HMC processing volume and an increase in HMC ilmenite content;

Primary zircon production was 13,000 tons, a year-on-year increase of 12%, mainly due to the increase in processed HMC and benefiting from reduced intermediate stocks and higher recovery rates;

Total shipments of finished products were 234,700 tons, a year-on-year decrease of 18%, mainly due to severe weather conditions and additional operation and maintenance, which limited transportation time;

As previously announced, Kenmare's board of directors approved the last part of the Final Feasibility Study ("DFS") in the second quarter of 2024 for the upgrade and transition of Wet Processing Plant ("WCP") A to the large Nataka Kuangqu mine;

Encouraging market conditions continue to emerge in the second quarter of 2024, with particularly strong demand for Kenmare ilmenite and strong orders for the company in the third quarter;