Business
Q2 and H1 2023 Production Report
Q2 and H1 2023 Production Report.
About this update from Kenmare Resources Plc
[{"type":"text","content":"\n\n \n \n\n Q2 and H1 2023 Production Report\n\nKenmare Resources plc (“Kenmare” or “the Company” or “the Group”) 13 July 2023 Q2 and H1 2023 Production Report Kenmare Resources plc (LSE:KMR, ISE:KMR), one of the leading global producers of titanium minerals and zircon, which operates the Moma Titanium Minerals Mine (the \"Mine\" or \"Moma\") in northern Mozambique, is pleased to provide a trading update for the quarter and half year ending 30 June 2023 (“Q2 2023” and “H1 2023”). Statement from Michael Carvill, Managing Director: “Production in H1 2023 has unfortunately been lower than our expectations as mining experienced lingering effects of the severe lightning strike in Q1 and power reliability impacts in Q2. We are therefore updating guidance for ilmenite production for the full year. However, guidance for other products remains unchanged. We anticipate significantly stronger production in H2 2023, supported by higher grades and increased tonnes mined. Cash generation has remained strong, supported by product pricing and shipments. In addition to paying record dividends and scheduled debt repayments, the business has continued to build cash. In line with our capital allocation policy, we are considering a share buyback of approximately $30 million. A further update will be provided with our H1 2023 results in mid-August.” Q2 2023 overview Lost Time Injury Frequency Rate (“LTIFR”) of 0.18 per 200,000 hours worked for the 12 months to 30 June 2023 (30 June 2022: 0.0)Heavy Mineral Concentrate (“HMC”) production of 318,900 tonnes in Q2 2023, a 10% decrease compared to Q2 2022 (353,600 tonnes), due to lower grades and mining rates impacted by power interruptionsIlmenite production of 221,300 tonnes in Q2 2023, a 9% decrease compared to Q2 2022 (242,900 tonnes), although better than the 12% reduction in HMC processed, benefitting from the processing of stockpiled magnetic concentratePrimary zircon production of 11,600 tonnes, a 15% decrease compared to Q2 2022 (13,600 tonnes), due to the processing of stockpiles in the prior periodTotal shipments of finished products of 285,100 tonnes, a 48% increase compared to Q2 2022 (192,800 tonnes) supported by the drawdown of finished product stockpilesUpdated 2023 ilmenite production guidance range of 980,000 tonnes to 1,040,000 tonnes; no changes to guidance for zircon, rutile or concen...