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Q4 & FY 2017 Trading Update & FY 2018 Guidance
Q4 & FY 2017 Trading Update & FY 2018 Guidance.
About this update from Kenmare Resources Plc
[{"type":"text","content":"\n Q4 & FY 2017 Trading Update & FY 2018 GuidanceKenmare Resources plc (\"Kenmare\" or \"the Company\")11 January 2018 Q4 & FY 2017 Trading Update & FY 2018 GuidanceKenmare 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 fourth quarter and year ended 31 December 2017 and production guidance for FY 2018.Overview Record annual production of ilmenite, rutile and zircon - achieving production guidance for all productsIlmenite production increased 11% to 998,200 tonnes (2016: 903,300 tonnes)Zircon production increased 9% to 74,000 tonnes (2016: 68,200 tonnes)Heavy Mineral Concentrate (\"HMC\") production decreased 6% to 1,323,000 tonnes (2016: 1,405,500 tonnes)Total shipments of finished products were up 2% to 1,040,400 tonnes (2016: 1,024,200 tonnes)Production guidance range mid-point of 950,000 tonnes of ilmenite production in 2018 (2017: 998,200 tonnes)Prices increased for all products during 2017Favourable demand outlook for ilmenite and zircon markets in 2018Net debt declined to US$34.1 million (2016: US$44.8 million)Statement from Michael Carvill, Managing Director: \"2017 was a further consecutive year of record delivery for Kenmare. Both production and shipments of all products were at record levels. Production in 2018 is expected to moderate slightly, mainly due to lower opening stockpiles, though ilmenite shipment volumes are expected to be maintained as finished goods inventory is drawn down.In 2018, Kenmare will upgrade capacity of Wet Concentrator Plant B (\"WCP B\") by up to 20% uplift in capacity. Further options are being examined which will both address grade reduction in future years and facilitate an increase in ilmenite production beyond 1 million tonnes per annum.Average received prices for H1 2018 are expected to continue to show improvement on H2 2017, benefitting from new contract prices and higher spot prices, particularly for zircon\".ProductionProduction from the Moma Mine in Q4 2017 and FY-2017 was as follows: Q4-2017vs Q4-2016vs Q3-2017FY-2017vs FY-2016tonnes% change% changetonnes% changeE...