Kenmare Resources plc
("Kenmare" or the "Company" or the "Group")
16 July 2026
Q2 and H1 2026 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, provides the following trading update for the quarter and half year ended 30 June 2026 ("Q2 2026" and "H1 2026").
Statement from Tom Hickey, Managing Director:
"Kenmare maintained its strong safety performance in Q2, with no Lost Time Injuries since December 2025 and over 3.5 million hours of safe work. Shipments continued to be in line with the run rate of annual guidance, although production was lower than expected due to ongoing challenges with the commissioning of Wet Concentrator Plant (WCP) A following the upgrade work. Production is anticipated to increase in H2, with continued improvements at WCP A and a stronger performance at WCP B.
The ilmenite market continued to be soft in Q2, but the zircon market recovered further, with higher prices achieved for all zircon products. We also saw encouraging demand for our new concentrates product, ZrTi, with full year concentrates guidance materially exceeded in H1.
We have continued to engage constructively with the Government of Mozambique regarding Moma's Implementation Agreement during Q2. We were also pleased to secure a $30 million upsize to our $200 million Revolving Credit Facility during the quarter which, along with adjustments to financial covenants, provides important additional financial flexibility during this period of weak market conditions."
Q2 2026 overview
Zero Lost Time Injuries ("LTIs") in H1 2026 and Lost Time Injury Frequency Rate ("LTIFR") of 0.08 per 200,000 hours worked for the 12 months to 30 June 2026 (30 June 2025: 0.03)
Kenmare is on track to achieve its 2026 shipments guidance, with shipments during H1 in line with the guided run rate
H1 production has been softer than expected - ilmenite production in 2026 is expected to be approximately 800,000 tonnes
Heavy Mineral Concentrate ("HMC") production of 225,000 tonnes in Q2 2026, down 37% year-on-year ("YoY"), due primarily to a 29% decrease in ore grades, as forecast, largely reflecting Wet Concentrator Plant ("WCP") A approaching the end of its Namalope mine path
Ilmenite production of 147,200 tonnes, down 40% YoY, primarily due to lower HMC processed as a result of the decreased HMC production
Primary zircon production of 9,700 tonnes, down 26% YoY, due to lower HMC processed but partially offset by higher zircon content in the HMC and the drawdown of intermediate stockpiles
Total shipments of finished products of 277,700 tonnes, up 53% YoY, due to drawdown of finished product stockpiles and a consistent transshipment performance
Commissioning of the WCP A upgrade project continued to be slower than expected, primarily due to the extended commissioning process for the two new dredges – Kenmare is engaging with the equipment manufacturer on solutions and production is expected to be stronger in H2
Market conditions continued to be challenging in Q2, although the zircon market strengthened – Kenmare enters Q3 with a healthy order book and a high proportion of contracted shipments, giving good sales visibility
Kenmare continued to engage with the Government of Mozambique in Q2 regarding the extension of its rights under Moma's Implementation Agreement ("IA"), including providing clarification of its financial proposal and investment intentions
At the end of H1 2026, net debt was $175.7 million (31 December 2025: $158.8 million), with strong receipts recorded post-period-end
Kenmare has been confirmed as a constituent of the FTSE4Good Index Series for a second consecutive year