Kenmare Resources: Strong Q4 2024 Performance and 2025 Guidance

Kenmare Resources plc (LSE:KMR, ISE:KMR), a leading global producer of titanium minerals and zircon, has reported a strong finish to 2024, exceeding production guidance and maintaining a robust financial position. The company's Moma Titanium Minerals Mine in northern Mozambique delivered impressive results, with ilmenite production up 2% year-on-year (YoY) and total heavy mineral concentrate (HMC) production broadly in line with 2023. The company also passed the milestone of two million hours worked without a Lost Time Injury (LTI) in early January 2025, reflecting improved operational efficiency and safety measures.



Kenmare's strong Q4 2024 performance was driven by several key factors, including record excavated ore tonnes, which offset lower ore grades, and improved operational efficiency. The company also benefited from robust demand for its products, with sales expected to continue to exceed production in 2025. Additionally, Kenmare's successful capital programs, including the upgrade and transition of its largest mining plant to Nataka, supported the company's growth and financial strength.



For 2025, Kenmare has issued guidance for ilmenite production, which is expected to be between 930,000 and 1,050,000 tonnes. This guidance range suggests a potential decrease in ilmenite production compared to 2024, with the midpoint of the range being 10% lower than the 2024 production figure. However, it is essential to consider the entire guidance range to account for potential fluctuations in production.



To maintain growth and competitiveness in 2025, Kenmare plans to implement several strategic initiatives, including expenditure on development projects and studies, the renewal of its Implementation Agreement (IA) with the Government of Mozambique, and investment for growth and development. These initiatives will help Kenmare continue to deliver strong performance and capitalize on the growing demand for its products.

In conclusion, Kenmare Resources' strong Q4 2024 performance and 2025 guidance reflect the company's commitment to operational excellence, safety, and growth. With a robust financial position and a diverse product portfolio, Kenmare is well-positioned to continue delivering value to shareholders and capitalizing on the growing demand for titanium minerals and zircon.