Kenmare's ramp up of Moma Mine boosts production

23rd Jan 2014 09:10

Kenmare Resources reported a 120 per cent increase in ore mined at its Moma Mine in Mozambique to 7.66 tonnes with grades improving 11 per cent.In the three months to December 31st 2013, the group produced 311,000 tonnes of heavy minerals concentrate (HMC), compared with 157,000 tonnes of HMC in 2012, driven by expansion of the mine in the second half of the year.Expansion of the plant boosted production of ilmenite by 69% to 209,400 tonnes from 123,600 tonnes the prior year.However, production of zircon fell to 6,600 tonnes from 10,600 tonnes a year earlier, reflecting delays in the ramp-up of zircon and rutile circuits. "Completion of the expansion is another important milestone in Kenmare's development. I am delighted to see the positive contribution made by the expanded facilities and anticipate that production will continue to improve as we work with local authorities to manage the power supply issues," said Managing Director Micahel Carvill."Kenmare will use the leverage of additional production capacity to drive down unit costs. We will also identify and realise operational efficiencies."Shares rose 3.53% to 18.75p at 10:06 on Thursday.RD