Announcements - 31st July 2003

Kenmare Signs Further Sales Agreements for Zircon

In an announcement on 6 June, Kenmare Resources plc reported that pilot plant testwork had indicated that more zircon will be produced by the Company's Moma Titanium Mine in Mozambique than previous smaller scale testwork had indicated. Kenmare is pleased to announce that forward sales contracts to place this additional material have been signed.

A multi year sales contract for 6,000 tonnes per annum of Premium Grade zircon has been signed with one of Kenmare's two existing zircon customers. This company is one of the world's largest zircon consumers. In addition Kenmare has signed a contract for the sale of 18,000 tonnes per annum of Special Grade zircon running for five years from first delivery. The customer is the largest importer of zircon into the Chinese market.

Michael Carvill, Managing Director of Kenmare, said:

"Following on from our recent announcement of a further major ilmenite sales contract, Kenmare believes that the Lender Group's proposed marketing requirement for first disbursement of debt finance has now been completely satisfied. Furthermore the rapid conclusion of these sales contracts indicates strong demand for products from the Moma mine."

For further information:

Michael Carvill
Managing Director
+353-1-671 0411
+353-87-674 0110

Tony McCluskey
Financial Director
+353-1-671 0411
+353-87-674 0346

Murray Consultants
Tom Byrne
+353-1-498 0339

Conduit PR Ltd
Leesa Peters
+44-207-9369095