Announcements - 2nd December 2004

Kenmare Resources Wins Finance Prize At International Mining Awards

Kenmare Resources work in developing its US$450 million Moma Titanium Minerals project in Mozambique has won the Mine Finance Award at the annual Mining Journal international awards announced in London last night.

Awarded for the "most effective financing of a mine or expansion project", Kenmare's investment represents the biggest structured finance package ever put together for a development by an independent mining company. The deal comprised a US$269 million loan agreement accompanied by the raising of US$97 million in equity.

Speaking at the Awards Kenmare Resources Managing Director Michael Carvill said

"We are delighted to have been recognised by the international mining community for this project. The financing and loan agreements put in place represented the culmination of years of work. Working on a non-traded commodity like Titanium Minerals made it particularly challenging as banks cannot hedge risk by selling forward. We were particularly pleased with our equity raising which was effectively 1:1 given that our market cap at the time was in the region of US$100 million."

Kenmare began construction of the Moma mine in October and expects to begin production in late 2006. It is expected that the mine will produce more than 650,000 tonnes of Titanium Minerals annually. Sales contracts for more than 50% of the planned output have already been signed.

Mining Journal is the largest European mining publication with global distribution.

Further details on the awards are available from www.minesandmoney.co.uk

For further information:

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

Murray Consultants
Tom Byrne
+353-1-498 0339

Conduit PR Ltd
Leesa Peters
+44-207-6188708
Mob: +44 781 215 9885