Announcements - 16th January 1994

Kenmare Moves to Official List

Charles Carvill the Chairman of Kenmare Resources plc announced at the companies AGM today that Kenmare shares were to commence trading on the Official List of the Stock Exchange on Thursday the 17th of November, 1994.

He stated that this was an significant step forward for Kenmare, improving the stocks liquidity and opening it to a wider investor group.

"This is a strong endorsement of the company's performance and capabilities by the Stock Exchange and by AIB Corporate Finance who took us to the Official List. We were pleased to see that the independent consultants, commissioned by AIB to provide a fairness opinion for the Stock Exchange, valued the shares at 35p suggesting that the present market level of 10.5p is undervalued. It is a management priority to correct this imbalance."

Kenmare has recently developed the Ancuabe Graphite mine which is now in commercial production. Kenmare also controls the giant Congolone Mineral Sands deposit which BHP is farming into. BHP is performing additional drilling on site to increase the reserve level at Congolone. Both Ancuabe and Congolone are located in Mozambique which became a full democracy with peaceful elections in late October.

While the improving situation in Mozambique and southern Africa generally has made Mozambican projects more attractive to major groups, Kenmare's long term relationship with the Gov't has helped it gain control of a very exciting gold province in the north of the country. Kenmare intends to move rapidly to quantify the extent of the mineralisation present of this property from which artisanal workers have extracted substantial quantities of gold.

Kenmare is also developing a high grade Zinc Silver Lead property in Bolivia. Work to date has produced grades from adits which are running consistently at 15%Zinc, 400g/t Silver and 3% Lead. The company is proceeding to outline sufficient ore to justify a mine and processing plant. Kenmare hopes to reach this point in 1995. The project already has a mining lease. No problems or delays are anticipated in moving from the development aditing presently underway to actual mining.