Kenmare Resources shares fell on Wednesday as miner downgraded the production target for its key titanium mineral for a third time in as many months amid teething problems with the crucial upgrade of a processing plant.
The company, which operates the Moma mine in Mozambique, saw its stock fall 5 per cent in early trading in Dublin.
Kenmare said in a statement that it now expects production of ilmenite, its main product, which is used in the manufacture of everything from paints and plastics to ceramics and textile, to be “not less than” 830,000 tonnes.
It follows the group telling the market in mid-October that ilmenite production would be at the lower end of its original 930,000-960,000 tonnes guidance range, before reducing it five weeks later to 870,000-905,000 tonnes.
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The previous two disappointments were down to delays in the commencement of an upgraded so-called wet concentrator plant. The latest is due to some issues with the management of slime captured by Kenmare dredging titanium-rich sands in mining ponds.
The company now sees sustainable full production at the plant – known as WCP A – being pushed out from the end of 2025 to the first quarter of next year.
“The updated schedule is not expected to impact the capital cost estimate of the project, which remains at $341 million,” said Ben Baxter, group chief operations officer.
“We have chosen to focus on resolving these issues and ramping up WCP A operations, rather than prioritising additional short-term production, given our relatively high levels of product inventory. Consequently, 2025 ilmenite production is now expected to be not less than 830,000 tonnes.”
The upgrade to WCP A has been taking place ahead of the plant being relocated next year to the largest Moma ore zone, known as Nataka, where production is expected to exceed 20 years.
Shipments to customers are now expected to be approximately 980,000 tonnes of finished products in 2025, as two shipments appear likely to complete loading in early 2026, meaning they will benefit Kenmare’s 2026 performance, the company said.
The group, led by managing director Tom Hickey, had previously expected shipments this year to top one million tonnes.
Kenmare shares have had a volatile year. The soared in March as the company confirmed it had received a bid approach from its former managing director, Michael Carvill and Abu Dhabi private equity firm Oryx Capital Partners, before falling back in June when the board called time on the takeover discussions. The market value of the company has fallen almost 30 per cent, on the whole, in 2025, to €244.5 million.
