RNS Number:6577Z
Kenmare Resources PLC
28 February 2001


                      KENMARE RESOURCES PLC ("Kenmare")


   Kenmare announces successful completion of Definitive Feasibility Study

                        on Moma Project in Mozambique


Today Kenmare Resources Plc announced the successful completion of the
Definitive Feasibility Study (DFS) on its Moma Titanium Minerals Project in
Mozambique. Kenmare plans to mine titanium mineral sands at Moma in northern
Mozambique, for the extraction of titanium dioxide, a key component for the
paint, fabrics and textile industries. The study provides a detailed
assessment of all aspects of the proposed development and confirms the
commercial feasibility of the project.

The DFS, which was performed by an independent engineering group GRD/Minproc,
follows a Pre-Feasibility Study completed in February 2000 and details a
project that is financially and technically robust. The DFS estimates that
US$160 million will be spent to bring the project into production by early
2003.

The after tax Net Present Value (NPV), at a 10% discount rate, is over $200
million and the ungeared Internal Rate of Return (IRR) is 23.3%. If gearing is
introduced, the equity returns are substantially increased. After initial
investment during the first couple of years, the project, which has a 20 year
life, will have an operating margin of 70% and a cash flow of over $55 million
per annum. Additional resources have been identified within the licence area
to more than double this mine life or to increase the production rate.

The detailed market analysis contained in the DFS shows that there is a strong
market for the minerals produced. Extensive drilling and testwork indicate
that the geological reserve is capable of sustaining the planned production
rate of 625,000 tonnes of titanium minerals per annum for at least 20 years.
An independent Environmental Impact Assessment has concluded that the project
conforms with leading international environmental standards and extensive
testwork and pilot plant operations have demonstrated that concentrator and
separator plants bought by Kenmare from BHP last year are suitable for Moma.
The Mozambican Government has issued a Mineral Licence Agreement and agreed a
concessionary taxation regime.

Kenmare recently completed a successful placing of shares to raise Stg#3.4
million, and is currently negotiating to sell output from Moma to major
consumers. This will be followed by negotiations with development funding
institutions and commercial banks on project funding. Subject to these
negotiations, it is expected that the project will be commissioned in last
quarter 2002 with commercial production in first quarter 2003.

Kenmare's Chairman Charles Carvill said: "We are delighted to finally have the
Definitive Feasibility Study completed with such encouraging results. We have
a large, long-life project with handsome margins and strong returns, operating
in a sector of the minerals industry which traditionally produces good return
on investment. We have had a very positive response from the consumers and
look forward to agreeing marketing arrangements in the near future".

Kenmare has a full listing on the London and Irish Stock Exchanges.


For more information :


Michael Carvill

Managing Director

+353-1-671 0411 or +353-87-6740110


Tony McCluskey

Financial Director

+353-1-671 0411 or +353-87-6740346


Tom Byrne

Murray Consultants

+353-1-6614666 or +353-86- 8104224


Tim Blackstone

Blackstone Business Communications

+44-207-2512544


www.kenmareresources.com



28 February, 2001
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