London, United Kingdom, 26 Jan – Kenmare Resources plans to double its ilmenite production to 700,000 tonnes at its heavy minerals mine in Moma, Mozambique, the company’s chief executive, Michael Carvill said Monday.
Speaking to Reuters, Carvill said that the titanium market would see a drop in supply as of 2011 and Kenmare thus planned to increase its production in Mozambique in order to meet demand.
The company, Carvill said, was currently considering further expansion, as there was strong demand along with some mines having used up their reserves, which would reduce the supply of titanium and lead to a rise in prices.
“Price will start to rise this year and as of 2011/2012 demand will start to outstrip supply,” Carvill said, adding that “this is based on questions that our customers are already asking.”
Kenmare Resources reached operating breakeven at Moma in May and when production reaches a peak it is expected to produce 800,000 tonnes of ilmenite, 46,000 tonne of zircon and 18,000 tonnes of rutilium per year, or the equivalent of around 7 percent of world production.
Kenmare Resources is listed on the Dublin and London stock exchanges and its main asset is the titanium ore mine at Moma, Mozambique. (macauhub)