Kenmare Resources report shows 2014 losses of over €90m

’Single issue’ dominating performance in has been dramatic fall in ilmenite price

Michael Carvill  managing director Kenmare Resources has said demand growth in 2015 should have positive impact on ilmenite markets.Photograph: Bryan O’Brien

Michael Carvill managing director Kenmare Resources has said demand growth in 2015 should have positive impact on ilmenite markets.Photograph: Bryan O’Brien

 

Kenmare Resources has recorded a loss after tax of $100.8 million (€90.7 million) in 2014.

Publishing its annual report today, the company said the results are due to reduced product prices and constrained demand for sulphate ilmenite.

This was combined with unit costs that have “yet to reflect the full production potential of the mine”, it said.

However, it added that with “significantly increased” demand for ilmenite from new slag producers in China and the Middle East, prospects would improve in 2015.

“Ongoing demand growth and supply-side developments should have a positive impact on ilmenite markets in 2015,” it said.

It recorded revenues of $174.3 million (€157 million) in 2014.

Managing director Michael Carvill said: “The single issue which dominated Kenmare’s performance in 2014 and further into early 2015 has been the dramatic fall in ilmenite price.

“Ongoing demand growth and supply side developments should hav a positive impact on ilmenite markets in 2015 and in addition , Kenmare has successfully implemented measures to reduce unit costs and increase production.”