Final Results

Kenmare Resources PLC
29 April 2005


               Kenmare Resources plc ('Kenmare' or 'the Company')

                          Kenmare Preliminary Results

                     For the year ended 31st December 2004


Chairman's Statement

Dear Shareholder,

With the construction of the Moma Titanium Minerals project now well advanced
and on schedule, the key task for the company is the successful management of
this construction process.

With Moma, as with most major projects, approximately 30% of the development
programme is required for detailed design, planning and the procurement of major
components. We are 30% through the contractual period and most of the design and
procurement has been completed. The temporary accommodation village has been
built, while the hard standing for the dry plant, the road for the conveyor, the
construction pond, the powerline, the 20km access road, the airstrip, and the
quarry and stone crushing for aggregate are well underway. The largest
components of the plants we purchased from BHP in Australia are about to be
shipped from Bunbury in Western Australia and are due to arrive at Moma at the
end of May.

In the meantime, Kenmare has been making organisational changes to allow us
control and manage this major mining project. Dr. Chris Gilchrist has been
appointed as Chief Operations Officer of the company. His previous career has
been spent working on the operations side in de Beers and Anglo American, with
his last job being General Manager of Cleveland Potash. Chris will ensure that
implementation proceeds smoothly and that Kenmare is ready to take up the baton
when the project is handed to us by the contractor in mid 2006. He has been
drawing up a management and personnel plan and the hiring of production staff
will commence shortly with the pace picking up towards the end of the year.

Marketing has been going extremely well with the establishment of heads of
agreement with major consumers for the supply of sulphate grade ilmenite. These
agreements are in the process of being converted into full legal contracts. The
general market for the supply of ilmenite has picked up considerably and we
believe that our average revenue per tonne will be in excess of the numbers used
in our financing documents. The markets for zircon and rutile are also very
strong. It is expected that by the time Moma commences operations, its present
level of production capacity will be fully sold.

Kenmare has bought a new exploration drill which is presently being shipped to
site with the view to performing detailed infill drilling on the first years of
the mine path. It will also be used to investigate more fully the resource
potential beyond the immediate mining area.

The development of the Moma mine will have a profound affect on the local
environment and social structure. We have a duty to ensure that this affect is
positive. As such, we have registered the Moma Development Association as a
non-profit organisation with the aim of enhancing the capacity of the local
people to gain benefit from the presence of a major mine in their vicinity, and
also to ensure that the mine management maximises the inclusion of local people
in its plans. In conjunction with a Danish aid organisation, ADPP, the Moma
Development Association has commenced a major AIDS awareness programme in the
local community and is consulting with local people and Government agencies
about further initiatives.

During 2004 Kenmare made a profit of US$36,555, largely arising from interest
received net of operating expenses. In December 2004 the initial disbursement of
Moma project debt, approximately US$55 million, took place.

The financing of Moma, which we understand to be the biggest structured finance
package ever put together by a non-major mining company, has received two
awards. The Mining Journal awarded Moma its International Mining Finance Award
and Project Finance Magazine awarded Moma the African Mining Deal of the year
award.

It is very exciting that the long years of hard work to get the Moma project to
mine development phase have yielded such a positive result. I am looking forward
to the opening ceremony next year and further to the first shipment of mineral
into a positive market environment.


Charles Carvill

Chairman



For more information:

Kenmare Resources plc

Michael Carvill, Managing Director

Tel: + 353 1 671 0411

Mob: + 353 87 674 0110


Conduit PR Ltd

Leesa Peters/Pam Spooner

Tel: [phone]

Mob: + 44 (0) 781 215 9885

Murray Consultants Ltd

Elizabeth Headon

Tel: + 353 1 498 0300

Mob:     [phone]

www.kenmareresources.com


                         PRELIMINARY UNAUDITED RESULTS
                      CONSOLIDATED PROFIT AND LOSS ACCOUNT
                     FOR THE YEAR ENDED 31st DECEMBER 2004

                                                          2004            2003
                                                           US$             US$

Turnover                                                     -               -

Operating Expenses                                    (575,070)        (42,877)

Operating Loss                                        (575,070)        (42,877)

Interest Receivable                                    611,625         163,428

Profit On Ordinary Activities Before Taxation           36,555         120,551

Taxation                                                     -               -

Profit On Ordinary Activities After Taxation            36,555         120,551

Opening Balance - Profit and Loss Account
(deficit)                                          (21,891,727)    (22,012,278)

Closing Balance - Profit and Loss Account
(deficit)                                          (21,855,172)    (21,891,727)

Earnings per share: Basic                                 0.01c           0.05c
Earnings per share: Diluted                               0.01c           0.04c

All gains and losses have been included in the amounts shown above and arose
from continuing operations.

                         PRELIMINARY UNAUDITED RESULTS
                           CONSOLIDATED BALANCE SHEET
                            AS AT 31st DECEMBER 2004

                                                          2004           2003
                                                           US$            US$

FIXED ASSETS
Deferred Development Expenditure                    61,504,060     27,431,163
Construction in Progress                            32,368,691              -
Tangible Assets                                     41,614,070     41,622,440
                                                   135,486,821     69,053,603

CURRENT ASSETS
Debtors                                              1,557,260         90,322
Cash at Bank and In Hand                            92,851,383      4,574,490
                                                    94,408,643      4,664,812
CREDITORS:
Amounts falling due within one year                 (8,157,922)    (3,224,907)

NET CURRENT ASSETS                                  86,250,721      1,439,905

TOTAL ASSETS LESS CURRENT LIABILITIES              221,737,542     70,493,508

CREDITORS - Amounts falling due after one year:
Long term loans                                     (1,568,202)    (1,730,161)
Bank Loans                                         (54,974,135)             -

                                                   (56,542,337)    (1,730,161)

                                                   165,195,205     68,763,347

CAPITAL AND RESERVES
Called Up Share Capital - (Equity & Non-Equity)     52,923,239     26,269,539
Share Premium Account                               99,589,865     29,848,262
Profit and Loss Account - (Deficit)                (21,855,172)   (21,891,727)
Other Reserve                                       33,783,082     33,783,082
Capital Conversion Reserve Fund                        754,191        754,191
Shareholders' Funds                                165,195,205     68,763,347



                         PRELIMINARY UNAUDITED RESULTS
                        CONSOLIDATED CASH FLOW STATEMENT
                     FOR THE YEAR ENDED 31st DECEMBER 2004
                                                            2004         2003
                                                             US$          US$

Net cash inflow/(outflow) from operating activities    3,009,000   (1,092,221)

Returns on Investments & Servicing of Finance
Interest received                                        611,624      163,428

Net cash inflow from Returns on Investment &
Servicing of Finance                                     611,624      163,428

Capital expenditure & financial investment
Addition of Deferred Development Expenditure         (34,072,897)  (8,812,854)
Addition of Construction in Progress                 (32,368,691)           -

Net cash outflow from capital expenditure &
financial investment                                 (66,441,588)  (8,812,854)

Net cash outflow before use of liquid resources &
financing                                            (62,820,964)  (9,741,647)

Financing
Issue of Ordinary Share Capital                      105,644,318    6,513,083
Cost of share issues                                  (9,249,015)    (544,706)
Finance Lease                                                  -       (2,254)
Bank Loans due beyond one year                        54,974,135            -
Debt due within one year                                (109,622)      11,005
Debt due beyond a year                                  (161,959)     298,258
Net cash inflow from financing                       151,097,857    6,275,386

Increase/(Decrease) in cash                           88,276,893   (3,466,261)


                          NOTES TO THE PRELIMINARY RESULTS

Note 1 Basis of Accounting

The preliminary results have been prepared in US Dollar under the historical
cost convention, as modified by the revaluation of certain fixed assets, and in
accordance with the accounting policies set out on page 23 of the 2003 Annual
Report and Accounts.

Note 2 Basis of Preparation

The financial information presented above does not constitute statutory accounts
within the meaning of the Companies Acts, 1963 to 2003. An audit report has not
yet been issued on the accounts for the year ended 31st December 2004, nor have
they been delivered to the Registrar of Companies. The comparative financial
information for the year ended 31st December 2003 has been derived from the
statutory accounts for the year. Those statutory accounts, upon which the
auditors have issued an unqualified opinion, have been filed with the Registrar
of Companies.

Note 3 Earnings and fully diluted earnings per share

The calculation of the earnings and fully diluted earnings per share is based on
the profit after taxation of US$36,555 (2003:US$120,551) and the weighted
average number of shares in issue during 2004 of 443,783,213 (2003 - 270,684,123
shares).

The calculation of fully diluted earnings per share is based on the profit for
the period after taxation as for basic earnings per share. The number of shares
is adjusted to show the potential dilution if share options and share warrants
are converted into ordinary shares. The weighted average number of shares in
issue is increased to 544,841,005.

Note 4 Deferred Development Expenditure

The recovery of deferred development expenditure is dependent upon the
successful development of the Moma Titanium Minerals Project, which in turn is
dependent on the continued availability of adequate funding for the project. The
Directors are satisfied that deferred expenditure is worth not less than cost
less any amounts written off and that the exploration projects have the
potential to achieve mine production and positive cash flows.

Note 5 Construction in Progress

Construction in Progress represents expenditure under a fixed price contract for
the engineering, procurement, building, commissioning and transfer of facilities
at the Moma Titanium Minerals Mine in Mozambique. The recovery of construction
in progress is dependent upon the successful development of the Moma Titanium
Minerals Project, which in turn is dependent on the continued availability of
adequate funding for the project.

Note 6 Tangible Assets

Tangible Assets are stated at cost or valuation less accumulated depreciation.
GRD Minproc Limited, an independent Australian engineering group, has appraised
the Mining and Processing Plant on a depreciated replacement cost basis of
valuation as at 30 June 2000. An inspection of the Mining and Processing Plant
was carried out by GRD Minproc Limited in March 2002 concluding that no material
alteration to the plants had taken place. Confirmation of the existence of the
Processing and Mining Plant at the year end has been provided by C.R. Cox &
Associates (Australia), a firm of marine consultants and surveyors.

The recovery of the plant valuation is dependent upon the successful development
of the Moma Titanium Minerals Project, which in turn is dependent on the
continued availability of adequate funding for the project. The historical cost
net book value of these assets at 31 December 2004 is US$11,473,067. The surplus
arising on revaluation amounts to US$30,141,002.

Note 7 Reconciliation of movements in Shareholders' Funds



                                                        2004              2003
                                                         US$               US$

Profit for the year                                   36,555           120,551
Issue of Shares - at par                          26,653,700         1,713,011
Share premium, net of costs                       69,741,603         4,255,366

Net change in Shareholders' funds                 96,431,858         6,088,928
Opening Shareholders' funds                       68,763,347        62,674,419
Closing Shareholders' funds                      165,195,205        68,763,347


Note 8 Reconciliation of Operating Loss to Net Cash flow from Operating
Activities
                                                           2004           2003
                                                            US$            US$

Operating (Loss)                                       (575,070)       (42,877)
Depreciation                                              8,370          8,370
(Increase)/Decrease in Debtors                       (1,466,938)         5,151
Increase in creditors                                 5,042,638      1,763,135
(Decrease) in Provision for Liabilities & Charges             -     (2,826,000)
Net Cash Flow from Operating Activities               3,009,000     (1,092,221)

Note 9 Analysis of Net Debt
                            At 1 Jan 2004        Cash Flow      At 31 Dec 2004
                                      US$              US$                 US$

Cash at Bank and in hand        4,574,490       88,276,893          92,851,383
Bank Loans due after 1 year             -      (54,974,135)        (54,974,135)
Debt due after 1 year          (1,730,161)         161,959          -1,568,202
Debt due within 1 year           (109,622)         109,622                   -
                                2,734,707       33,574,339          36,309,046

Note 10 Reconciliation of Net Cash flow to Movement in Net Debt

                                                          2004            2003
                                                           US$             US$

Increase/(Decrease) in cash during the year         88,276,893      (3,466,261)
(Inflow) from movements in debt                    (54,702,554)       (309,263)

Movement in net cash in the year                    33,574,339      (3,775,524)
Net cash at start of year                            2,734,707       6,510,231
Net cash at end of year                             36,309,046       2,734,707



Note 11 2004 Annual Report and Accounts

The Annual Report and Accounts will be posted to shareholders in due course.


29 April, 2005


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