Placing

Kenmare Resources PLC
12 September 2003

                             KENMARE RESOURCES PLC

     Placing of 25,125,000New Ordinary Shares at Stg16p per share to Raise
                                Stg£4.02Million

                        (US$6.4 Million) before Expenses

The Board of Kenmare Resources plc ('Kenmare' or 'the Company') is pleased to
announce that it, together with its UK brokers, Canaccord Capital (Europe)
Limited, has placed 25,125,000 new Ordinary Shares of nominal value Euro 0.06 in
the capital of the Company ('the New Ordinary Shares') to raise in aggregate
Stg£4.02 million (US$6.4 million) before expenses ('the Placing'). The New
Ordinary Shares have been placed at Stg16p per share and represent 9.6% and 8.7%
respectively of the existing issued share capital of the Company, and of the
issued share capital of the Company as enlarged by the Placing.


Use of Proceeds

The net proceeds of the Placing, amounting to approximately Stg£3.7 million
(US$5.9 million), will be used to meet the ongoing administrative and operating
costs associated with advancing the Company's Moma Titanium Mineral Sands
project towards implementation. In particular, part of the proceeds of the
Placing will be used to discharge the costs of dismantling and removing from
Beenup in Western Australia, Kenmare's Mineral Separation Plant, which forms
part of the overall Moma project capital costs, and is scheduled to occur before
30 November, 2003.

Further details of Kenmare's plans for the implementation of the Moma Project
are outlined in the Company Interim Report for the six months ended 30 June,
2003, published today.


Warrants

As part of the Placing, it has been agreed that the participants therein will be
granted warrants ('Warrants') to subscribe for new Ordinary Shares in the
capital of the Company on the basis of 1 Warrant for every 2 New Ordinary Shares
subscribed for. Accordingly a total of 12,562,500 Warrants, each of which will
entitle the holder, upon exercise, to 1 new Ordinary Share, are proposed to be
granted by Kenmare. The Warrants will be exercisable at Stg18p per share and
will expire on the second anniversary of their date of grant. Assuming all of
the Warrants were exercised, the Company would receive a further Stg£2.26
million (US$3.6 million) before costs.

The grant of the Warrants is conditional upon the associated disapplication of
pre-emption rights. The Company has undertaken to seek such disapplication at
the next general meeting of the Company, or if no such meeting is otherwise
convened on or before, 31 March, 2004, to convene a general meeting for this
purpose.


Completion of the Placing

The Placing is conditional upon admission of the New Ordinary Shares to the
Official List of the Irish Stock Exchange and the Official List of the UK
Listing Authority ('the Official Lists') and to trading on the main markets of
the Irish Stock Exchange and the London Stock Exchange.

Application has been made to the Irish Stock Exchange and to the UK Listing
Authority for the New Ordinary Shares to be admitted to the Official Lists and
application has been made to the Irish Stock Exchange and the London Stock
Exchange for these shares to be admitted to trading.

Such admission is expected to become effective and dealings to commence in the
New Ordinary Shares on 17 September, 2003. It is therefore expected that the
Placing will complete on 17 September, 2003.

12 September, 2003


For further information :

Kenmare Resources plc                                   Tel: + 353 1 671 0411

Michael Carvill, Managing Director                      Mob: + 353 87 674 0110

Tony McCluskey, Financial Director                      Mob: + 353 87 6740346


Murray Consultants                                      Tel: + 353 1 498 0339

Tom Byrne / Elizabeth Headon


Conduit PR Ltd                                          Tel: + 44 207 936 9095

Leesa Peters

www.kenmareresources.com

12 September, 2003


                      This information is provided by RNS
            The company news service from the London Stock Exchange