From the FT on the 19th June

http://search.ft.com/search/article.html?id=040619001094&query=kenmare&vsc_appId=totalSearch&state=Form

COMPANIES UK & IRELAND: Kenmare negotiates $269m loan
By John Murray Brown
Financial Times; Jun 19, 2004



One of the largest debt financings for an independent mining company was announced yesterday when Kenmare Resources agreed a $269m (146.5m) facility to develop the Moma titanium mine in Mozambique.

Drawdown of the debt is contingent on the Irish company raising equity of $79m, lifting the value of the project to $345m.

The company already has commitments of $55m from a number of large investment funds.

Documents will be posted to shareholders on Monday for an open offer to raise up to $42m.

A banker at NM Rothschild, lead advisers on the financing, said the debt package represented three times Kenmare's market capitalisation of $90m.

"I do not think there have been any listed mining companies who have done that," he said.

Among the lenders, the African Development Bank is lending $40m and the European Investment Bank $15m in senior debt and a $40m subordinated loan, reflecting the vital economic benefits to what is the poorest region of one of Africa's poorest countries.

Martin Curwen, of the EIB, said this was the first deal signed under the 2000 Cotonou agreement between the EU and African, Caribbean and Pacific countries.

He said EIB's presence would "provide comfort" to other lenders. "It is part of our mandate to support projects where the funding would not have been available from the financial markets," he said at yesterday's signing ceremony, attended by Castigo Langa, Mozambique's minister of mineral resources and energy.

KFW, the German development finance institution, is providing $50m, partly tied to the supply of electrical equipment by Siemens.

The Dutch development agency FMO is lending $15m. The only commercial bank involved is ABSA, the South African bank, which is lending $80m to support the purchase of South African goods and services by the mine.

The mine is expected to be in production in the second half of 2006, with annual output of 600,000 tonnes of ilmenite and other titanium minerals that supplies white pigment used in paint and toothpaste.

The company has already raised 4m to purchase a mineral separation plant in Western Australia, which is being dismantled and shipped to the site.

At full production, the mine will account for about 5 per cent of world supply. About two-thirds of world production is controlled by RTZ and Iluka, an Australian company spun out of the old Rennison Goldfields.

FT Comment

* There have been similar financings in the minerals sector but never where the borrowing is three times the borrower's market valuation. The Lihir gold project in Papua New Guinea raised $300m in 1995 but lenders had the comfort that Rio Tinto Zinc owned about 40 per cent of the company. Kenmare's project is 100 per cent-owned by Kenmare, a company that has no cash flow and would have reported a small loss of $40,000 last year but for interest on its bank deposits. This project clearly could transform its fortunes. There are offtake agreements in place for more than half the first five years' production with Dupont and Mitsui. Prices for mineral sands tend to be more stable than base metals, which behave more like a commodity dependent on capital goods demand. The current market cap is little more than the value of a year's production from the mine. An upgrade seems inevitable. Canaccord, the company's broker, has a current price target of 35p. This compares with a close of 17p, down 2p yesterday.


Copyright The Financial Times Ltd

i bought at 16 and hold at 24 and i am going to keep holding, (read earlier posts to know why). That is a massive rise in anybodies book unless you have a brain the size of a gnats willy! That is fact, look at the charts to confirm. If anybody wants lose money look at the blantant ramping on the axm thread by one individual who posts under many different names.

Stop your silly ramping. You must think we are kids! Since your report was released the selling has continued. What does that tell you?? You don't need to be a genius to work it out. This company has lots of promises but never delivers anything except a sliding share price. My advice to anyone holding this stock is to get rid of it quick!!!
This share should be avoided at all costs. There are more sellers than buyers in the market -what does that tell you???

By the way, selling already more than twice outnumbers buying today -again!!!

Just Squelch him... Informer is not worth reading...we know that KMR is a wonderful longer term investment so ignor him.
Di

Well excuse me but I must say that I don't at all consider the KMR share price to be "another good day". I look at a time span of more than one day and I'm sure any sensible person would agree with that approach. The plain fact is, a couple of month ago the KMR share was 28 pence. Now it is 24 pence. Excuse me but I don't call that "another good day" !!!

Its much better than your falls in afd and axm (40 - 20). Did you read my point about having a brain the size of a gnats willy, but your to brainless to know i was talking about you. When are going to answer the question if there are so many sells why doesnt the price drop. duh, hello.

heh whats it like being 60 grand down on axm (according to your 1/4 million buy). Its great nearly doubling my money on kmr (bought at 16p) and very happy to say im still holding for much further gains.

Well there is no wonder that Kenmare is losing money again today, Kivver. You need to go away into your little corner, pull your baseball cap down over your eyes and ask yourself this "Why am I stupid enough to antagonise those people who will only ever respond by crashing down onto my share from a great height and who will then watch from the sidelines with a big grin on their faces as my share price falls and I lose my money??? Why do I do this when, instead, I could just go about my own business, not winding people up, and watch my share price rise???"
Silly little Kivver -who's share will forever be discredited whilstever behaving in such an unwise silly fashion. Now go and check out KMR -it's falling again!!!

Kivver, worth having a look at the AXM thread, if only to see that it has had something of a trim. All of the repetitve posts were removed this morning; although unfortunately one has reappeared again this afternoon. Must have been posted after school.

ptholden - cheers im not sure hed be allowed in mainstream school he is not bright enough. Hes 60 grand down (at least)on axm yet ive nearly doubled my money on kmr but according to him im worse off. Staggering mentallity. Kmr has gone down by a massive .25p wow what a loss!!! axm down from 40 to 22. 3 and 3 make 8 in his world!

Every person holding KMR stock is out of pocket again today as the share price dropped -and it will get a lot worse yet, I assure you -believe me, I know!!
Since company results came out some days back everyone has been offloading the stock. Everyone that is except for ramper Kivver (Kivver the Kidder -who admits to going under several namnes). Talk about a sucker being born every minute.
Kivver the Kidder is trying to fool people into buying Kenmare in order to cash in?? Well in the name of honesty here's a few stats since 30 March that people can mull over before deciding whether KMR is for them or not:

Total sum of buys = 2,951,588
Total sum of sells= 10,830,366 (massive discrepancy there "Kivver the Kidder")
Total sum of buyers = 431
Total sum of sellers= 562

So, as you can see, KMR is not quite the hot potato some would have you believe it is. In fact, quite the contrary, it is cleary one to avoid!!!

Me? I wouldn't touch it with a bargepole!

glad i gave this a miss, chart looks as though this has further to fall!!

you are blind, both of you. Look at the chart for kmr, look at the chart for axm and afd. Is it possible to have brain SMALLER than a gnats willy.

informer (and all your other sad names) You stiLl havent told US what its like to be 60 grand down (GOD KNOWS HOW MUCH YOU MUST OF LOST ON YOUR OTHER GREAT TIP AFRICAN DIAMONDS)!!!!!! I LOVE nearly DOUBLING my money on KMR and hopefully will double it again before the mine opens but there are no guarantees, i agree so must do your own research.

Every person holding KMR stock is out of pocket again today as the share price dropped -and it will get a lot worse yet, I assure you -believe me, I know!!
Since company results came out some days back everyone has been offloading the stock. Everyone that is except for ramper Kivver (Kivver the Kidder -who admits to going under several namnes). Talk about a sucker being born every minute.
Kivver the Kidder is trying to fool people into buying Kenmare in order to cash in?? Well in the name of honesty here's a few stats since 30 March that people can mull over before deciding whether KMR is for them or not:

Total sum of buys = 2,951,588
Total sum of sells= 10,830,366 (massive discrepancy there "Kivver the Kidder")
Total sum of buyers = 431
Total sum of sellers= 562

So, as you can see, KMR is not quite the hot potato some would have you believe it is. In fact, quite the contrary, it is cleary one to avoid!!!

Me? I wouldn't touch it with a bargepole!

you are blind? Look at the chart for kmr, look at the chart for axm and afd. Is it possible to have brain SMALLER than a gnats willy.

informer (and all your other sad names) You still havent told us what its like to be 60 grand down (GOD KNOWS HOW MUCH YOU MUST OF LOST ON YOUR OTHER GREAT TIP AFRICAN DIAMONDS)!!!!!! I LOVE nearly DOUBLING my money on KMR and hopefully will double it again before the mine opens but there are no guarantees, i agree so you must do your own research.

I see KMR is down yet again.
Also more than twice as many sellers as buyers. Not good!
Must be a sell!!!

Its the end of the world everybody, its FALLEN a MASSIVE 0.25p . Despite pro/informer (and all his other names) telling us for the last 3 weeks at least that everybody is selling. The share price remained around the 24p mark. If you dont believe me go back and read his posts. Look at the share price graph 'the proof is in the pudding'. While you are there look at hthe graph of his 2 tips AXM and AFD. You make up your own mind!

They are just plonkers Squelch them...they are not worth getting wound up about Kivver...we are the ones who will be laughing as the prices goes up!

Not wound up dynamite, in fact quite the oppisite i like winding him up and warning others of his constant ramping on the axm thread. Ive not seen one person who supports him yet.

price up again today!