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Kenmare upbeat as mine output rises

Mining company Kenmare has reported strong increases in production at its titanium minerals mine in Moma in Mozambique in the final three months of 2009.

The company said production of heavy mineral concentrate was up 22% from the previous three months to 280,200 tonnes. Production of finished ilmenite rose 13% to just over 147,000 tonnes.

Ilmenite is used in the production of titanium dioxide pigment, which is largely used in paint, paper and plastic production.

Zircon production was flat at 5,400 tonnes, but Kenmare said this had improved since the new year due to new equipment.

139,000 tonnes of finished product was delivered to customers' vessels in Q4, an increase of 6% from the previous three months.

Kenmare also said it had started an engineering survey to investigate plans to expand the mine and increase production.

The company said the current outlook was for a continued rebound in pigment demand this year, led by increased demand from China and other developing countries.