Doc re. Settling Pond Breach at Moma Mine

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



8(th) October, 2010



                       Settling Pond Breach at Moma Mine



At approximately 2am today (Friday, 8(th) October), a settling pond adjacent to
the Moma Mine breached its southern wall. This caused a non-toxic discharge of
water, sand and clay that flowed through part of the nearby village of Topuito.



A full scale search is currently underway for a 4 year old girl, who has been
missing from the village since the incident.



The priority for Kenmare, the local community and Government is the search for
the missing child and moving those people affected by the discharge to other
parts of the village and to temporary accommodation provided by Kenmare.



The Kenmare Moma Incident Management Team was immediately mobilised by Jacob
Deysel, Kenmare Operations Director, who is at the Moma Mine. The Kenmare team,
local community and Government officials are working together to locate the
missing child, make the area safe, assist with evacuation of the affected
population and assess any possible injuries or damage caused. It is believed
that approximately 115 households have been impacted by the flow of water, sand
and clay.



Mining operations have been suspended for the moment and restoration work has
already commenced at the village of Topuito.



Mining at Moma is undertaken using two dredges and a floating concentrator
plant.  Once the minerals are extracted, sand and clay tailings are deposited
behind the plant through a series of settling ponds.  A containment wall on one
of these settling ponds failed during the early hours of the morning.



Kenmare has always regarded the health and safety of the community and its
employees as its highest priority and is treating this incident with the utmost
seriousness.



Managing Director, Michael Carvill, is en route to Moma and will arrive there
later today. Speaking en route to Moma, Michael Carvill said: "Everything will
be done to locate the missing child and to relocate and support the individuals
affected by the incident. Kenmare will fully investigate the incident and will
also co-operate with the authorities in this regard."



A full assessment is in progress and updates will be issued as new information
becomes available.





For further information, please contact:



Kenmare Resources plc.

Tony McCluskey, Financial Director

Tel: [phone]

Mob: + 353 87 674 0346



Murray Consultants

Jim Milton

Tel: [phone]

Mob: + 353 86 2558400

Joe Heron

Tel: [phone]

Mob: + 353 87 690 9735



Conduit PR Ltd

Paul Youens/Leesa Peters/Charlie Geller

Tel: [phone]

Mob: [phone]





[HUG#1450239]








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