Kenmare Resources has secured a 20-year extension of the Implementation Agreement that governs processing and export at its Moma Titanium Minerals Mine in northern Mozambique, ending a dispute over royalties and tax concessions that has run since the original authorisation expired in December 2024.

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The London- and Dublin-listed company said on 30 October that Mozambique's Council of Ministers approved the renewal of its rights and concessions until 2044. The resolution was adopted on 13 October and Kenmare received official notification on 29 October.

Higher royalties and a new withholding tax

"The extension provides Kenmare with the certainty to continue to invest in Moma and support our host communities." – Tom Hickey, Managing Director, Kenmare Resources

The extension comes with a stepped increase in the royalty Kenmare pays on gross revenue. The current 1% rises to 3% for 2025 to 2029, 4% for 2030 to 2034 and 5% for the final 10 years to 2044.

A 20% withholding tax will also apply to services supplied to the Moma processing subsidiary from outside Mozambique once an addendum to the agreement takes effect. Managing director Tom Hickey told investors the tax should cost about US$3 million a year, according to Miningmx.

Investment and community commitments

Kenmare has undertaken to invest at least US$200 million in plant, machinery and infrastructure over the 20 years, and to fund US$50 million of social projects in education, health, transport, energy, water, sanitation and small business development. The government may also buy up to 20% of annual production for local processing, at market prices and with two years' notice.

Hickey said the capital commitment was largely spending the company would make anyway, Miningmx reported. He added that Kenmare had preferred a negotiated outcome to international arbitration in the country that hosts its only asset.

"The extension provides Kenmare with the certainty to continue to invest in Moma and support our host communities, while continuing to generate returns for all stakeholders," Hickey said in the announcement.

What happens next

The two sides must sign an addendum to the agreement, which will then go to Mozambique's Administrative Court. The resolution also gives Kenmare the right to seek a further 20-year extension in 2044 under the law in force at the time.

The mining concession at Moma is separate and runs until August 2029. Kenmare Mozambique manager Gareth Clifton said its renewal provisions were "far clearer" than those of the Implementation Agreement, according to Miningmx.

Why it matters

Moma supplies about 6% of the world's titanium feedstock, and Kenmare says its Mineral Resources can support production for more than 100 years. The settlement removes a long-running fiscal uncertainty at the operation and gives a reference point for other miners and governments in Southern Africa renegotiating the generous incentives that helped early projects get built.

Source: Kenmare Resources regulatory announcement, 30 October 2026; additional reporting from Miningmx.