A construction oversight team has also been appointed and has begun to engage with the principal project contractors Lycopodium and Ausdrill.
Meanwhile, financing arrangements that will bring in a local partner at the project level are proceeding. The local syndicate will provide US$30mln in equity investment to complement the US$20mln equity investment by the government of Ethiopia.
That will leave KEFI with around 54% of Tulu Kapi. In aggregate with equity already invested in the project, total project equity capital investment is expected ultimately to exceed US$110mln.
"Work continues methodically to prepare for the Tulu Kapi Project development and now includes the final preparations by the Ethiopian equity investment syndicate,” said managing director Harry Anagnostaras-Adams.
“The widespread positive atmosphere in Ethiopia is a notable turnaround from that seen during the state of emergency that was lifted in early June 2018 upon the appointment of the new Government."