KEFI Gold and Copper PLC (AIM:KEFI, OTC:KFFLF) said all lead contracting and equity investment parties had confirmed their intention to sign the financing plan to construct the Tulu Kapi gold mine in Ethiopia.
Nearly all government agencies have also given similar confirmation, KEFI reported in a statement, while lenders in the consortium have reaffirmed the financing plan in principle and have formally set out their indicative terms and conditions, which include Ethiopian authority approval.
“The company expects all outstanding issues to be addressed imminently, the exact timing of which will largely be driven by the government process so that final lender documentation can be completed,“ it said.
John Leach, finance director, added: "It is very pleasing that we are finalising the US$320mln financing of the Tulu Kapi gold project.
“This is a large complex transaction in a challenging working environment, against a backdrop of turbulent equity markets and progressive political reforms in Ethiopia."
"Our Tulu Kapi financing package is predominately at the project or subsidiary level," he added.
“This is also as planned for our Saudi project developments, the first of which, Jibal Qutman Gold, is smaller than Tulu Kapi and now expected to start construction around the end of 2023 and the second of which, Hawiah Copper-Gold, is bigger than Tulu Kapi and expected to start construction after production has commenced at Tulu Kapi and Jibal Qutman."