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General mining & base metals

KEFI Gold and Copper confirms Tulu Kapi is advancing to project finance greenlight

KEFI Gold and Copper PLC (AIM:KEFI, OTC:KFFLF) has confirmed its progress toward the close for the Tulu Kapi Gold project financing, ahead of a full launch.

The AIM-quoted mine developer said that its secured lenders have increased project financing facilities to $240 million, from $190 million.

Harry Anagnostaras-Adams, KEFI chair, meanwhile, highlighted that the project is progressing.

"Over these few days, we host discussions with the Tulu Kapi Syndicate and the Minister of Mines,” he said in a statement.

“The various parallel preparations for financial close and the full launch of major works are progressing well and in tandem.

“This is necessarily a multi-party effort and it is very pleasing to report that all parties are coordinating very well.

"At the same time, with the gold price firming, the potential net present value (NPV) of Tulu Kapi per KEFI share on issue now stands at 15 pence per share at the current gold price of US$2,800 per ounce."

KEFI noted that early works, including security and community preparations, are complete, and selected major works have started, de-risking the construction schedule.

The firm said also that it has received expressions of interest in EthioBonds.

And, the Ethiopian parliamentary ratification of AFC membership is targeted for February 2025, while final price, terms, and conditions checks for Construction and Mining Services Agreements are expected to be completed by March 2025.

The insurance underwriting process has also begun.

Final documentation to greenlight the project remains on track for signing by March.

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