KEFI Gold and Copper plc, focused on the Arabian-Nubian Shield since 2008, has developed a pipeline of projects in Saudi Arabia and Ethiopia, including the advanced Tulu Kapi Gold Project in Ethiopia, preparing for its launch.
Ethiopia
Tulu Kapi Gold Project (95% owned by TKGM)
- The Tulu Kapi Gold Project’s financing is on track for final approvals in May 2024, with launch preparations underway.
- Ethiopian Prime Minister’s recent visit highlights government support for the project and regional development.
- Positive sectoral reforms are enhancing Ethiopia’s gold production capacity, aiming to increase from 400,000 oz to 1.5 million oz annually within five years.
Financial Progress
- The Company has secured the required $320 million development budget, including $190 million secured debt and $100 million Equity Risk Note.
- KEFI Gold and Copper targets an 80% beneficial interest in TKGM due to favorable changes in capital ratios and lower debt costs.
- All syndicate parties are expected to provide final approvals this month.
Operational and Safety Measures
- Tulu Kapi is scheduled to launch in mid-2024, targeting production by mid-2026.
- Enhanced security measures and independent international oversight ensure compliance with safety and environmental standards.
- Key appointments include Jacques Kruger as Project Development Manager and Simon Cleghorn rejoining as Executive Committee member.
Economic Metrics
- Tulu Kapi Mineral Resource Estimate: 1.7 million ounces at 2.7 g/t.
- The project aims for combined open pit and underground production of 200,000 oz per year.
- Projected all-in sustaining costs of approximately $860/oz and break-even costs around $1,200/oz position the Company for substantial net cash flow, estimated at £63 million annually over the first nine years.
Saudi Arabia
Gold & Minerals Ltd (25%-owned by the Company)
Hawiah Copper-Gold Development Project
- Hawiah resource stands at approximately 30Mt at 2.5 g/t gold-equivalent.
- Infill drilling programs are on track, with substantial resource updates expected.
Jibal Qutman Gold Development Project
- Exploration is expanding across three contiguous licenses, aiming to upgrade resources and discover new deposits.
- Recent drilling results indicate promising gold mineralization.
Regional Exploration
KEFI Gold and Copper continues to explore and peg new prospects in Ethiopia and Saudi Arabia, leveraging historical mineralization evidence and advanced exploration techniques.
Updates
- The Company raised £5.0 million through a share placing in March 2024.
- A General Meeting approved the issuance of shares in lieu of accrued fees to directors and advisers.
- Institutional investor briefings and a quarterly open-forum webinar are scheduled, providing opportunities for investor engagement.
- Institutional investor relations advisers 3PPB are available for briefings.
- A research report by Orior Capital is accessible on the website.
- The investor webinar is scheduled for 3 pm London time on Wednesday, 22 May 2024.
