ADDIS ABABA – KEFI Gold and Copper, a UK-listed mining company, on Tuesday said its shareholders have formally approved the recent capital raisings for the development of its mining projects in Ethiopia and Saudi Arabia.
The capital raised in several stages provided £28 million for KEFI to inject into early development works at Tulu Kapi Gold Project in Ethiopia and two other projects in Saudi Arabia.
The mining firm said the finance endorsed today in London represents part of the future development costs at Tulu Kapi of approx 18 billion Birr.
“The early development activities in Tulu Kapi are specifically community programs, engineering works and early construction works,” it said.
KEFI operates in Ethiopia via Tulu Kapi Gold Mines S.C.
The UK-listed mining firm acquired the gold deposit site, located in the West Wollega Zone of the Oromia regional state, about eight years ago.
It is still at the early stages of developing the gold mining site but sees major progress in the next few years.
“KEFI pivoted onto the front foot at the end of 2021, following the end of the Ethiopian civil war in the north of the country and because of exploration results and regulatory improvements in Saudi Arabia,” said in a statement.
The Company said it is now “focused on the sequential development path of three advanced projects over the next 3-4 years with targeted aggregate project production of 365K oz per annum gold and gold-equivalent copper”.
In Ethiopia, KEFI said it is developing an industrial scale modern operation in accordance with 21 st century standards as applied internationally with the latest environmental and social controls.
When full production begins, the mining firm plans to export 250 million worth gold annually.