KEFI says its "a great time" to have triggered gold mine development

Tue Jan 06 2026

KEFI Gold and Copper PLC (AIM:KEFI, OTC:KFFLF) provided a corporate strategy update after the full launch of the Tulu Kapi Gold Project in Ethiopia, noting key project milestones completed during the past month.

The mine developer said final contracting packages have been secured, covering all capex and more than 50% of seven-year opex through mining services and electricity supply arrangements. It said Lycopodium has begun work as lead design and construction contractor for the process plant and on-site infrastructure, while site activities have ramped up, including power supply and access road work.

It added that the development finance package now includes US$340 million, made up of US$240 million in debt and US$100 million in equity, plus US$60 million for a mining fleet via a mining services agreement and US$30 million in non-dilutive capital for contingencies and growth.

"Our successful funding of the high-grade and high-recovery Tulu Kapi Gold development took many years of intense effort as the first-mover, against a changing, and at times challenging, geopolitical landscape," said executive chairman Harry Anagnostaras-Adams.

“The next chapter requires no less effort, but fortunately, is now focused on the implementation of a well-defined plan to which all stakeholders are, or will be, contractually committed.”

Adams added: "We are fortunate to have successfully launched this multi-billion dollar cash flow project at what has turned out to be a propitious moment against a gold rush in Ethiopia and indeed globally.  The projected range of economic outcomes is better than we had anticipated.

"We now plan to have a clear run at not only starting up the multi-billion dollar cash flow generator at Tulu Kapi ... his is a great time for KEFI to have triggered its development phase, deliberately structured within such tight alliances with powerful strategic partners and financiers."

KEFI noted that the project schedule remains for commissioning in late 2027 and full production in 2028, and that lenders’ approval of detailed documentation linked to parts of the equity package is expected to be completed shortly.

Source: https://www.proactiveinvestors.co.uk/