KEFI Minerals (AIM: KEFI), the gold exploration and development company with projects in the Federal Democratic Republic of Ethiopia and the Kingdom of Saudi Arabia, is pleased to advise that in relation to the Company’s Tulu Kapi Gold Project (the “Project”).
A General Meeting of Tulu Kapi Gold Mines Share Company (“TKGM”) has been convened for 14 February 2020 (the “Meeting”), to formalise the final and procedural sign-off of all matters required for the release of funds from ANS Mining Share Company (“ANS Mining”) to TKGM.
The subsequent transfer of the first funds from ANS Mining to TKGM is expected to occur following the Meeting. As previously announced, the total ANS Mining commitment is US$38 million with the first US$9.5 million (Ethiopian Birr equivalent) being unconditional and subsequent amounts in accordance with the conditions previously indicated.
The Company can also confirm that the Ethiopian Government continues its investment in the Project, including developing the off-site infrastructure and, on 14 January 2020, they authorised TKGM to proceed with the community resettlement process. Some community processes are already underway and these will escalate in line with Government-led preparations of host-lands and community.
Executive Chairman of KEFI, Mr Harry Anagnostaras-Adams, commented:
“As stated on 6 January 2020, certain procedural matters were required to close the executed Project equity subscription agreement. These have now concluded and as a result TKGM has called a General Meeting for 14 February 2020 ahead of the anticipated financial close with our private-sector partner, ANS Mining.
“The Company continues to make good progress on the ground and with respect to other important aspects of the Project.
“I look forward to updating the market in the near term on the conclusion of the subscription and also on further drilling and assay results from our ongoing drilling campaign in Saudi Arabia.”
Notes to Editor
KEFI is focused primarily on the advanced Tulu Kapi Gold Project development project in Ethiopia, along with its pipeline of other projects within the highly prospective Arabian-Nubian Shield. KEFI targets that production at Tulu Kapi generates cash flows for capital repayments, further exploration and expansion as warranted and, when appropriate, dividends to shareholders.
