By: African mining market

KEFI Gold and Copper plc has now completed the ‘Early Works’ for the Tulu Kapi gold project in Ethiopia, clearing the way for full development.

Initial Major Works have also been certified as ready, it said.

The company has finalised its updated finance plan and financial model, which are being certified for inclusion in definitive documentation. Signing of this documentation is expected this month.

Its co-lending banks have approved an expanded US$240 million finance package.

One bank has completed board ratification, while the other is in the process.

Financial close is expected in September, triggering full project development with locked-down fixed-price contracts covering near US$1 billion in development and certain future operating costs.

“This transaction marks a first of its kind in Ethiopia; a bespoke syndicate of carefully selected parties operating within a structure designed to effectively manage risk,” said executive chair Harry Anagnostaras-Adams.

“Each syndicate member is a leader in its field, is committing for the long term and is fulfilling its role with exemplary professionalism.

“I thank them on behalf of KEFI and our shareholders, who I also especially thank for their patience and support for us preparing the project for this exciting moment.”