KEFI Gold and Copper shares soared on Monday after the company said it was restarting development of its Tulu Kapi gold project in Ethiopia, lifting the suspension imposed after a fatal security incident last month.
The company had halted work in early September after a staff member was killed in an incident — the first in which any of its personnel had been injured or killed in some 12 years at the project.
Through collaboration with the local community and security services, KEFI has recommenced work at the project, which is estimated to have gold reserves in excess of 15 million ounces.
KEFI said it would now resume development in a phased, measured way, starting with electricity infrastructure and new access roads, followed by resettlement housing, then construction on the mine site, including security infrastructure and earthworks.
It said it would prioritise using local firms for field works, and that its lenders continued to support the project.
Harry Anagnostaras-Adams, Executive Chairman of KEFI Gold and Copper, said: “We are enjoying huge support from all stakeholders and are now restarting development with a phased and measured approach in which we reinforce the emphasis on safety and community benefits.
“If in production today, the Tulu Kapi Gold Project would be directly employing approximately 1,000 people from the local community and have provided new roads, electricity connection, education and health facilities along with new local industry which will have been catalysed to provide the large production operation with food and other supplies.”
KEFI Gold and Copper shares were up 29% to 0.78p at the time of writing.