Mining company KEFI Minerals PLC (LON: KEFI) announced today that it had made progress in its efforts to gain the full set of approvals needed for it to proceed at its partially owned Tulu Kapi Gold mining project, but that “certain internal administrative matters” were yet to be resolved.
In its statement, the Company stated,
“KEFI confirms the receipt by Tulu Kapi Gold Mines Share Company (“TKGM”) of all the Government permits and independent consultants reports required for closing the Project equity financing and triggering the development of the Project. The only outstanding matter now is for the Ethiopian Government to resolve certain internal administrative matters.”
It went on to say that it had received assurances from its partners and contractors regarding their respective commitments to proceed as and when the government had ameliorated its internal administrative considerations in a way that, “does not impede other shareholders’ protections”.
The Company understand the importance of the Tulu Kapi project and the project’s status as a high-profile public-private joint enterprise. It added that it thought the project had the potential to be single largest export-generator for Ethiopia.
Keen to stress the country’s enthusiasm for the project, Minister for Mines and Petroleum of the Federal Democratic Republic of Ethiopia, Dr Samuel Urkato, commented,
“The Tulu Kapi project remains of the highest priority for the Government at all levels and that there is just one outstanding administrative matter, internal to the Government, which will be resolved shortly, so that the development may commence.”
KEFI Minerals comments
Harry Anagnostaras-Adams, Executive Chairman, said,
“Whilst it is disappointing we will not be able to close the Project equity funding before the end of October 2019, as we had previously envisaged, we appreciate the enormous importance of the Project to the Ethiopian Government and that they need to complete their internal processes. All stakeholders continue to work very hard and we look forward to this being resolved shortly so that the Project equity funding can be closed and development of the Project started.”
The Company’s shares have rallied 4.33% or 0.03p to 0.74p per share 29/10/19 14:01 GMT. The Company’s market cap is £6.03 million, neither their dividend yield nor their p/e ratio are available.
Elsewhere in the mining and minerals sector, recent updates have come from; Panther Metals Plc (NEX: PALM), Shanta Gold Limited (LON: SHG), Capital Mining Ltd (LON: CAPD), Griffin Mining Ltd (LON: GFM), Alien Metals Ltd (LON: UFO), Highland Gold Mining Ltd (LON: HGM) and Kavango Resources PLC (LON: KAV).