The KEFI Gold and Copper Plc (LON: KEFI) share price barely moved after the company released its quarterly operations update for Q1 2023. The company is completing the final arrangement to kickstart construction at its Tulu Kapi project in Ethiopia.
YOUR CAPITAL IS AT RISK. 76% OF RETAIL CFD ACCOUNTS LOSE MONEY.
The company confirmed that it had recently waited for several government clearances and the installation of security apparatus in the Tulu Kapi regions before starting the construction phase. KEFI reminded investors that it had updated the definitive feasibility study (DFS) to determine contract terms and costs.
Top Broker Recommendation
- eToro Top stock trading platform with 0% commission – Read our Review
- Tickmill Regulated by the FCA – Read our Review
- Admirals (Admiral Markets) More than 4500 stocks & ETFs available – Read our Review
- Spreadex Spreadex has been around for a long time – Read our Review
- IG Top-tier regulation – Read our Review
YOUR CAPITAL IS AT RISK. 76% OF RETAIL CFD ACCOUNTS LOSE MONEY
The gold and copper exploration company revealed that since its last update on 2 February 2023, the banks financing the project had been formally provided specific protections and benefits by the Government of Ethiopia. The protections were precedent conditions for the financing.
Investors muted reaction to the news was driven because KEFI is yet to kickstart the construction of the Tulu Kapi Gold project, which most people await. However, the company is much closer to the construction phase than in February.
KEFI noted that the Tulu Kapi project’s financing was conditionally in place, with the mining contractor committing $70 million to the project and debt and equity financiers providing the remaining $320 million.
The company is also done with many definitive agreements covering all aspects of the project and different parties involved, while those not yet complete are in the final drafting stages.
KEFI also updated the markets on its Saudi Arabia projects, the Hawiah Copper-Gold project and the Jibal Qutman gold projects, which are progressing quickly. The company is working on the definitive feasibility study for the Jibal Qutman gold project.
The company is currently conducting a 13,000-metre drilling campaign at Jibal Quatman, which will be completed in April 2023, aiming to upgrade and expand the current resource estimate of 733,000 oz to justify using the more expensive Carbon-in-Leach (CIL) process.
KEFI’s HAwiah Copper-Gold project is also progressing well. It has an estimated resource of 29.0 million tonnes (Mt) at 0.89% copper, 10.1 g/t silver, 0.67 g/t gold and 0.94% zinc after 54,439 metres of drilling.
*This is not investment advice.
The KEFI share price chart.
The KEFI Minerals share price fell 1.37% to trade at 0.72p, from Tuesday’s closing price of 0.73p.
YOUR CAPITAL IS AT RISK. 76% OF RETAIL CFD ACCOUNTS LOSE MONEY.