KEFI Minerals gets approval for its Tulu Kapi Gold Project from Ethiopian Government

KEFI Minerals plc, the gold exploration and development company with projects in the Federal Democratic Republic of Ethiopia and the Kingdom of Saudi Arabia, is pleased to report that it has now received the key development and financing policy approvals for the Company’s Tulu Kapi Gold Project (the “Project”) from the Ethiopian Government.

Having received Project approval in 2015 (development, social, environmental and operational), KEFI’s Project company Tulu Kapi Gold Mines Share Company Limited (“TKGM”) has now received Ethiopian central bank approval for the Project banking arrangements, complementing its approvals of proposed balance sheet capital ratios and TKGM’s right to hedge the gold price.

Whilst the remaining required Government consents are important, they are all, in essence, implementation of administrative matters, which include the registration of actual audited historical investment, registration of the updated Project development plan for its latest refinements, approval of the finance-lease structure, finalised Project insurance policies and the various ancillary local permits that can only be granted upon TKGM taking possession of the Project land from all resettled households.

Managing Director, Mr Harry Anagnostaras-Adams said “The Government has certainly accelerated the pace in recent times as regards the various regulatory processes for this, the first modern mine development in Ethiopia. All major policy matters are now resolved for the Project. There is every sign that the just-appointed Government leadership at the Federal, Oromia Regional and local levels is focused on making this happen very successfully and smoothly. KEFI and its partners in Project Company TKGM are very appreciative of the priority given to the Project at the same time when so many transformational changes are being made in Ethiopia generally. It is an exciting time to be establishing a new sector in Ethiopia.”