KEFI targets 2028 production, says Harry A, as general meeting passes all resolutions
All resolutions have been passed at the general meeting held by KEFI Gold and Copper (KEFI ) yesterday.
The votes ran at roughly 85% for and 14% against, and accordingly the company will now issue the remaining portion of the shares allocated under its recent major fundraising.
The company is now fully financed for the construction of the Tulu Kapi gold mine in Ethiopia.
“The participants in the recent placing will own approximately 20% of the company on a fully diluted basis,” Harry Anagnostaras-Adams, KEFI’s chairman, told the meeting.
“Welcome aboard to all the new shareholders. You have joined us longstanding shareholders at a particularly important and propitious moment and we appreciate your putting your weight behind us.”
He referred to Tulu Kapi as “perhaps the highest grade-highest recovery, and therefore highest margin, gold development in Africa.”
The world, he said, is allocating more of its long-term capital into gold. “I believe that the current Middle East war only serves to reinforce this trend.”
The start-up of Tulu Kapi production is expected by mid-2028.
At a gold price of between US$3,000 and US$5,000 per ounce, average EBITDA in the first three production years is estimated at between £264 million and £520 million.
“We also aspire to having initiated early-stage progress on identifying the second and third potential Tulu Kapi's in Ethiopia,” continued Anagnostaras-Adams.
“We see parts of Ethiopia as being analogous to the gold rich parts of Western Australia, which has emerged in recent decades as a global minerals powerhouse. We will also progress our exciting critical materials portfolio in both Ethiopia and Saudi Arabia and in a manner which does not divert management or capital from our number one priority: Tulu Kapi.”
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KEFI’s shares took a slight dip on the fundraising and in the wake of the volatility surrounding the war in Iran, but the upward momentum has returned. The shares are now worth around twice as much as they were a year ago.