29th Oct 2019 13:52
(Alliance News) - KEFI Minerals PLC on Tuesday said it has received all necessary government approvals for the Tulu Kapi gold project in Ethiopia.
However, it is still waiting for "certain internal administrative matters" to be resolved.
Nicosia, Cyprus-based KEFI said partners and contractors are happy to get going with their own commitments at Tulu Kapi as soon as the government has sorted things out "in a manner which does not impede other shareholders' protections".
Meetings are taking place daily within the government, KEFI said. The issue is how the government manages its shareholding in Tulu Kapi Gold Mines Share Co.
KEFI's Executive Chair Harry Anagnostaras-Adams 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."
In September, KEFI said development work at Tulu Kapi would begin during October, aiming for full first production during 2021. KEFI forecasts 140,000 ounces of gold per year for the first seven years from the open pit.
KEFI shares were 2.8% higher on Tuesday afternoon in London at 0.72 pence each.
By George Collard; [email protected]
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