KEFI Minerals provides update on Tulu Kapi Gold Project
KEFI Minerals says financing plans on its Tulu Kapi Gold Project in Ethiopia remain on schedule for closure in October 2020 despite the COVID-19 crisis.
The 2020 Tulu Kapi Plan shows total funding needs of about $221 million, which is $21 million less than reported in the 2018 report.
A revised senior secured portion of $110 million reflects that in late 2019, KEFI selected a bank loan-based project financing proposal. The company has revealed that the selected proposal was from Eastern and Southern African Trade and Development Bank and Africa Finance Corporation.
The revised project level equity of $111 million - including subordinated debt and offtake facilities - includes expected contributions by the Ethiopian Government of $20 million, other Ethiopian investors of up to $38 million, working capital facilities of $28 million and by KEFI Minerals (Ethiopia) Ltd of $10 million - which is already being invested and the balance to be sourced from the proposed facilities.
