Business
Projections for Expanded Production
Projections for Expanded Production.
About this update from Kefi Gold And Copper Plc
[{"type":"text","content":"\n \nRNS Number : 0145V KEFI Minerals plc 31 October 2017 \n\n 31 October 2017\n \nKEFI Minerals plc\n(\"KEFI\" or the \"Company\")\n \n Tulu Kapi Gold Project - PROJECTIONS FOR EXPANDED PRODUCTION\nIncorporating refinements since the 2017 Update Definitive Feasibility Study\n \nKEFI Minerals (AIM: KEFI), the gold exploration and development company with projects in the Kingdom of Saudi Arabia and the Federal Democratic Republic of Ethiopia, is pleased to announce updated financial projections reflecting the recently announced plans to expand production. In the meantime, we continue to prepare for finance closing with mandated financier Oryx Management Limited (\"Oryx\") and the other consortium members the Government of Ethiopia, Ausdrill and Lycopodium. \n \nProduction plans have been re-cast and the average annual gold production in years 1-3 is estimated to expand from c. 115,000 ounces to c. 145,000 ounces per annum. At a flat $1,250/oz gold price, the payback period is about 3 years. This forecast is derived by management in consultation with its advisers and will continue to be refined as we approach start-up, during the 2018 operational readiness phase along with detailed engineering and procurement. \n \nSet out below are comparisons with the key outputs of the 2015 Definitive Feasibility Study (\"DFS\") and the 2017 DFS Update which were on an unleveraged basis. The latest estimates build in the impact of the planned finance structure and its leverage, reflecting the specifics of the Oryx detailed Heads of Terms (see announcement 17 July 2017). The latest estimates also ...