Business
Tulu Kapi Full Funding Package Assembled
Tulu Kapi Full Funding Package Assembled.
About this update from Kefi Gold And Copper Plc
[{"type":"text","content":"\n \n \n \n RNS Number : 3906J\n Kefi Gold and Copper PLC\n 23 August 2021\n \n \n \n 23 August 2021\n \n KEFI Gold and Copper plc\n (\"KEFI\" or the \"Company\")\n Tulu Kapi Full Funding Package Assembled\n Enlarged funding package structured to enable start of Tulu Kapi development at the end of the Ethiopian wet season\n \n KEFI (AIM: KEFI), the gold and copper 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 assembled the full funding package of US$356 million estimated to be required for the development of the Company's Tulu Kapi Gold project (\"Tulu Kapi\" or the \"Project\") by KEFI subsidiary Tulu Kapi Gold Mines Share Company (\"TKGM\"). This package is designed to fund all infrastructure, the start-up of the open pit mine and the initial development of the underground mine.\n Highlights\n \n \n \n \n \n · Tulu Kapi full funding package of US$356 million assembled\n \n ·Enlarged funding package now covers full development of Tulu Kapi, including initial underground development\n \n ·Financial completion through the signing of binding documentation and the launch of full development expected at the end of the Ethiopian wet season in October 2021\n \n · KEFI to retain c.70% interest in TKGM\n \n \n \n \n \n ·NPV* to KEFI of US$376 million (at current prices) or 12.6p per share for the Company's Tulu Kapi and Hawiah copper-gold projects\n \n \n \n \n \n * Net Present Value (\"NPV\") is internally derived using independently created financial models of net cash flows after tax and debt service discounted at 8% per annum, based on Definitive Feasibility Study (\"DFS\") for Tulu Kapi open pit gold-silver mine, Preliminary Economic Assessment (\"PEA\") for Tulu Kapi gold-silver underground mine and PEA for Hawiah underground copper-gold-zinc-silver mine. Metal prices assumed for the were prevailing spot market prices at 14 August 2021.\n \n Project Funding\n The signing of detailed binding documentation and the launch of full Project development is expected to coincide with the end of the Ethiopian wet season in October 2021. All equity and debt funding would be committed and binding upon signing, and subject only to normal conditions for such a transaction. Debt disbursement would follo...