KEFI Gold and Copper plc (LON:KEFI) is an exploration and development company focused on gold and copper deposits, primarily within the highly prospective and under-explored Arabian-Nubian Shield.
Its assets include the Tulu Kapi project in Ethiopia (total JORC-compliant resource of 20.2Mt grading 2.65g/t Au) its 34% interests in the Hawiah VMS deposit and Jibal Qutman project (total JORC-compliant resource of 28.4Mt grading 0.7g/t Au) in Saudi Arabia, which is currently in the processing of updating its mining legislative framework in order to unlock its mineral potential and diversify away from its dependence on hydrocarbons. Since 2015, KEFI has updated the Tulu Kapi Definitive Feasibility Study (“DFS”) from a 13-year life of mine processing 1.2Mtpa to an 8-year life of mine processing between 1.9Mtpa and 2.1Mtpa.
This effectively increases potential average annual production from 96koz to 140koz. As such, the potential average annual net operating cash flow increases from US$50m to US$78m. The current 2020 plan comprises contract mining, plant design, supply and construction contracts as well as confirmations of commitment and schedule for roads and power. The implementation plans have been agreed on a base schedule of 24 months from financial close to first gold pour with incentive arrangements in place to encourage faster start-up. KEFI has been active in Saudi Arabia since 2008 and has partnered with ARTAR, a locally owned industrial group.
KEFI holds a 34% interest in Gold and Minerals Ltd (“G&M”) and is operator for both the Jibal Qutman and Hawiah projects. The former has a JORC-compliant resource of 733koz, of which 39% are oxides with a potential heap leach operation while the latter is a VMS deposit with a maiden inferred resource of 19.3Mt grading 1.9% Cu eq.