Aim-listed Kefi Gold and Copper has reported that the Phase 1 resettlement action plan (RAP) at its Tulu Kapi gold project, in Ethiopia, clearing the mining licence area for the installation of initial infrastructure, is well advanced, with 100% of compensation agreements now completed.

Preparations for the Phase 2 RAP, covering the openpit mining and plant areas, are now under way.

Kefi notes that project equipment procurement continues as planned, with more than 50% of major equipment already ordered or ready for ordering.

Principal contractors Lycopodium, Ethiopian Electric Power (EEP), Ethiopian Roads Administration (ERA) and BCM are now intensively mobilising personnel, subcontractors and systems on the ground. Physical construction, to date, comprises house-building for resettlement, installation of an electrical substation and the new access road.

Kefi executive chairperson Harry Anagnostaras-Adams says that, following the successful assembly of the Tulu Kapi financing arrangements for the openpit and process plant, the company’s focus is firmly on project execution and on closing the debt drawdown processes.

He adds that progress across community resettlement, plant procurement and construction subcontractor tendering is in line with schedule.

“We have developed strong working relationships with government, local communities and our international financing and contracting partners,” he says.

“While global markets have been volatile for our sector, in particular since the start of the Iran War, our implementation programme remains on track. We are well-positioned and we continue to work closely with all stakeholders to deliver Ethiopia's first modern, internationally financed gold mine,” he adds.

Anagnostaras-Adams says the company is also advancing development plans for self-funded production growth at Tulu Kapi and in the minority-owned portfolio in Saudi Arabia, and to establish a platform for a portfolio of projects across Ethiopia and the region.

The company says all key project milestones at Tulu Kapi are tracking on schedule, with commissioning targeted to begin in late 2027 for full production in mid-2028 from the openpit and process plant.

The company explains that development planning teams in Ethiopia and Saudi Arabia are focused on production growth in both countries which is intended to be self-funding and a re-assembled exploration team has started to evaluate and prioritise opportunities across now-familiar and highly prospective geological terranes in Ethiopia and the wider region.

Kefi has recently re-assembled a highly successful exploration team under exploration head Jeff Rayner, who has deep experience in Ethiopia.

The company says the team is now evaluating and prioritising opportunities both close to Tulu Kapi and in other under-explored but highly prospective areas. New opportunities will be judiciously advanced while Kefi prioritises construction at Tulu Kapi.