ADDIS ABABA –UK-based miner,KEFI Gold and Copper PLC, announced that it has offered Ethiopians a 30 million USD investment opportunity under its 500 million USD worth mining investment in Ethiopia.
Of the original 500 million USD required to finance its Tulu Kapi Gold Mines SC project in Ethiopia, KEFI and its consortium of international banks, contractors, and investors have collectively conditionally approved 470 million USD following a recent increase in proposed funding contribution from international banks to 240 million USD, up from 190 million USD, the company said in a statement sent to The Ethiopian Herald.
With this milestone, KEFI said it is advancing its commitment to facilitate Ethiopian participation by having invited local qualified investors to participate in the project’s remaining 30 million USD in accordance with the current capital market rules and regulations.
Ethiopian governmental entities, including the Federal Government and the Oromia Regional State, have already committed 20 million USD in the project as part of the assembled 470 million USD, it added.
“We have always been dedicated to fostering local ownership in Ethiopia. By having offered the last 6% of the 500 million USD, or 30 million USD, to Ethiopian investors, we’re striving to align with the country’s vision for economic inclusivity and strengthen our relationship with Ethiopian stakeholders. Formal expressions of interest have already been received and we now move to wrap up in accordance with Ethiopian regulations and practice,” said KEFI Executive Chairman Harry Anagnostaras-Adams.
KEFI’s innovative gold-linked investment structure is designed with Ethiopian investors in mind, offering returns in either gold or USD to hedge against inflation and currency fluctuations. Tulu KapiGold Project is one of the country’s first large-scale, locally inclusive investment opportunities. The project exemplifies KEFI’s goal to align with Ethiopia’s evolving capital market, providing local investors with unprecedented access to a high-value asset.The Tulu Kapi project is expected to generate substantial economic impact in Ethiopia, boosting export earnings, creating thousands of direct and indirect jobs, and elevating Ethiopia’s profile in industrial-scale mining. KEFI estimates that, by 2027, Ethiopian gold exports will surpass coffee and the country could emerge as one of Africa’s top 10 gold producers, a significant and rapid initial achievement in line with the country’s mining and export potential, according to the company.
BY STAFF REPORTER
THE ETHIOPIAN HERALD TUESDAY 12 NOVEMBER 2024
