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(Sharecast News) - Kefi Gold and Copper said on Tuesday that Stifel had been appointed as financial adviser and joint broker, and would act as sponsor for the company's planned move to the Main Market of the London Stock Exchange.
The AIM-traded company said the move to the Equity Shares - Commercial Company segment of the Main Market was expected to take place in 2027.
Kefi also said all key milestones at its Tulu Kapi gold project in Ethiopia were tracking at or ahead of schedule, with commissioning still targeted from late 2027 and full production expected in mid-2028.
All principal contracts at Tulu Kapi have now been finalised.
Lycopodium had issued 14 detailed engineering packages to Kefi for final approval, while the semi-autogenous grinding mill, one of the highest-value and longest-lead items for the processing plant, has been ordered.
The community resettlement programme was under way, with land prepared and construction started on 350 replacement houses.
Kefi said bulk earthworks at Tulu Kapi would begin once the first phase of resettlement was complete.
Work had also started on the 47km electrical connection from the national grid to the project site.
Construction of the first of two substations is well advanced and all new towers have been delivered to the Tulu Kapi district.
Two new access roads were being built to connect the bitumen highway to the project site, allowing heavy equipment mobilisation for bulk earthworks and plant construction.
Kefi said detailed engineering, procurement and construction management packages with Lycopodium had been finalised, along with mining and earthworks contract packages with BCM Group for bulk earthworks, drilling and mining services.
The company also said it had strengthened the Tulu Kapi financing package by removing reliance on a short-term working capital facility.
Following the closing of the project equity capital package in March, Kefi said it had replaced $15m of short-term working capital funding with $15m of long-term subsidiary-level equity-ranking capital, without affecting project economics.
The replacement funding comprises a $10m gold royalty arranged with Mithril Royalties on the same terms as a previously signed $20m royalty with Chancery Royalty, but for half the amount of gold, and $5m of Ethiopian preference shares on the same terms as $6m already signed.
Kefi said Tulu Kapi's estimated net present value and cash flows remained consistent with previous disclosures, while the original $15m working capital facility would remain available on standby for additional flexibility.
Senior debt drawdown is scheduled for the third quarter, which Kefi said would minimise financing costs without affecting construction.
The company said the revised financing structure de-risked project execution, preserved upside for shareholders and gave it greater balance sheet flexibility during the ramp-up phase.
At 0904 BST, shares in Kefi Gold and Copper were up 1.32% at 1.16p.
Reporting by Josh White for Sharecast.com.
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