KEFI Minerals, UK’s Gold Exploration and Development Company requested Ethiopian government to raise its share in the new Tulu Kapi gold mine locality, according to The Reporter.

When KEFI Minerals signs large scale gold development agreement in April 2015 with the then Ministry of Mines, Ethiopian government’s share on Tulu Kapi mine was five percent. The gold mine project is being undertaken with USD 120 million.

Lately, KEFI has requested the government of Ethiopia to invest USD 20 million for infrastructure close to the Tulu Kapi gold mine and raise its share on the gold mine project. The infrastructure development projects may be road construction and electrification. In addition, KEFI has proposed an option for the government of Ethiopia to invest USD 20 million in cash and hold proportional shares.

Minister of Mines, Petroleum and Natural Gas Tolossa Shagi told The Reporter “It is not a bad idea. The government wants to have a stake on the project. But we need to discuss the proposal with the Ministry of Finance and Economic Cooperation and other government organs.” The Ministry does not make any decision, thus far, Tolossa added.

Source: The Reporter