The government of Ethiopia has expressed its intention to KEFI Minerals, the British company that it is willing to invest in the Tulu Kapi gold mine, according to The Reporter.

KEFI Minerals in a statement it issued last week said it has received a formal confirmation from the Government of Ethiopia of its intent to invest 15 to 20 million dollars in the Tulu Kapi gold mine. KEFI added the investment will provide the Government of Ethiopia with an equity interest in KEFI Minerals (Ethiopia) Ltd, a wholly-owned subsidiary of KEFI Minerals PLC, a gold exploration and development company of the UK.

Last April KEFI Minerals has requested the Government of Ethiopia to invest up to 20 million dollars on Tulu Kapi gold mine project.

Senior Ethiopian government officials have discussed the proposal submitted by KEFI and reached at general consensus on the significance of investing the project, Minister of Mines, Petroleum and Natural Gas, Tolossa Shagi, told The Reporter. “We agreed that investing on the gold project is useful for Ethiopia. We have expressed our intention to the company,” Tolossa noted.

According to KEFI, Roads, power and other associated infrastructure required by the project will be undertaken by the money Ethiopian government invested.

The Tulu Kapi gold mine, which is under development with an outlay of 120 million dollars, will have the capacity to produce 28,875kg of gold the next ten years.

Source: The Reporter