Nyota Minerals, engaged in gold exploration in Ethiopia, announced that it had received 1.3 million Pounds from the International Finance Corporation.

The company is expecting to use the investment from the IFC to support its Tulu Kapi project according to its announcement last month.

The company which is focused on gold exploration in Africa and development has also received consideration for 21.7 million new ordinary shares at 6p each.

The project initiated in collaboration with Wardell Armstrong International is intended to convert an additional 260 thousand oz of Inferred resources to Indicated status before the end of the fourth quarter of the current financial year.

The program is expected to help the definitive feasibility study and confirm the mine's ability to perform for at least ten years. Exploration is gaining momentum as technical personnel and drill rigs have become available in the aftermath of completing the engineering and hydrological programs as part of the DFS said Richard Chase, Chief Executive of Nyota.

The current exploration program is progressing well and it is expected that a first reserve calculation will be revealed in the coming weeks as soon as all the elements of the DFS are finalized he said.

Mining efforts will concentrate on emphasizing the drilling of new resources derived from multiple targets broadly defined within a 20 km radius of Tulu Kapi with short term emphasis on a 5 km radius.

Source: miningweekly.com