KEFI resumes development at Ethiopia’s Tulu Kapi gold project after suspension
Work will restart in phases, beginning with electricity connections and access roads, following consultations with local communities, government representatives and other stakeholders`we
KEFI Gold and Copper plc has resumed development activities at its Tulu Kapi Gold Project in Ethiopia following a suspension imposed on September 7, following the Genji incident September 4, which left an employee fatally wounded.
The company said the decision to restart follows consultations with community representatives, Ethiopian and Oromia government leaders, relevant agencies and other stakeholders. Discussions focused on local community concerns, the localisation of operational activities and security arrangements.
In its announcement, KEFI outlined a phased approach to resuming development, beginning with the construction of electricity connection infrastructure and the remobilisation of teams to develop new access roads.
The next phase will involve replacing housing and land for community resettlement from within the mining licence area. This will pave the way for construction activities on the site, including the installation of security infrastructure, bulk earthworks for the processing plant and associated facilities, and permanent workforce accommodation.
KEFI also intends to prioritise local contractors with established track records in the region for fieldwork, working alongside its international mining specialists and contractors.
The company said its lenders had continued to support both KEFI and the project during discussions on revised development sequencing and associated funding drawdowns. It also reported increased expressions of interest from Ethiopian stakeholders, including local investors and construction companies.
Harry Anagnostaras-Adams, Executive Chairman of KEFI Gold and Copper, welcomed the support received from stakeholders and reiterated the project’s potential contribution to the local economy.
“If in production today, the Tulu Kapi Gold Project would be directly employing approximately 1,000 people from the local community and have provided new roads, electricity connection, education and health facilities along with new local industry which will have been catalysed to provide the large production operation with food and other supplies,” he said.
Anagnostaras-Adams added that KEFI was keen to explore opportunities to expand gold reserves and extend the project’s operating life.
“We have already invested well over US$150 million and our commitment is, and has always been, to be excellent corporate citizens for the long term,” he said.
He added that the company’s social and environmental plans were designed to meet international and local standards.
