M a r k e t N e w s
UK based company Expands mining project to Africa
Posted on : Saturday, 20th June 2015
The Ethiopian government has entered a gold development agreement with UK-based gold mining company Kefi Minerals goldmine-pixabayKefi Minerals has conducted a feasibility study, which has revealed that there are 28 tonnes of gold. (Image source: Pixabay) Ethiopia’s minister of mine Tolosa Shagi signed the agreement with Kefi Minerals. The UK-based company will mine for gold and silver in the Gonji Area, located in the western Wellega Zone of Oromia Regional State, over a period of 20 years. The agreement marks the country’s second gold development for export, after the Adolla Goldmine, which is considered the oldest in the country.
Kefi Minerals has completed a feasibility study to show a reserve of 28 tonnes of gold. The open pit mine will generate projected revenues of US$1.06bn over a period of 11 years, of which US$120mn will be funnelled to the Ethiopian government in the form of royalties and taxes, according to non-executive chairman Harry Adams.
The UK-based minerals explorer is one among a growing number of foreign miners active in exploring and developing gold mines in Ethiopia.
Source : africanreview.com
