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Kefi Gold & Copper PLC swung to a pretax loss in 2025, although it said it is now moving from development towards production and is positioned for strong future cash generation from its flagship Tulu Kapi gold project in Ethiopia. The gold and copper exploration and development company, which has projects in Ethiopia and Saudi Arabia, reported a pretax loss of £9.7 million for 2025, compared with a pretax profit of £1.2 million a year earlier. The swing to loss reflected a £533,000 fair value loss on investments, compared with a £6.1 million gain in 2024, alongside higher finance costs of £2.6 million from £2.4 million. Administrative expenses narrowed slightly to £6.0 million from £6.2 million. Kefi reported an operating loss of £6.7 million, widening from £3.6 million a year before. Executive Chair Harry Anagnostaras-Adams said 2025 was a ‘defining year’ for the company, marking the transition of its Tulu Kapi project from planning into execution. Kefi said it launched the full 27-month development schedule for Tulu Kapi in March 2026 after securing more than $400 million of funding, including $240 million of project finance debt, contractor commitments of around $60 million and over $100 million in equity contributions. Construction is now underway, with first gold production targeted for mid-2028. The company said Tulu Kapi hosts ore reserves of 1.05 million ounces and mineral resources of 1.7 million ounces. Based on gold prices of $3,000 to $5,000 per ounce, Kefi estimates the project could generate average annual Ebitda of $355 million to $697 million during its first three years of production. Kefi said the project’s net present value ranges from $1.1 billion at the start of construction using a $3,000 gold price assumption to $2.4 billion at the start of production using $5,000 gold. ‘These metrics position Tulu Kapi as a highly cash-generative project,’ Anagnostaras-Adams said, adding that even at $2,500 per ounce, operating cash flow is expected to exceed total project debt in the first full year of production. Looking ahead, Anagnostaras-Adams said Kefi is entering ‘a new phase centred on rapid progress and significant cash generation’. ‘Kefi has never been better positioned than it is today,’ he said. ‘The successful delivery of the next phase will mark a transformational milestone for the company and, we believe, the beginning of a new and rewarding period for our shareholders.’ Shares in Kefi Gold & Copper were up 0.7% at 1.15 pence in London on Monday afternoon. Copyright 2026 Alliance News Ltd. All Rights Reserved.
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