TIDMKEFI
RNS Number : 0175D
Kefi Gold and Copper PLC
17 October 2022
17 October 2022
KEFI Gold and Copper plc
("KEFI" or the "Company")
Renewal of the Jibal Qutman Exploration Licence K/144
KEFI (AIM: KEFI), the gold and copper exploration and
development company with projects in the Federal Democratic
Republic of Ethiopia and the Kingdom of Saudi Arabia is pleased to
announce the renewal of the Jibal Qutman Exploration Licence
(K/144) in Saudi Arabia. This licence includes the previously
announced mineral resource of 733,000 oz which forms the basis of
the ongoing Definitive Feasibility Study ("DFS") and development
plan through Company's Gold and Minerals Limited ("G&M") joint
venture in Saudi Arabia. This renewal opens the way for the
commencement of field programmes and environmental studies,
necessary for the award of the Jibal Qutman Mining Licence. G&M
is owned 30% by KEFI and 70% by its partner Abdul Rahman Saad Al
Rashid and Sons Ltd ("ARTAR").
Highlights
-- 'Jibal Qutman' Exploration Licence (EL K/144) has been
renewed on a 5-year term covering 99.68Km(2) .
-- Field programmes including the construction of the pioneer's
camp, environmental baseline studies and geotechnical and
metallurgical diamond drilling, will now commence.
-- The 2Mtpa CIL (Carbon-In-Leach) DFS remains on target for
completion at the end of Q4 2022/early Q1 2023, with environmental
permits targeted for Q1 2023.
-- This licence gives the company access to a 270Km(2) 'Jibal
Qutman Exploration Area' which also consists of the recently issued
'Jibal Qutman North' and 'Jibal Qutman Southeast' exploration
licences, covering a significant portion of the highly prospective
'Nabitah-Tathlith' gold belt (see Figure 1 in the appendix,
accessible here:
http://www.rns-pdf.londonstockexchange.com/rns/0175D_1-2022-10-16.pdf).
-- G&M has at the same time, initiated discussions with the
Saudi Investment Development Fund (SIDF) surrounding project
funding to be finalised once the mining licence has been
awarded.
Executive Chairman, Mr Harry Anagnostaras-Adams, commented:
"The re-issuance of the Jibal Qutman exploration licence is a
critical milestone on the Jibal Qutman road to gold production. As
previously announced, this licence, which covers the main Jibal
Qutman resource area, will allow the exploration and project teams
to re-enter the site and complete the field work and testing
required to close out the DFS by the start of next year which will
then be used to support the mining licence application.
"The exploration teams are also excited to get back into the
field and start the process of expanding the existing resource at
Jibal Qutman and making new discoveries in this highly prospective
270Km(2) land package that has been created for KEFI's Gold and
Minerals joint venture."
Jibal Qutman Project Background
Geology and Exploration
As announced on 3 August 2022, the land access issues which have
delayed the start of the 733,045 oz Jibal Qutman Gold Project have
been resolved. As part of this process, it has been agreed that an
area of over 270Km(2) is to be granted, covering the original Jibal
Qutman Exploration Licence, plus a significant land package along
strike to the north and south (see Figure 1 in the appendix)
The maximum exploration licence ("EL") size permitted under the
2020 updated Saudi mining law are typically 100Km(2) , as such,
three licences are required to cover the complete exploration area.
All three of these licences have now been issued.
The Jibal Qutman North and Jibal Qutman Southeast ELs cover the
north and south strike extension of the main Jibal Qutman gold
system, which forms part of the highly prospective Nabitah-Tathlith
Fault Zone that runs north-south across much of the Arabian
Shield.
Ancient and more modern artisanal mining excavations are known
to exist within the licence areas and the G&M exploration team
is confident of its ability to significantly expand the existing
Jibal Qutman resource base. Thirteen grab samples of mine dumps in
the Jibal Qutman Southeast EL taken by G&M in 2014, returned
grades of up to 66.5 g/t gold, averaging 10.5 g/t gold across all
13 samples. Ancient mining appears to have targeted quartz veins
with dump material presenting as quartz with strongly banded
sulphides- these veins have not yet been identified in outcrop, as
the area is predominantly covered by alluvial/aeonian sands and
gravels. However, the quantity of dump material and the extent of
more recent artisanal mining are encouraging signs of significant,
sub-cropping continuation of the Jibal Qutman gold system. Grab
samples within the Jibal Qutman North EL area have returned gold
grades of up to 4.1 g/t gold, also associated with quartz
veining.
G&M exploration within the Jibal Qutman EL prior to 2016
focused on the 'Main Zone' trend, which presents as quartz veins
hosted within deformed volcanics and sediments. Shortly before the
end of this exploration phase, a second mineralised structure was
identified hosted within ultramafics on the eastern part of the
Jibal Qutman EL. This structure known as the 'Red Hill' trend is
yet to be fully explored and is open both along strike and at depth
within the Jibal Qutman resource area. Regional mapping has also
identified this structure within the adjoining Jibal Qutman North
and Southeast ELs, although at this stage it is untested.
Jibal Qutman DFS
Progress on the DFS continues, with Front End Engineering and
Design (FEED), plant layout and reserve definition nearing
completion. Metallurgical testing continues and preliminary
geotechnical design parameters have been agreed.
Whilst much of the DFS is being completed remotely, access to
the field is required to establish the baseline as part of the
Environmental and Social Impact Assessment (ESIA) and to complete
the final geotechnical evaluation of the proposed reserve pits as
well as metallurgical and comminution testworks. The issuance of
the Jibal Qutman licence will now enable these studies and drilling
programmes to be completed and at this stage, G&M believes the
project is still on track to proceed with financing and mining
licence submission in early 2023.
Market Abuse Regulation (MAR) Disclosure
This announcement contains inside information for the purposes
of Article 7 of the Market Abuse Regulation (EU) 596/2014 as it
forms part of UK domestic law by virtue of the European Union
(Withdrawal) Act 2018 ("MAR"), and is disclosed in accordance with
the Company's obligations under Article 17 of MAR.
Enquiries
KEFI Gold and Copper plc
Harry Anagnostaras-Adams (Executive Chairman) +357 99457843
John Leach (Finance Director) +357 99208130
SP Angel Corporate Finance LLP (Nominated
Adviser) +44 (0) 20 3470 0470
Jeff Keating, Adam Cowl
Tavira Securities Limited (Lead Broker) +44 (0) 20 7100 5100
Oliver Stansfield, Jonathan Evans
WH Ireland Limited (Joint Broker) +44 (0) 20 7220 1666
Katy Mitchell, Andrew de Andrade
IFC Advisory Ltd (Financial PR and IR) +44 (0) 20 3934 6630
Tim Metcalfe, Florence Chandler
Competent Person Statement
The information in this announcement that relates to geology,
exploration results and mineral resources is based on information
compiled by Mr Tomos Bryan, Exploration Manager for Gold &
Minerals Limited. Mr Bryan is a member of the Australasian
Institute of Mining and Metallurgy ("AusIMM"). Mr Bryan is a
geologist with sufficient relevant experience for Company reporting
to qualify as a Competent Person as defined in the JORC Code 2012.
Mr Bryan consents to the inclusion in this announcement of the
non-financial matters based on this information in the form and
context in which it appears.
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms
and conditions, to analyse how you engage with the information
contained in this communication, and to share such analysis on an
anonymised basis with others as part of our commercial services.
For further information about how RNS and the London Stock Exchange
use the personal data you provide us, please see our Privacy
Policy.
END
MSCMFBFTMTIBBPT
(END) Dow Jones Newswires
October 17, 2022 02:00 ET (06:00 GMT)
Kefi Gold And Copper (LSE:KEFI)
Historical Stock Chart
From Nov 2024 to Dec 2024
Kefi Gold And Copper (LSE:KEFI)
Historical Stock Chart
From Dec 2023 to Dec 2024
