Ethiopia’s Tulu Kapi Gold Mine Nears Construction Following $340M Funding Boost
Early-stage works are underway, including staff housing, power connections and road access, as preparations intensify for full construction.
SEATTLE (Scrap Monster): Ethiopia’s long-delayed Tulu Kapi gold project has reached a critical milestone after securing approximately $340 million in development financing, paving the way for construction of one of the country’s largest gold mines.
The funding package includes about $240 million in long-term debt from African development finance institutions and roughly $100 million in equity, giving KEFI Gold and Copper the strength needed to advance into full-scale development.
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KEFI Executive Chairman Harry Anagnostaras-Adams said the signing of the Tulu Kapi debt facility by all relevant parties has triggered renewed activity at the site and enabled the finalisation of remaining equity commitments with local and specialist investors. He noted that gold prices support the project’s launch.
Early-stage works are underway, including staff housing, power connections and road access, as preparations intensify for full construction. Located 360 kilometres west of Addis Ababa, the Tulu Kapi mine is expected to produce 164,000 ounces of gold per year during its first seven years, with commercial production targeted for 2027.
The project is being developed in partnership with the Ethiopian government, which holds a carried interest and equity stake, supporting Ethiopia’s drive to strengthen foreign currency earnings.