Member Info for Simms45

Yes 100% from Harry that financial close will happen first. Placing is not happening as some shorters would like you to think. As a shareholder once they have completed the finance i would be more than happy to see Kefi raise for Hawiah and JQ as they might well be close to the share price but bear in mind some of the $221m financing will come in handy. We will certainly hit a good multiple of today by the end of the year. Kefi can instead reduce its stake in Hawiah but i would certainly hope we keep our irons in the fire at Hawiah fully.

Kefi CEO has managed to get the Minister of mines on the live webinar and his input is incredible. He stated regarding power progress is advanced and resettlement in January. To hear in from the minister of mines for Ethiopia is a major step forward and shorters cannot take pot shots as the government is detailing the exact works. This is a major coup for Harry.

Be sure to listen to Harry later today to go into more detail and hear it first hand where we are and watch out for shorters :

The Company will host its live quarterly webinar at 2pm London time on Monday 26 October 2020 which will be accessed via:
https://webcasting.brrmedia.co.uk/broadcast/5f914a85c4d0076f2b9449d3
Shareholders are encouraged to submit questions by emailing: questions@brrmedia.co.uk
The webinar will subsequently be available on the Company’s website at:
http://www.kefi-minerals.com/news/webcasts.

https://www.*************.net/kefi-gold-and-coppers-project-timetable-of-targeting-production-start-up-in-q4-2022-has-been-maintained/

As per recent RNS to confirm term sheets are signed.

“Non-binding term sheets signed to complete the US$221 million consortium for Project development funding”

We will get a sense on the live webinar in monday but expectations are that the binding agreements could be close as generally term sheets are a short hop from completion.

and just another small nugget from the report :

"The mine would be expected to generate average annual EBITDA of US$105 for open pit and in full production (open pit and underground mines combined), Tulu Kapi is expected to generate annual EBITDA of ~US$176m at US$1,900/oz gold."

At 65% that is more than enough to cover a dividend that could be close to todays share price in 3 years and when you look at the licenses we have such as the Guji Trend and Dina Trend it will probably mean Tulu Kapi will have an almost indefinite mine life as some of the historic drilling and sampling on these licenses are incredible.

The term sheet is a key document that Kefi has secured and Harry expects to close this quarter and still be on track for mine completing in Q4 2022.

While some shorters on this BB would disagree overall the Kefi share price has performed well and doubled in 6 months and while I appreciate it will be painful to close loss making positions with Spreadex when completion of funding happens this quarter Kefi is likely to double again and then some.

For those that knock Harry personally he is at the top table with the Ethiopian Government and Chairman of the International Progress Association for Mining in Ethiopia (IPAME)Government and that shows the respect he commands from people in the industry that matter and again supports that this project is well on the way to becoming binding.

"There is also huge value in being the first enterprise to develop a modern mine in Ethiopia. This
comes from the knowledge of how to navigate the process, and structure foreign investment, and
the deep relationships that have been built with government. This may well lead to KEFI becoming
the partner of choice for other foreign explorers active in Ethiopia. Notably, KEFI's Executive
Chairman, Mr Harry Anagnostaras-Adams, is also Chairman of the International Progress Association
for Mining in Ethiopia (IPAME)"

This is a great read and even the conservative NPVs are well into double figures. This is not even scratching the surface and if they used a lower discount rate as they probably should this would be much higher. I personally also think the capital costs are for more than they actually need but i think it is quite smart to borrow a little more.

"Combining the expected 65% stake in Tulu Kapi with its 34% stake in Hawiah, the company has a total attributable NPV of US$333m at US$1,800/oz gold. This represents 13.8p/share; the shares are trading at just 16% of this valuation. As these projects are further developed, the NPV is likely to rise. Doubling the size of the underground resource at Tulu Kapi and extending the underground mine life from 4 years to 8 years, and doubling the size of the resource at Hawiah, could generate an ‘Enhanced NPV’ of 19.5p/share."

Then if you factor in production at Hawiah and JQ and finding raising the resources of gold for TK from the newly minted 1000 KM2 license in the middle of gold country you know where this is going. 1000 km2 is a bit under the size of the entire Greater London region. Yes we do need the "non binding" to turn into "binding" but arguably we only need that to happen for the key investment partner. Read the report and make your own views and watch the webinar.

I would like to share your enthusiasm TP but the BOD would be obliged to release price sensitive information as it falls. If the Inner Mongolian contract was signed this should be released to the market or otherwise contractors by now would know about the deal and potentially carry out insider dealing and so forth. This is why all news must be released timely or it opens this sort of market abuse. The same can be asked why the share price fell 70% with no news. If you have this information from any particular direction would be great to clarify that. The actions of the BOD has infuriated a lot of investors unnecessarily and might be inclined to lick their wounds and sell. The BOD should have been keeping shareholders confident and up to date but their toxic actions to hide and not communicate will have also burnt any hope that they can build a strong Chinese and HK following. Similar thing happened in the UK sadly and they never learnt their lesson. There is hope there is going to be a miraculous change in their behaviour but they have had months now to spend a few hours fixing many problems with their websites but they have not. I would add that quite a lot of UK investors have been able to trade for many months in CNE including myself but some brokers are simply not managing the process professionally. We can hope CNE will listen to shareholders but we will see if they do up the ante once the last shareholders get their ability to sell again.

08:15:39 2.3834 1,132,269 26.99k

Took an hour to fill the order while MMs shake tree to maximise their profit margin. All coming together nicely and the reduction in partners is a blessing and i agree speed will be much faster as essentially it is one party who is the key one and the rest fall in behind. might be sooner out the gate than we expect.

All i can say is im freeing up cash and popping a few more in the pot. there is a massive backlog order book and some of those will come to fruition. Covid has stone cold killed the speed of deals. I have the council taking months to respond, waiting on the phone 45 minutes to speak to the bank. Imagine how this affects big deals involving planners, bankers, lawyers, consultants who are not able to meet and witness signatures. What took 1 week probably now takes 1 month and the system of deal making is only as strong as the weakest link. however what that does mean is all those deals discussed 6 months ago will be coming off the conveyor belt. I am seeing every traded company with considerable slow up in completing deals but they are still happening. its a fantastic company in a fantastic market at a famtastic market cap when compared to others.

22-Oct-20 16:52:06 2.355 3,500,000 Buy*

dust has settled and on we move

Frankly i am really impressed Harry has put together the 26th live webinar. It was clear to me he expected to nail all this but was before greater Covid restrictions rolled out. The question is How long does he consider the delay will be? He was largely forced by his own plan to have this completed by October so todays RNS has given us where we are at and personally i am comfident we are on the final tack. As we know todays RNS that has been checked and limited im what can be said but on the 26th i hope more details will emerge to estimate the newsflow and binding agreements being signed. Therefore we could less than month away from a substantial step if closure will happen in next 2 months. Given christmas my bet is a further RNS in November to solidify the deal and some early injection by the £1bn+ listed UK business who has every reason to make a sizeable return from arguably a small investment and be part of Ethiopias biggest export project. Plenty of brownie points i am sure will come their way with further Ethiopian deals. I am very confident we have the deal and sooner than some might think.

Also screams a bit of competition as well that is well needed. Calibre has too strong a hand in the toll negotiagion but if Mako entered the ring it could help seal a deal quicker. Mako would be very smart to solve substantial egg on face by telling shareholders they plugged the gap while they getting drilling going. Some land update i hope is coming early November but as far as i understand work can start on clearance and so forth as we own all land for the actual mine. I am sure the little old lady and the coop can be won over with carrot or stick as local jobs are slipping away over a few holdouts. Cant imagine the locals are loving the delay to job creation over these last few.

Certainly Harry will pick this up in the live webinar on the 26th and clarify any concerns but remember we still have £1.6m of drawdown on a loan that has not been used. Now is probably that time. Really wait until the 26th and i suspect a lot will be covered and plenty besides.

"On 5 August, KEFI announced the restructuring of its £4m working capital
convertible loan facility (of which £3.1m remained undrawn) into a new
£1.5m facility, with £1.6m of the original convertible facility still remaining
available to it. Importantly, neither the original loan facility nor the new
loan facility will henceforward have any security attached to them"

Just noticed Novacyt were running around 7p last October. Nice little 160 x earner. Any investors still holding all this time. Nerve of steel to hold and hats off to you if you have stayed the distance.

While we wait to find out from our shy BOD which of the many new projects have been signed as detailed in the IPO document (come on CNE it only takes an hour to draft a RNS to tell shareholders what projects are confirmed) Ethanol is almost at a 2 year high of 1.54 so it will help underpin confidence on the production side. Hopefully that will help throttle up a gear as the PRC push E10 forwards. But what the hell is wrong with the BOD who have yet to even issue 1 news update of any kind since moving to HK? The most baffling and unnecessary state of affairs that is complete market manipulation to keep the price down in my view. I am sure an upcoming AGM in HK will have some tough locals asking appropriate questions.

This was exactly the same paragraph i was reading. There is plenty of positives to takeaway and Harry has set himself for a lot of work over coming month to hit his target. I think the timeline is a lot shorter and more progressed and hopefully some of that will come out of the webinar. The big news for me and something Harry has aluded to but not seen in an official RNS is district play of a much larger operation. 190k ounces sounds good but if we look at that over 20-30 years with all manner or new gold targets being found this start to look very interesting. In period of Covid its as good a place realistically and that “confirmation” RNS and presumably many others in the coming month and into December will be explosive at each step.

"The improved gold price outlook and our negotiations over the past few months have switched KEFI's focus from owning 45% of a 140,000 oz p.a. operation to owning 65% of 190,000 oz p.a. operation, essentially doubling KEFI's beneficial interest in terms of net production per annum. The Ministry has reserved for KEFI its exploration rights to over 1,000 square kilometres of the surrounding land for exploration and we are confident that in due course we will significantly boost reserves from satellite deposits and further expand the mine life beyond the term of the current economic model. We see Tulu Kapi as a mining district and not just one or two mines.



"Our progress and the Project economics are ever more compelling for KEFI and its shareholders and I look forward to reporting further progress in due course."

Just a few days now to hear it from Harry exactly how transformative this is that cannot be put in an RNS that has to be fully checked. I have seen many mine finance deals but Kefis is probably the best i have seen if you look from Kefi shareholders perspective.

Its also incredible how Kefi investors are fully paid up for financing with no fund raise by using the $79m Kefi has already into works to get to this point. Not many gold companies do not experience a good deal of dilution but we are good to go. A $1bn UK listed company investing $40m is a small sum of money for huge returns so that is just a matter of getting over the Covid line.

As we know not only are we moving towards full production we have drawdown of £1.5m if need be. Plenty of cash. Harry has done an incredible job in difficult times when logistics are not easy but sealing the deal with a £1bn LSE listed partner is money pretty much in the bank and no delay to first pour on 2022. Shorters beware as i know margin calls can come at any time and plenty of time to close positions and join Kefi to full production and be part of a probable billion dollar company once Tulu Kapu, Hawiah and JQ are all producing.