Kefi Gold & Copper Regulatory News (KEFI)

15 Jun 2009 07:00

15 June 2009 KEFI Minerals plc ("KEFI Minerals" or the "Company') AIM: KEFI £450,000 Equity Placing And Commitments for additional £140,000, subject to shareholder approval

KEFI Minerals, the AIM-quoted gold and copper exploration company, is pleased to announce it has successfully placed 36,000,000 ordinary shares of 1p each ("Ordinary Shares") at a price of 1.25 pence per Ordinary Share (the "Placing Price") (the "Placing Shares") to raise approximately £450,000 before expenses (the "Placing"), subject only to receipt of the placing funds and admission of the Placing Shares to trading on AIM.

The purpose of the Placing is to raise additional capital to fund on-going strategic initiatives and further exploratory work on its highly prospective exploration areas in Turkey and Saudi Arabia where KEFI Minerals is operator of exploration joint ventures.

Summary

The Company has identified a number of external placees to subscribe for 36,000,000 Ordinary Shares at the Placing Price.

The total number of Ordinary Shares in issue following the issue of the Placing Shares will be 224,079,580 Ordinary Shares.

Additional £140,000 Subject to Shareholder Approval

EMED Mining Public Limited ("EMED Mining") has informed the Company of its intention to subscribe for a further £100,000 worth of Ordinary Shares at the Placing Price; and Fox Davies Capital Limited has agreed to subscribe for £ 40,000 worth of Ordinary Shares (the "Additional Placing Shares") at the Placing Price conditional on the shareholder resolutions to be put at the Company's AGM on 3 July 2009 to give the Directors authority to allot further Ordinary Shares (the "Shareholder Resolutions") being passed.

The total number of Ordinary Shares in issue following the issue of the Placing Shares and assuming the issue of the Additional Placing Shares will be 235,279,580 Ordinary Shares.

Assuming the issue of both the Placing Shares and the Additional Placing Shares, EMED Mining will be interested in 67,332,914 Ordinary Shares, reducing its percentage holding in the enlarged issued share capital of the Company from 31.6% to 28.6%.

Admission

Application will be made to admit the Placing Shares to trading on AIM (" Admission") and dealings in the Placing Shares are expected to occur on 19 June 2009.

The Placing Shares will, when issued, rank pari passu in all respects with the existing Ordinary Shares in issue including the right to receive dividends and other distributions declared following their issue.

A further announcement will be made after the Annual General Meeting of the Company as to the admission of the Additional Placing Shares to trading on AIM.

Warrants

Fox-Davies Capital Limited ("Fox-Davies") is acting as broker and financial adviser in connection with the Placing. It has been agreed between the Company and Fox-Davies that, subject to the passing of the Shareholder Resolutions, they will be issued with a warrant to subscribe for 1,800,000 Ordinary Shares at the Placing Price, representing 5 percent of the total number of shares equal in value to all equity funds raised by the Company pursuant to the Placing. Such warrants will be exercisable for five years following Admission.

Speaking from his current exploration location in the desert east of Jeddah, Managing Director Mr Jeff Rayner said "We are appreciative of the ongoing capital markets support for our Company and are excited by the prospectivity in the Kingdom of Saudi Arabia where we recently launched our new joint venture with local conglomerate ARTAR. At the same time our field activities in Turkey continue to focus on our role as operator of the exploration joint venture with Centerra Gold of Canada".

Enquiries:

KEFI Minerals www.kefi-minerals.com

Jeffrey Rayner +90 533 928 19 13

Fox-Davies Capital

Oliver Stansfield +44 207 936 5220

WH Ireland Limited

Katy Mitchell +44 161 832 2174

Bishopsgate CommunicationsNick Rome +44 20 7562 3350Michael KinironsAbout KEFI Minerals

KEFI Minerals commenced trading on AIM in December 2006 and was formed with the aim of creating shareholder value through the discovery and exploitation of gold and copper deposits.

1. In Turkey, KEFI Minerals currently has nine exploration projects:

2. At Derinin Tepe, in the Western Anatolia Region, low-sulphidation

epithermal quartz veins have been identified with gold and silver

mineralisation.

At Artvin, in northeastern Turkey, extensive hydrothermal alteration and gold and base metal mineralisation have been recognised in the project area, as well as historical workings indicating potential for economic mineralisation. The Company's Artvin Project is held in a joint venture operated by KEFI Minerals and funded by Centerra Gold Inc. Centerra has the right to earn up to 70% interest in the property by spending USD$6 million over 5 years.

3. Bakir Tepe, in southwestern Turkey, is prospective for VMS polymetallic

deposits.

4. At Gumushane, in eastern Turkey, areas of extensive hydrothermal alteration

have been recognised in the project area, as well as coincident areas of

interest identified through interpretation of ASTER data.

5. Hasancelebi, in central Turkey, is prospective for high-sulphidation

epithermal gold mineralisation and Iron-Oxide Copper-Gold ('IOCG')

mineralisation.

6. Muratdag, in the Western Anatolia Region, is prospective for Carlin-style

epithermal gold mineralisation.

7. At Yatik, in the Western Anatolia Region, low-sulphidation epithermal

quartz veins with gold and silver mineralisation have been identified.

KEFI Minerals also has an extensive exploration database which contains information about approximately 100 further prospective sites in Turkey. This database provides the Company with a competitive advantage to identify prospective areas for project generation in Turkey. Monitoring of the exploration licence status of geologically prospective areas will be carried out on an ongoing basis so that KEFI Minerals can acquire further exploration opportunities as soon as they become available.

KEFI Minerals Plc has also formed a new minerals exploration joint venture - Gemco Limited ("GEMCO") - with leading Saudi construction and investment group Abdul Rahman Saad Al-Rashid & Sons Company Limited ("ARTAR"). KEFI Minerals is the operating partner with a 40 per cent shareholding of GEMCO with ARTAR holding the other 60 per cent.

GEMCO's primary target will be the discovery and development of a 1 million plus ounce gold deposit in the under explored Precambrian Shield in The Kingdom of Saudi Arabia.

EMED Mining has agreed to provide technical and administrative systems and personnel to KEFI Minerals on a cost-recovery basis, thus enabling KEFI Minerals to reduce overheads and spend more on exploring Turkey. KEFI Minerals' Board of Directors is comprised of Mr. Harry Anagnostaras-Adams (Chairman), Mr. Jeffrey Rayner (Managing Director), Professor Ian Plimer (Deputy Chairman) and John Leach (Finance Director).

Further information on KEFI Minerals is available at www.kefi-minerals.com and the Company's AIM code is "KEFI".