KEFI Gold and Copper is an exploration and development company with three projects focused on the Arabian-Nubian Shield – namely, the Tulu Kapi project in Ethiopia (projected 70% interest) and the Hawiah and Jibal Qutman projects (both 25%) in Saudi Arabia.
In the wake of its March equity fund-raising, we calculate that KEFI is capable of generating free cash flow of c £82.3m pa from 2027–32, driving average (maximum potential) dividends of 0.59p/share and valuing the company at 2.21p/share. At spot metal prices however, this valuation rises to as high as 5.58p in FY27 (plus c 1.95p/share for Guji-Komto).
Metals & Mining |
Update
Metals & Mining |
Update
Metals & Mining |
Flash note
Metals & Mining |
Flash note
Harry Anagnostaras-Adams
CEO
Jeff Rayner
Managing Director
laki Catsamas
Group financial controller
Forecast net debt (£m)
1.5
Forecast gearing ratio (%)
6
% | 1M | 3M | 12M |
---|---|---|---|
Actual | 37.88 | 27.94 | 16.78 |
Relative | 37.35 | 24.48 | 19.8 |
52 week high/low | 10.9p/4.1p |
Since 2022, KEFI Gold and Copper has experienced a turnaround in its working environments in both Ethiopia and Saudi Arabia. As a result, it is now making progress with all three of its projects, with stakeholders at Tulu Kapi, in particular, now triggering their flow-on processes after the lead lender processed its loan approvals in December. Full project launch and funding drawdown remain on track for H124 ahead of production in late 2025. In the meantime, KEFI has completed a pre-feasibility study at Hawiah and is working on a definitive feasibility study and a mineral resource update at Jibal Qutman (both in Saudi Arabia).
Y/E Dec | Revenue (£m) | EBITDA (£m) | PBT (£m) | EPS (fd) (p) | P/E (x) | P/CF (x) |
---|---|---|---|---|---|---|
2021A | 0.0 | (2.3) | (3.4) | (0.2) | N/A | N/A |
2022A | 0.0 | (2.7) | (3.3) | (0.1) | N/A | N/A |
2023E | 0.0 | (3.0) | (3.5) | (0.1) | N/A | N/A |
2024E | 0.0 | (1.0) | (11.4) | (0.1) | N/A | N/A |