City analyst John Meyer says KEFI Gold and Copper, the AIM‑listed developer of the Tulu Kapi gold project in Ethiopia, is tracking on or ahead of schedule.
Meyer, mining analyst at SP Angel, which rates KEFI as a 'buy', pointed to the mine developer's latest operations update which highlighted key appointments and other ticksheet items for the project.
Lycopodium appointed EPCM, the SAG mill is ordered, construction of 350 replacement houses started, 47km of powerline and new access roads under construction, and commissioning targeted for late 2027 with full production mid‑2028, the SP Angel analyst added.
The broker highlights KEFI’s funding move replacing a US$15m short‑term working‑capital facility with US$10m of equity‑ranking gold royalty from Mithril Royalties and US$5m of Ethiopian preference shares while leaving the original facility on standby.
Also, the analyst adjusts the valuation modestly to reflect the royalty and a marginally higher effective Tulu Kapi interest (~86%), leaving risked NAV at about ~$760m, whilst noting that a $240m senior debt drawdown is expected in 3Q26.
SP Angel flags potential "rerating catalysts" that the broker reckons should drive value realisation. In particular, it listed the completion of the relocation programme, first debt drawdown, start of bulk earthworks, plant commissioning and maiden production.
The 'Buy' recommendation comes with a 4.2p price target, versus a market price of around 1.2p.
