Kefi Gold And Copper Plc

Good afternoon, ladies and gentlemen, and welcome to the Kefi Gold and Copper PLC Investor Update. Throughout this recorded presentation, investors will be in listen-only mode. Questions are encouraged and can be submitted at any time via the Q&A tab that's just situated on the right-hand corner of your screen. Please just simply type in your questions at any time and press send. The company may not be in a position to answer every question it receives during the meeting itself. However, all questions will be reviewed with responses published on the InvestorMeet company platform where it is appropriate to do so. Before we begin, I would like to submit the following poll, and if you could give that your kind attention, I'm sure the company would be most grateful. And I'd now like to hand you over to Executive Chairman, Harry Anagnostaris-Adams. Good afternoon, sir.

Good afternoon. Thank you, everyone, for joining. The format today is that myself and my two colleagues will make a brief update presentation And then we'll open the floor to questions. There are quite a few that have come through already, and we'll answer those. And any that come through subsequently, we'll try to get through as well. And as the introducer said, if we don't get through questions that we can answer during the webinar, post answers subsequently on the website. Without any further ado, the photo on the screen is that of the Tulikapi deposit. That's the hill. The deposit is inside. Our exploration camp is on that hill. When we arrived in Tulikapi as a company eight years ago, a very, very quiet, serene district. It still is. It always has been. But the country itself has been through some turmoil that I'm sure you read the media reports about last year when it peaked. It went from in travel advisory or travel rating language, It went from an almost completely green country, if you like low risk, to a red country last year when there was internal warfare in the north of the country, not to the copy, but nevertheless in the country. And now coincidentally with this webinar over the last few days, I gather a lot of advisers and some important ones have turned much of the country back green again, including this area. So, you know, the country has settled down, which is why a couple of months ago, the financing syndicate for the Tulikapi project resolved to get the closing procedures back in motion again, having allowed the country to settle down before mobilizing hundreds of people and hundreds of millions of dollars. That's a conventional disclaimer about forward-looking statements. Now, the reason I've put up this introduction of the directors and then of the senior executives is because on this occasion I'm introducing to the webinar a couple of senior executives that we've really formed the trio, if you like, on the front line, the three of us. And I apologise if you can't see us tonight, but we're all in different countries and I am the culprit of being in a location, in an outback location where the uploading of internet signal is very poor and it would destroy the effectiveness of this webinar if we were using video communication. So I've had to dial in via my phone whilst the others are on the internet. So I hope it all works okay. And I apologize that the video's not working as we speak. Anyhow, going back to the board of directors, there's two executives and two non-executive directors, myself and the finance director, the executives. The two non-executives, one Mark Tyler, former head of resource lending in one of the larger African banks. So quite at the forefront of banking for this sector and project financing for mining specifically. And Rich Robinson, who ran large organisations in the gold space, including the Goldfields Gold Group in South Africa. There are a couple of other non-execs who retired or resigned over the last year. And that created space for directors we expect to appoint as non-executives as some large institutional shareholders come onto the register. And we thought it was the right thing to leave those spaces vacant, if you like, to allow those parties to have a say in who gets nominated and appointed so that everyone feels duly represented. The executives, the senior executives in the company are myself and the finance director plus three. Eddie, who will speak shortly about Ethiopia. I'll let him introduce himself, but for good order, we've presented his summary CV here. And Brian, who will speak about Saudi Arabia. The two of them oversee those country activities from our side specifically and have some wider roles in the company, but that's 95% of their time is overseeing those two country activities from our viewpoint. And Norman who oversees and mentors the project development, project construction side. Norman's a world renowned plant overseer really, construction overseer particularly for the heavy industry infrastructure sectors, and we're fortunate to have him to mentor and oversee that side of things for the company. We'll keep this moving. I'll hand to Eddie now. Eddie, if you don't mind just introducing a little bit about who you are and your background, but then just giving a bit of a snapshot of how you see things in Ethiopia. As summarised in the slide, anything you care to add, and if then you wouldn't mind handing it to Brian to do likewise for Saudi Arabia. Thanks, Eddie.

Yeah, thanks, Harry. Well, as you've heard, my name is Eddie Solbrand. I started off in the mining industry in 1986. where I was engaged in optimizing drag lines on a coal mine in the Bowen Basin in Northern Queensland in Australia. Since then, I started a successful consultancy that was largely focused on mining and have worked for large and small mining companies all around the world. I've also been a company director in places like Australia, New Zealand, South Africa, UK and Thailand. And I joined Kefi as an advisor several years ago now, 2018. And I've come on since the beginning of this year full time to assist Harry and to work with Brian on moving both projects forward. So perhaps if I start chronologically, the point in the middle of the PowerPoint in front of you was the June meeting of the Tula Kapi Finance Synagogue in Cape Town. This was a very, very important meeting because all financial stakeholders were present, either in the room, and there were about 25 or so of them in the room, and another eight or 12 people online. It was also significant insofar as state minister for Mining Million was present with his policy advisor, Dr. Eob, and it gave the minister an opportunity to meet and listen to the various syndicate members, listen to their concerns, but also to see how they were supporting the project. The minister also listened carefully, reaffirmed Ethiopia's commitment to the mining industry, as one of their pillars of economic growth. It was one of those rare opportunities where you get ministers, contractors, financiers and other advisors to be in a room together and have wide-ranging conversations around the funding requirements of the project, budgets, inflation and conditions precedent. And as a sign of the commitment, a few weeks later, most members of this group that were required to sign the umbrella agreement and some important conditions precedent came out of the meeting, none the least of which was the need for security, and I'll touch on that a little bit later, and that both lending banks have the same rights and protections within Ethiopia. Now this latter condition precedent was quite an important one and very quickly the Prime Ministry itself got behind and supported this and has approved it. The documentation for this is now in its final stages of completion and that paves the way for project finance. A large hurdle there was cleared. The fact that it was completed so very quickly um shows support for the ethiopian government for this project and it certainly would not have been possible without support from the prime ministry support from the national bank of ethiopia support from ministry of finance and none the least the support from the ministry of mining um which leads me to talk about the cost endorsement and the ministry of mines Now, there's a process that we follow that was laid down by the National Bank of Ethiopia, whereby any costs incurred on behalf of Tulu Kapi needs to be audited and endorsed by the Ministry of Mine. Now, for various reasons, this first run has taken quite some time to complete. but the Ministry of Mines auditors have confirmed that the equivalent of 80 million US dollars has been spent on Tulacapi up until the end of 2020. Now, this forms part of our equity contribution, and this equity contribution has been endorsed by the Ministry of Mines and registered with the NBE. This is an ongoing process. We'll be going through this several times now, so we're going to get good at it mutually. But we're going through this audit endorsement process again for a further $5 million up until the end of 2021. Project launch. We've been working very closely with Constellis, a global security consultancy, and another global consultancy called SLR who specialize in ESG. to ensure that our plans for proceeding in accordance with the project timetable are sound, robust, and to make sure that we stay on the right track and give advice when we need it. Constellis, in their capacity as security advisor, regularly review our security systems and processes and have made recommendations on how to de-risk activities in and around the mine licence area. as well as in respect of logistics from the port to the mine licence area. Now, as everybody's aware, there have been quite some security challenges in Ethiopia in the last 12 months. And as Harry mentioned a little earlier on, the country is returning to normality. There are still some difficult pockets and as far as we need to work in or travel through those areas, we've designed very robust fit for purpose policies, processes and procedures which we've road tested in order to navigate our way through those areas safely. As a further commitment to our safety there, we've asked Constellas to constantly audit not only the systems, the processes and procedures we have in place, but also our compliance to them, and also to ensure that these are live documents, that they're constantly being improved and updated as we learn. As far as SLR's role in this project, it's the, as I mentioned earlier, the ESG advisor, but they'll be also leading the relocation and compensation part of resettlement part of our work, which is not insubstantial. One of their first steps, other than looking through our plans and working with us on planning this, has been to lead and conduct a series of relocation resettlement workshops in the middle of September with Tula Kabi staff. We've got various regional and local government representatives joining us in those, and as well as other stakeholders such as the Roads Authority and the Electricity company, EAP. As far as EAP goes, we're working very closely with EAP around this as well. They're supplying the electricity to the site from a town called Gymbie and we're mutually resolving overlapping problems that we have, any potential obstacles and planning to get electricity up and running according to schedule. so that all of us meet our respective milestones. In short, I'd say we've engaged very effectively with all of these stakeholders and are collaborating with them daily. We have one of our key people leading relationships up there at the moment from South Africa, who's up in Gymbie in our regional office, working with the ZERN administrators on the very matter of relocation. um and further on project we've now received updated numbers from our two main contractors and they're a significant portion of our costs going forward we've started evaluating these documents in detail and they are quite comprehensive there's a lot of technical detail in them which we're combing through and we hope to have those reviews sort of finalized in the coming weeks So in summary, I can say that the TKGM team in Ethiopia is moving ahead persistently, systematically, consistently with a safety-focused can-do attitude. So having said that, I'll pass over to Brian to talk about SOTI. Thank you very much.

Thanks, Eddie, and good afternoon, everybody. Thank you for taking the time out to attend and listen in to this webinar. I'm talking to you from our office in Taif, which is in the western part of Saudi Arabia. It's about a two-hour drive from Jeddah to get to Taif. The reason I like Taif is that it's... it's about a mile above sea level. So while the temperature in Jeddah today is 40 degrees, it's a cool 30 degrees here in Taif. Just in terms of by way of introduction, I joined with Eddie, I joined Harry in 2018 and I spent a year really helping to get things going in Ethiopia. And then at the end of 2018, Harry asked me if I would come across and take on the Saudi Arabian joint venture. And at that stage, I must be quite honest and say I knew very little about the country. So it's been a real journey for me. I arrived here really in January 2018 and had a team of five people. And I think that within three months, I was beginning to bang on the Kefi management door and saying, this is where the future of Kefi Minerals is. This is a stunning country from a geological point of view. The resource in the western part of the country has really not been tapped And, you know, we have a first foot advantage in this country, which is without peer. We now have the biggest exploration team in Saudi Arabia. And I can tell you that the last three and a half years have been pretty well for long. So we started with five people. Today we have 70. And projection is by the end of the year, we will probably exceed 100. And by the latter part of next year, we will have 500 people in the organization. So you can imagine that my challenges are not only on the technical side, but also in really building and hardwiring an organization. Very briefly, what we have today is two gold projects and an extensive exploration portfolio. We talked very briefly about the Djibbel Kutman project. Djibbel Kutman was really first put on the Golden Minerals radar in 2012. We did three years of exploration drilling before they changed the Mining Act. And at that stage, from a strategic and tactical point of view, exploration was closed down and our joint venture partner ATAR submitted a mining license application. Unfortunately, the ground is held by the government department or one of the ministries, and it's taken us five years of positive engagement between the Ministry of Industry and Mines and that particular ministry for us to be able to get access onto that property. That internal debate was really – went right up to the Royal Court, and the Royal Court has come down in favour of allowing us to re-engage and restart the Jubal-Kutman process. In the interim period, Jubal-Kutman, well, originally, you know, when we did the original PFS, the gold price was hovering around about $1,300 or $1,200 an ounce. Today, at $1,700 an ounce, this project looks vastly different. And on that basis, We took the original PFS document and we commissioned Lycopodium to start the DFS and I'm happy to say that that remains on track, although we're still having some challenges regarding access onto site, but those are rapidly being cleared away. We then will work through that and probably I need to take one step back in this one and say, as regards our licensing situation, Because there was this long hiatus between us submitting the mining licence application and where we are today, what has happened is that they launched the new mining act and they also upgraded and changed the environmental regulations. So in discussion with the Ministry of Mineral Resources, it was agreed that we would it agreed that we would first of all acquire an exploration license allowing us to get back into the area and once the exploration license had been cleared then we would then start with the mining license application. During the exploration license phase we will restart our exploration programs and we will also then start our environmental and social assessment, which will then need to get cleared by the Ministry. fully supported by the Ministry of Mineral Resources. And the minister, the vice minister himself, has this as one of the high priority projects in Saudi Arabia. Just to give you a perspective, Jebel Qutbman will be the third largest goldmine in Saudi Arabia and the first new goldmine in the next year. What we talk about the future of Jebel Qutbman is those exploration licenses, we will have three of them covering an area of 270 square kilometers. The original half a million ounce reserve that we are hoping to define in our DFS stage will obviously was based on an area of 23 square kilometers. So I'll leave you to do your calculations of how much, what the potential is of our 200 and or 270 square kilometers of exploration. So that's the Djibbelkotman project. It's a simple project. It's pretty much a straight gold plant, like a podium build. On average, one of these a year. There are obviously always challenges with these things, but they'll go ahead. The weir is a much more complex beast, but it's a much bigger beast. And we discovered this in 2019. In the end of 2019, we declared a resource of 19 million tons. A year later, we expanded that to 25 million tons. And I can assure you that this year we have continued in that trajectory and we will be completing our new MRE in the latter part of 2022. And I can assure you, as of today, it won't be 25 million tons. What we've then done is really started the PEA in 2019. We did our further work in moving the resource from an inferred to indicated category in 2021. And we have now commissioned our PFS. The PFS is on track. It should be delivered in December this year. as they say in Saudi Arabia, inshallah. And at that stage, we will then start considering whether we move through to a mining license application and we would then obviously hope to commission our definitive feasibility study in 2024. We're not in a terrible rush with Hawia, and for obvious reasons. First of all, we want to construct the Jubal-Cookman project. We will then have a full project team on site, and that project team will then move across to commence construction on the Hawia. So really our timing is everything on this one, we will then hopefully within the next two or three years have two major producing mines. The Huia project will be probably second to the Jabal Said base metal mine, the second largest base metal operation in Saudi. So if you sum those two up, my kind of back of the cigarette packet estimation at the moment is that we will be producing in the region of 200,000 gold equivalent ounces. Obviously, that would comprise about 18,000 tonnes of copper, about 12,000 tonnes of zinc in concentrate a year, plus 50,000 to 70,000 ounces of gold from our two projects. That's not the end of the story. I'm really blessed with an excellent exploration team. Let's say we've got three teams now working in the country and our exploration manager has been given the task that he has to deliver me another two projects within the next five years. So we hope that by the time we've finished with Hawia that we will have our third project up and running. But the endowment in this country is such that I have no doubt in my mind that there will be another mine in our doorstep. And closing off, I make one comment is that this is not, our journey has not been made possible or has been made possible by the support of our Saudi partner, ATAR. They are fully, fully committed. And if there's a message that I would offer to KIFI shareholders is that ATAR have the intention to build a genuine mining company in Saudi Arabia. And the challenge for Skiffy shareholders is to be able to keep the stake that we have in this company as it grows into the future. I think I've said enough, Harry, so I'll leave the rest to you.

Thanks, Brian and Eddie. Okay, in the same sort of spirit, condense the corporate update onto this one slide and then finish off with a couple of other summary slides. So today we have three development projects at slightly different stages, Tula Kapi, almost shovel-ready, Jibo equipment, perhaps by the middle of next year and how we are coming along behind that by a couple of years. between the three of them in two countries, both of which have turned on for us, both of which were, in a sense, retarding us inadvertently until last year. But now both of them have made large strides to either settle down their internal affairs as in Ethiopia, or to overhaul their regulations, as in Saudi Arabia. And they're both pushing us very hard to get going. So whereas, you know, 18 months ago, we were in a sense a one project company in one country, which was in a bit of turmoil, we're now a three project company in two countries that is quite settled and very supportive. The risk profile of that, is unparalleled within the history of this company. And obviously there are times when in a frontier market, when things happen outside our control, that can very seriously impact on us for the good or the bad. And to be in two countries now is a level of diversity on the one hand, but there's also quite a lot of synergy on the other hand, between the fact that there's this natural pipeline now coming through starting with one and growing to three projects, which between them will be the best part of half a million ounces gold equivalent a year. So this company is going into a very challenging but very potentially rewarding transformation into a development and production house, or what in the vernacular, if you like, of the global gold industry into a mid-cap producer. Now, in preparation for what's about to happen in Ethiopia, we made a raising earlier in the year, de-risked the balance sheet by repaying all liabilities, and here we sit with some cash in the bank and undrawn advanced facilities at our disposal. Our resource base has grown enormously. over the last couple of years for reasons that Brian essentially referred to for Saudi Arabia. And our market cap is very low given the sort of ratings that companies that are on the go in development would normally attain in the stock market. So as I express it, that as we de-risk our development progress and the stock market trader who sets the price at the margin can see that indeed three projects, or at least the first one is starting to come on stream. What would normally happen is that the natural de-risking that's taken place and is being observed would see those numbers escalate as the market cap moves with it. Now, our development plan was laid out in the EANA report. There's no fundamental change since the report, only a couple of months ago. I think one of the frustrations of the company, clearly, but it's also one of the strengths of the company, if I can explain what I mean by that, is that You know, if we wanted to run at our own pace, then we would raise all the money from our shareholders and spend all the money at our shareholders' behest. But obviously that's not what we're doing here. The vast majority of the capital that's going to be allocated to these projects for development is actually being project financed. And albeit that a lot of it is being project equity financed and equity financed up into the PLC, The fact is that Kefi's shareholders today are putting up very negligible part of the total budget for development. And what comes with that is the frustration and, frankly, the responsibility and obligation to properly manage as a good fiduciary a syndicate and have responsibilities to all syndicate members and do it properly and carefully for everyone's protection. I'm not making excuses, I'm just stating the reality that Kefi is not just managing on behalf of Kefi shareholders. Kefi is managing syndicates on behalf of partners and contractors, and some of those partners are amongst the most powerful, richest families in the world, or a government. So our duties are indeed very serious. Anyhow, the most important next step for us is the closing of the Tula Kapi funding package, which I know is probably prominent in many shareholders' minds, and it's certainly the most important next priority for the company. And it's fair to say that Jubal Kuman and Hawiya would be financed in a similar way, but in a sense, it should be more straightforward because the majority owner is certainly not reliant on outsiders or stock markets for capital. It's their own capital. But also the country doesn't rely on banks from outside the country to deliver project finance because there's no shortage of capital inside Saudi Arabia. So all the capital for the Saudi projects will by and large be sourced from inside Saudi Arabia. whereas nearly all the capital for the Ethiopian project has been sourced from outside Ethiopia. I'll keep moving. This is just a graphic illustration of the three projects in a sequence. And I won't dwell on the presentation, but it's just giving a schematic representation that there's the three of them moved through their timelines And you can already see that there's some synergies in the way we straddle the two. And you've got expertise being shared within the company. What we're doing is building, based on today's resources, based on today's resources as published in 2021, a nearly 500,000 ounce producer of gold equivalents, mainly gold, but a bit of copper as well. Now, I have no doubt that what Brian said is absolutely spot on. And there's no way that between 2022, 23, 24, 25, we're not going to keep adding resources. So that just under 500,000 ounce production projection based on 2021 resources will obviously be a different number and will grow as we grow our resources, as we work through our agendas over the next few years. The closing steps for the Tula Kapi project, which is the nub of the short-term critical milestone for the company. First thing to say is that between February and July, the country settled down sufficiently. for us to meet as a syndicate and make a decision to remobilise for closing. We were preparing for it previously and we suspended because of what happened last year in Ethiopia. And although it was very frustrating, and I'm not making excuses, but I would have to say that it's a good thing we didn't start last year from the point of view of protecting people and property. to be in construction in the middle of resettling families whilst a civil war broke out, albeit hundreds of kilometres away, would not have been a very comfortable position to be in. And as it's come to pass, those episodes of Ethiopia have passed. We certainly learned a lot from them, from things that happened to us as a company as well. We are a stronger company for it, if I may say so. And we're all the better informed, prepared and ready for going forward now. So in August, what did we do? We circulated the penultimate structure and model. Both banks approved to proceed on essentially the same terms. As Eddie says, a bit of ironing out to go, but it seems to be happening. The Costello Security Report essentially said that our plans and systems and policies and behaviors are fit for purpose, and we have to upgrade, obviously, as we proceed. We received our lead contractor's final pricing and terms. Over the last 10 days, we got the final one. And so we've rolled up our sleeves and the teams are crawling all over it and deep diving into it with our contractors to unpick anything we're not comfortable with or needs explanation and then to make sure we assemble in the right format that we're comfortable with. will be comfortable with. Then we'll seek board approvals. September will be the resolve of the final terms and pricing with these contractors. Agree the final consequential structure with the syndicate, principally the two lead financiers. Between them putting up $200 million of the package in debt and sub-debt and equity. Approving the final structure for all the boards. And there are about a dozen entities involved in this when you sort of add up all the different components of the syndicate and finalise all the documentation for financial close by the end of October. And following that, there'd be a stage disbursement schedule, equity flows first, and then the subject and then the debt. the debt wouldn't be needed probably until the second half of 2023, just based on the disbursement schedule. A small consolation for not being able to see this. I apologise again, but that's the photo of the three people who have been talking to you tonight. And I thank you for your attention. Now, we've taken 40 minutes for the introductions and the presentation. What I'd like to do now is to move straight into the Q&A, and there are a whole list of questions that were submitted as of yesterday, which were provided to us, which I can go through, and my colleagues will answer some of them. And then if time permits, I'll go to the ones that just lodged during the talking. And I'll try to keep it to about an hour, not to overstay our welcome. But anything we don't answer, we'll go through and assemble for the Q&A on our website. All right, the first question, what's the plan date for signing definitive agreements? And first draw down until a copy. Sign definitive agreements. The answer is to sign a definitive agreement at the end of October. You normally have some weeks or a month executing all the various settlement documentations and registrations in various departments and so on. And it can be quite bureaucratic in Ethiopia. Syndicate members will then provide funds into the equity funds into escrow accounts for their lawyers to check satisfaction of condition precedent. There's a large multinational with a local subsidiary that's subscribing convertible equity, convertible into KEFI, that's subscribing down in Ethiopia and has special permission from the government to convert into KEFI. It's a good deal for them because they get to repatriate some of their accumulated returns by investing into KEFI. And it's a good deal for us because they converted the VWAP three years hence. So it's not dilutive at today's prices. So quite a sort of unusual transaction, but all done with the blessing of the authorities because it suits both the country and the private parties involved. Institutional investors, we really do want to give the market the opportunity to digest what we've done when we signed these agreements because there are a large swag of warrants outstanding. And if the share price in the market trades at 2.4p or more, those warrants have to be exercised at 1.6p. And that brings out a significant amount of last brick in the wall type of capital to the project. But obviously we don't control the markets and the people I'm talking to on this call are more in control of the market than we are. And then of course, sub-debt and debt follows the equity piece. Given the fast tracking of Saudi Arabia, would it not be worth divesting a small part of Ethiopia and return some to shareholders by way of a special dividend? I mean, we're happy to consider anything that's reasonable in due course, but let's get it financed and built and worry about cutting up our spoils when we've actually achieved something and got the show on the road. What steps need to be undertaken to receive the Ethiopian expiration licence back in Kefki's hands? It's discernible by anyone in the public by going into the government website, and I know various shareholders have done this. I can see that licences that we'd applied for were granted to, or were purportedly granted to, hong kong shell company owned by british virgin island shell company which is a bit strange but what i can say is that um we have reserved our rights uh we will act on it um and to speak publicly of the tactics and that sort of thing is not really appropriate but let's first things first let's get the Let's get the mine in development and then sort out those issues later. But the other thing I would say is that, you know, without in any way dismissing the relevance of retaining access to satellite prospects around Tlacapi, clearly, by having been a bit stymied in Ethiopia over the last few years, I think one can hear in Brian's voice the reality that we certainly didn't waste our time. We got on and achieved things in Saudi Arabia through Brian and his team there that we should all take note of. We certainly didn't sit around twiddling our thumbs and crying in our soup over Ethiopia. Whilst we were tenacious and we protected the people and the assets, we put some serious exploration runs on the board in Saudi Arabia where we could run And we will do it in Ethiopia, but first things first. How will Kefi be reimbursed for financing TKGM alone since inception's cash or reduction of liability? How much is currently outstanding? I think there's a misunderstanding there. We haven't been financing TKGM to get money back from the project finance syndicate. We've been financing Tulekapi to develop Tulekapi and that's why we're getting 70% ownership of Tulekapi because we indeed financed us and because of the mix of shareholdings going in now. So I'm sorry if anything we've said has misled anybody inadvertently but we're certainly not We're not asking for the syndicate to pay us back our $80 million or anything. Rather than small intercompany accounts, there's no sort of passage of money back from the subsidiaries at this stage. Why did an umbrella agreement suddenly become required? It had never been mentioned in previous dispatches. Is it legally binding? Are there penalties for anyone wishing to pull out? Basically, the umbrella agreement was offered up by the syndicate to demonstrate to the Ministry of Mines that we're all very serious and acting in good faith. Clearly, the Ministry is under a lot of pressure and is applying a lot of pressure to us. And we thought it was the right thing to do for everyone to demonstrate, attest to and sign what the plan is and that they're all acting in good faith and what the conditions are. And they were all very clearly spelt out. And I must add, some of the conditions are there to be fulfilled by the government, not just by the private sector. This is the first bind to be developed for decades in the country, and many rules and policies have been overhauled to allow this to happen. And there's still some concerns and approvals and signatures to go, and they all need to be in place for the investment to flow. There's no penalty for people to pull out, only that they've wasted their time and money. I have yet to find a bank who will be penalised for not proceeding with a loan, but I'm happy to try it one day. Next question is, in the annual results, it said that the Ethiopian ministry is allowed until 8th of August, previously stated 8th of July, previously stated previous dates for project financing and launch commitments to be achieved. How could you have misread the situation so badly? The one thing I would say is the license is in good standing until 2035 and it's renewable for another 20 years. And I perfectly understand the company perfectly respects pressure being applied on it, but it will only go so fast as is safe and so fast as conditions that are normal are satisfied. And that's all we can physically do and the company has demonstrated its resilience and it has a good licence and it will defend its good licence. And I think the Ministry has demonstrated its support for what we're doing. Next question is, when do you think TKGM will receive first money from an entity other than KEFI and who will be depositing it? The government spent about half of its $20 million commitment I'm not sure exactly how much, but I know most of the electrical equipment for the power connection is in country now. It hasn't been fabricated elsewhere. The next big funds to flow are those that I mentioned earlier, the equity funds, which will flow after definitive agreements are signed. And I went through that a bit earlier, but the equity first and the debt would come last next year. And next one is, are you planning another placing before October? No, I'm not planning to do that. I think I said earlier, I mentioned earlier, that we raise capital early in the year. We de-risk the balance sheet, put cash in the bank, some of which are still there. and we've not drawn down any advances like we've done over some years now from very supportive shareholders who are there to provide working capital advances if we need them to reach a milestone like this closing that's coming up. Do we still have the licences? I think we've answered that. If the mining licence for Jibbel-Cookman were received today, how soon would Kefi's share of the financing be required? Brian, are you still online? Do you want to answer that? How soon would we need to put the development funds in for Jibbel-Cookman if we got the mining licence today?

Thanks, Harry. It's not a simple question because really we're in a a process now with the Ministry of Mines here. So as I said earlier, we're going to be issued with the exploration licenses, and there are just one or two administrative steps that we are still needing to clear on that. And then we will start really mobilizing. And that really begins this process of us starting the construction at Jibbelkutman, because one of the first things we're going to do is actually establish a permanent camp on site. So those things will have to be funded by the shareholders. in the early stage. And things that we put up are the early infrastructure. Bear in mind that this site is 40 kilometres from the main road. And so we will actually need to put in road links. We need to put in communication towers. We will need to put in a camp for people. And those are all part of the project which the shareholders will be funding. During that process, we have been assured by the Ministry that we will have the full support in moving to the mining licence application. And really the only thing that's outstanding on the mining licence application, quite frankly, is the environmental permitting, which has changed. So they're not there to judge whether this is a good project or not. It's just they're there to judge whether we've thought through all of the sides. And for them, the most important thing are the social and environmental considerations. How do we support the community? What's the value in the community? Bearing in mind that we will be creating around about 400 jobs at that mine alone. So those are the issues. And, you know, it's not that simple for us to say, you know, we will get a mining license and we'll start funding. The shareholders will really be starting to fund the moment our exploration license is given. I know that's not an easy answer to give, but that's the reality of it. This is work in progress rather than something about discrete steps.

Thanks, Brian. I mean, just to add to that, if the question is to do with when do you start funding the building, the construction, it would be if the mining licence were granted, you know, Q2 next year, you know, a few months later, that sort of time in the middle of next year or something like that. Next question. After the recent plating, Harry stated that one institution had taken a stake of 3%, or over 3%. Why has there been no TL1? What have they done with their shares? I understand that the shares were split between two independent institutions. I didn't know that would be done. I hope I told you what I thought. But apparently they were split between two independent institutions, and they must both be under 3%, or they would have lodged TL1s. And what they do with their shares, I know they're shareholders, but that's only because I stay close to shareholders. It's not truly their business, to be honest, but I know they're shareholders. The auditor's report said the company needed further funds in the current quarter to survive as a going concern. I think I've already said that we have cash and we're not drawing any facilities that drawn many times in past years with the management. The next one is I really fear for the share price, and there was quite a long paragraph or explanation why the shareholders are scared about the share price. I mean, I openly say it's a very challenging task we've taken on. A small junior explorer is transforming itself into a developer, and I'm not pretending. It's low risk. It's high risk. I believe it has high returns to go with it, and the valuations from any number of experts that have been published shows that. But it's only people who really have a tolerance for risk that can can sleep at night on these exercises because they are high risk. And when they work, they can be extremely lucrative. And we've taken on startup risk, exploration risk, development risk, to be followed by startup production risk in countries that are frontier markets for mining. You know, the quid pro quo is that we're first movers, we're early movers, and it's situations like this that can provide provide terrific returns if you can get a momentum going and flow with our successes. So hopefully we'll get the successes in the not too distant future. But I sympathize with the shareholder that I openly admit that it's risky and one should only go where one feels comfortable, to be honest. What do you say to long-term shareholders who've seen their shares decimated over recent years? Well, I say sorry, but we've done our best. KEFI has raised and spent over about $100 million in 16 years since its inception. Its intrinsic value is many times that. And it will grow and can see that quite easily in the projects we've got now. The share price is but a fraction of all that and obviously management has little influence on the share price. But we just keep our eyes squarely focused on what we have to do to run with these businesses now that we can run with them in these two countries. And the market has to be left to correct itself as it deems appropriate. It has been a tough journey and we hope that the milestones put on the table over the next months and years will justify the effort and patience. Next question, I was surprised by the potential awarding of cash bonuses last year were deferred to next year. And whilst I'm a long-term shareholder delighted if the share price jumps to 3P, more about cash and where's the money for the bonus coming from? I mean, this company will spend over, This company will control the spending, it won't spend it itself, but there's over $500 billion being spent in the first two projects. And salaries and bonuses to senior executives are a very small fraction of the money that's being spent. And I hasten to add, without making anything of it, it's just a fact, is that I don't know of any other company that's paid so much of its senior executive salaries and remuneration in shares rather than cash. I don't think the management could ever be accused of bleeding this company quite the opposite given how we've accepted shares instead of cash. it's very difficult i suppose as a shell to realize how much money is is looming to be spent because the company itself isn't putting up the 500 million but that's the money that's being spent on this project managed by this team um could you please share how constellas has helped kathy tackle the security and safety environment basically constellas is a global firm and their report is a comfort, not necessarily to management, although it is to management as well, but principally to the financiers, to give third-party verification that policies, procedures and so on are in the right shape. It's as simple as that. But their reports are very detailed, very lengthy, come from in-depth research in the country. and on the company and the country and the district and the site and the routes, and it allows the banks and others to do the handwork. Next question. Is the rebel group presence an activity and issue in the transport routes from Djibouti? Eddie, do you want to pick up on the security side? I should have handed it to you. I just got rolling. But any comments on the security you'd like to pick up on that one, the transport routes?

Look, if you look at the FCDO website, Djibouti right through to Le Kempt currently is very clear. So we don't anticipate anything there. These things are quite changeable, but we have a system of let me call it informants along the way, that give us day-to-day access, information of access to roads and routes. Detailed planning happens sort of post nekempt and going to site is really subject to day-to-day monitoring. We move when it's safe. If it's not safe or we don't perceive it to be safe to go forward, we sort of wait until it is so. And if you would ask me, is it a day or two, that's completely bearable. Ultimately, what I can say is that the site at Tulikapi, our camp there, has been safe during all the events you would have read about in the papers and seen in the news. It's been safe, it's been quiet. We've had about 30 local people working up there and we've now got one of our expat employees up there working as well. So to sort of talk about security, you really have to look at the micro environments that we're operating in and we plan those as best we can. But largely from Djibouti to fairly close to site is going to be reasonably straightforward. In that context, we're also talking to some major freight forwarding companies who have security procedures and systems of their own. We're collaborating with those. We share information with those. We share information with the Australian embassy. We share the information with the British embassy on security. So we're as informed as we possibly can be and quite comprehensively on a day-to-day basis.

Thanks, Eddie. In August 22, Javibal Katana was awarded as a licence. Any further details? Can you provide a map of our interests? Let me just say that there's a... I'll ask Brian to comment on that particular licence, but there is in our annual reports and PowerPoints, usually the recent ones would have it, a map showing where our areas of interest are so you can look them up quite easily. Brian, any quick comment on Jabirbal Katana? What are we going after there?

Jabirbal Katana is a gold project and that work followed up reconnaissance work in the or late 2016, where there were old ancient workings and surface grab samples of up to 50 grams a ton. So it's a gold project. And of interest to us is that the workings seem to kind of peter out at the edge of a harat, which is a flood basalt and, you know, The speculation from our point of view is that those structures may disappear under the Herat. And the Herat in that area is not particularly thick, you know, on average about five meters. So the possibility of, and this is a kind of groundbreaking area, if we can actually start discovering, you know, new deposits under the Herat, this will be a game changer in this country because at the moment there's no exploration licenses covering them. The question is, we've been in the country since 2019. There are over 5,000 known mineral deposits or mineral occurrences listed in the western part of Saudi Arabia. We have a intellectual property within the group, which is second to none. And we are constantly scanning the area for new opportunities. And if anybody here is listening, has been in the exploration game, they'll know that the way that you do it is that you look quite aggressively at these things, you take out licenses, but within a 12 to 24 month period, you should know whether it's going to work or not going to work. So the broader answer to the question is this is going to be an ongoing process. We have a team of five people entirely dedicated to regional exploration. That's five geologists, not counting the field staff. I see the next question on that, Harry, was about the Umabdemar license. And let me comment on that. Umabdemar license was we originally applied for in 2020. It was rejected and was now put up by the DMMR for auction. Tactically, it was agreed between ATAO and ourselves that ATAO would use its balance sheet to make sure that we became a qualified bidder. But let me assure all our shareholders, the ATAR-KEFI joint venture agreement is quite firm that any license, mining or exploration license, can be at KEFI or GNM's request transferred across to GNM. So it's not ATAR going its same way. It really is an indication of the close nature of our working relationship with ATAR.

Thanks, Brian. We've gone over the hour, but there's only a handful of questions to go. So I'll try to whiz through them. And anything we haven't answered that came in during the webinar, we'll have a look at in the next couple of days and post answers on the website. Next question. Are you thinking of a shared consolidation? I haven't thought about it. I don't think it's an issue. the share price rise that one would wish for as we do risk should put the share price in a good position. The umbrella agreement was an important step. Please share a roadmap and timescales. I think we've done that already. Could you explain financial close, normal stage schedule and procedures, explain what that means? There's a closing checklist that, I don't remember the number of items on it, but there's scores of tasks for execution by 12 parties. And there's a myriad of lawyers for all these parties and advisors. So there's a long list of issues, but that's not abnormal for a complex transaction of this nature. The thing that really we do highlight is anything material, any high level commercial precondition or material stumbling block like safety. We've always highlighted things that are material, of that nature. And how would I put it? For people to spend so much time and money working on closing a transaction, they all understand that there are opening of bank account procedures and registration procedures and all those things that have to be done. Those things don't kill a project. What kills a project are the material conditions that we do spell out in our releases. What is the price institution will be able to sell the warrants out into the market? You're referring to the warrants issued to institutions who subscribe to our placing. They're designed to bring in capital at an exercise price of 1.6p. and they bring approximately 14 million pounds of capital at 1.6p designed around playing the last brick in the world type role of the financing. And they must be exercised within 30 days if the share price is 2.4 or better. And if they're not exercised within 30 days, they lapse. They're not listed warrants. So they're not designed to be traded. They're designed to be exercised and then lost if they're not exercised, if that sort of drag forward price is triggered. They were designed really as part of the whole finance planning around tool copy. Thank you very much for your forbearance. I've covered the questions that were submitted up till yesterday and it's now around 10 after the hour and I'd rather stick to the discipline of keeping it to an hour or so. And we do undertake to look at the questions submitted during the webinar and to get back to you through the website info question and answer section. Thank you very much. And thanks Brian and Eddie for joining me. Sorry you had to sit there during my questions and answers and only had a few that were really specifically about those areas. And I hope it was worthwhile to shareholders and thank you for your attention. I'll hand it back to the platform manager.

Harry, Eddie, Brian, thank you very much indeed for taking the time to address all of those questions that came in from investors. And of course, Harry, as you kindly just mentioned, the company will have the opportunity to review all of the questions that were submitted today and will publish those responses where it's appropriate to do so on the Investor Meet company platform. Harry, you did just briefly do so, so I won't ask you for those closing comments. What I'll do now is I will redirect those on the call. to provide you with their feedback, which I know is particularly important to yourself and the company. So could I please ask investors not to close this session, as you'll now be automatically redirected for the opportunity to provide your feedback, in order that the management team can better understand your views and expectations. This will only take a few moments to complete, but I'm sure will be greatly valued by the company. On behalf of the management team of Kefi Gold and Copper PLC, we would like to thank you for attending today's presentation. That now concludes today's session, so good afternoon to you all.