The one stop source for breaking news, expert analysis, and podcasts on fast-moving AIM and LSE listed shares

Join ShareProphets at less than 2p per article

> All the big AIM fraud exposés

> 300 articles and podcasts a month

> Hot share tips

> Original investigations by our experienced team

> No ads, no click-bait, no auto-play videos

Find out more

Kefi - lifting of state of emergency in Ethiopia, good news BUY

By HotStockRockets | Tuesday 8 August 2017

Disclosure: Financial Investigative Media Limited, which is not owned by Tom Winnifrith but by a trust for his dependants, owns shares in companies mentioned in this article. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from ShareProphets). I have no business relationship with any company whose stock is mentioned in this article.

Kefi Minerals (KEFI) has its flagship operation, the Tulu Kapi gold mine ( to be) in Ethiopia. One by one the checklist of things needed to complete to get this mine into production has been dealt with.

Last month we had the really significant news that project financing is almost done. $135 million has been secured, as little as $20 million now needs to be found. That will not be a problem and does not mean dilution. So we can now really start to look at what Tulu Kapi is worth.

But today we checked one more item off the list. Kefi states that the Government of the Federal Democratic Republic of Ethiopia has announced the lifting of the state of emergency implemented in October 2016, following a vote in the country's parliament. Frankly this was not making much difference anyway. The world bank was still forecasting Ethiopia to be the world's fastest growing economy in 2017 in its latest edition of "Global Economic Prospects" published in June 2017. That is a pub quiz question we bet no-one would get right!

But it adds clarity. On Fundamentals Kefi is clearly worth a multiple of today's 4.75p-5.25p. Our stance remains BUY at up to 6.5p with a target to sell of 13p+

This article first appeared on HotStockRockets - to catch the next red hot share tip from the HotStockRockets team for just £5 click HERE

Filed under:

Never miss a story.

This area of the site is for independent financial commentary. These blogs are provided by independent authors via a common carrier platform and do not represent the opinions of does not monitor, approve, endorse or exert editorial control over these articles and does not therefore accept responsibility for or make any warranties in connection with or recommend that you or any third party rely on such information. The information available at is for your general information and use and is not intended to address your particular requirements. In particular, the information does not constitute any form of advice or recommendation by and is not intended to be relied upon by users in making (or refraining from making) any investment decisions.

More on KEFI


Comments are turned off for this article.

Site by Everywhen