Kefi venture awarded two exploration licences in Saudi Arabia

The AIM-traded firm owns 30% of G&M, with the other 70% held by its partner Abdul Rahman Saad Al Rashid and Sons (ARTAR).

It confirmed that two additional exploration licences - Jibal Hillit and Qunnah - had been awarded on an initial five-year term.

The licences had historically yielded grades of up to 15.3 grams of gold per tonne at Jabal Hillit and 46 grams per tonne at Qunnah, hosted in quartz veins.

Positive progress had been made, meanwhile, in discussions with the Deputy Minister for Mineral Resources relating to the Jibal Qutman Project.

Kefi said it expected a resolution in the current quarter.

“Work in Saudi Arabia is gathering pace on many fronts; our Hawiah Project is firmly on track for the delivery of the preliminary feasibility study by year end, we have exciting developments on the Jibal Qutman gold project and now the granting of these two additional exploration licences,” said executive chairman Harry Anagnostaras-Adams.

“The award of the exploration licences, which contain known high-grade gold occurrences, provides an exciting opportunity to make further discoveries at a time where the country is focused on developing its mineral resources.”

Anagnostaras-Adams said the expansion of the company’s regional exploration portfolio highlighted its “commitment to organic growth” and its “desire to discover and develop” additional assets in the highly-prospective Arabian shield.

“At Jibal Qutman, developments are particularly encouraging and should allow for a fast-track development schedule, targeting near term gold production.

“This marks the beginning of an exciting chapter for the G&M joint-venture partnership and continues to demonstrate our ability to operate as a leading explorer and developer within Saudi Arabia.”

At 1533 BST, shares in Kefi Gold and Copper were up 15.37% at 0.63p.

Reporting by Josh White at Sharecast.com.