Kefi and Oryx had "mutually agreed" to part ways, according to the exploration company.

The  Jersey-registered firm Oryx had been lined up to organise a bond issue and operate and lease-finance the infrastructure at the Tulu Kapi gold project in Ethiopia, according to Kefi, although its expertise in these areas was not clear. 

The Ethiopian project, a quarter of which is owned by the country's government, will cost an estimated US$193 million.

Of this, $135 million would have come from an Oryx-arranged bond scheme.

Kefi said it would go ahead with the Luxemburg-issued bonds without Oryx.

"The structure for the development of the company's Tulu Kapi project will otherwise remain the same, with the other existing consortium members still performing all the various required roles as previously outlined," the explorer said.

Oryx was lined up to operate the plant as well.

Kefi CEO Harry Anagnostaras-Adams did not comment on the setback in the company's quarterly progress report, also released this week, but was bullish on the project's progress.

"During the next two years Tulu Kapi is to be built as a 140,000-ounce per annum gold producer," he said.

Kefi's shares have jumped 37% this week to £0.37 (US$0.51) per share.

This dramatic rise comes after a late November fall of 35% from over £0.40/share.