Ethiopia and the MIDROC Gold Company have agreed to conduct joint exploration of more than 20,000kg gold mines in the country.

Under a 12-year agreement expected to generate millions of dollars, MIDROC will conduct gold exploration at a mine in Sakaro area in Oromia, Ethiopia, containing nearly 20,483kg gold mines.

MIDROC is expected to contribute $37m towards pre-development activities.

Over the past decade MIDROC explored more than 34,000kg of gold, with output supplied to global markets.

Ethiopia recently revealed it has nearly 40t of gold worth more than $2bn.