Egypt seeks to increase its income from gold mines 6-fold

AngloGold Ashanti recently acquired Centamin, which was investing in the mine, and pumped new investments into the Egyptian mining sector.

During the meeting, the Egyptian Minister expressed his aspiration for a strategic partnership in the Sukari gold mine, and to increase the mining sector’s contribution to the Egyptian economy to up to 6 times its current contribution.

Badawi pointed out that the mining sector has great potential that makes it eligible for a greater contribution to the national product, similar to the experiences of many countries, explaining that its current contribution does not exceed 1% of the Egyptian national product, while there is an opportunity to increase it to between 5-6% over the years. In the medium term, by intensifying cooperation and integration, facilitating investment, and supporting mining ore processing industries.

The Minister affirmed the Egyptian government’s commitment to developing the mining sector, creating an attractive environment for investment in this sector, and providing great investment opportunities.

According to the statement, Marcelo Pereira da Silva, First Vice President of AngloGold Ashanti for the Latin America region, confirmed that investing in Egypt is a “great opportunity,” and that the company is seeking a successful long-term partnership in Egypt with the Sukari mine project.

Anglo Ashanti Gold Company, listed on the New York Stock Exchange, ranks fourth in the world in the classification of gold producing companies, and acquired about 83.6% of Centamin Company, which operates the Sukari mine, for $2.5 billion last month.

The Sukari mine has produced 5.8 million ounces since the start of work, while the mine’s production in 2023 will reach about 470 thousand ounces of gold.

Centamin Mining Company stated last March that the mine is heading to produce about 500,000 ounces of gold annually on an ongoing basis in the long term, with the end of a reinvestment program this year.

Source: RT

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**What are the expected economic benefits‍ for local communities following the AngloGold Ashanti acquisition of Centamin?**

**Interview with Dr. Ahmed ElSayed, Economic Analyst on the AngloGold Ashanti and ‌Centamin Deal**

**Interviewer:** Thank you for joining us today, Dr. ElSayed. Let’s dive ⁣into the recent acquisition of Centamin by AngloGold Ashanti. What⁤ are the key implications of this ‍deal ⁢for the Egyptian mining sector?

**Dr. ⁢ElSayed:**‌ Thank you for having ‌me. ‍The acquisition by AngloGold Ashanti⁤ is a significant step for both the company⁢ and the ‍Egyptian mining ‌landscape. With a deal valued at approximately £1.9 billion ($2.5 billion)⁤ [[1](https://finance.yahoo.com/news/anglogold-ashanti-buy-centamin-boost-161100174.html)], this move​ will likely enhance production capacity and bring increased​ investments to the region, especially in pivotal areas like the Sukari gold mine.

**Interviewer:** Speaking of the ‌Sukari gold mine, how does this acquisition align with the Egyptian‌ Minister’s aspirations for a strategic partnership there?

**Dr. ElSayed:** The Egyptian Minister has indeed expressed a strong desire for a collaborative approach ⁤to⁣ boost the mining sector’s contribution to the national ⁣economy. The acquisition presents a unique opportunity for AngloGold​ Ashanti​ to develop a ⁤robust⁣ partnership with the Egyptian⁤ government, which could⁢ lead ⁣to improved operational efficiencies and greater economic benefits for local communities [[1](https://finance.yahoo.com/news/anglogold-ashanti-buy-centamin-boost-161100174.html)].

**Interviewer:** In what ways could this partnership​ specifically‍ increase the mining sector’s contribution to the Egyptian economy?

**Dr. ElSayed:**‌ By investing in infrastructure, technology, and workforce training, AngloGold can help elevate the mining ⁢sector’s profile in Egypt. The goal is to tap ‍into the rich mineral resources while ensuring that more revenue ​is generated⁢ domestically. This could potentially increase the sector’s contribution to GDP significantly, aligning⁣ with the government’s strategic goals [[1](https://finance.yahoo.com/news/anglogold-ashanti-buy-centamin-boost-161100174.html)].

**Interviewer:** What ‍challenges do you foresee ⁤in‌ this new collaboration?

**Dr. ‍ElSayed:** While there are promising opportunities, challenges such as regulatory hurdles, environmental considerations, and community relations must⁤ be addressed. Ensuring⁢ that local communities benefit ⁢from these ‌developments is crucial for sustainable growth. ‌Additionally, navigating the complexities of international investments in the mining sector can‌ be challenging [[1](https://finance.yahoo.com/news/anglogold-ashanti-buy-centamin-boost-161100174.html)].

**Interviewer:** ‌Thank you, Dr. ElSayed, for⁢ sharing your insights on this important development in Egypt’s ⁤mining sector.

**Dr. ElSayed:** It was ​my pleasure!⁢ Thank⁤ you for having me.

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