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, through intensifying cooperation and integration, facilitating investment, and supporting mining ore processing industries.

The Minister stressed 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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How will the acquisition of Centamin by ⁢AngloGold Ashanti influence foreign investment ⁢in the Egyptian⁤ mining sector?

**Interview with Dr. Ahmed Mansour, Economic Analyst and Expert ‌in Mining Sector⁢ Development**

**Editor**: Thank you for joining us, ​Dr. ⁤Mansour. Recently, AngloGold Ashanti completed its ‌acquisition of Centamin, which⁢ has significant implications for the⁤ Egyptian mining ⁢sector. Can you share your⁤ thoughts on how this merger will impact investments⁢ in Egypt?

**Dr. Mansour**: Thank you for having me. The acquisition of Centamin by AngloGold Ashanti is indeed a⁤ pivotal moment for the​ Egyptian mining industry. AngloGold Ashanti’s commitment, demonstrated​ through⁤ a $2.5 billion ⁣investment, signals ⁣strong confidence in the potential of ​Egypt’s mineral resources, particularly in⁢ the ‍Sukari gold mine, which is already one of the largest and most significant‍ gold producers in the country. This deal is ⁤expected to introduce advanced mining technologies and better practices, which can significantly boost productivity and efficiency.

**Editor**: Speaking of the Sukari gold mine, ‍during a recent meeting, the Egyptian Minister mentioned ⁤aspirations for a ⁣strategic partnership. What does this mean for the future of the mining sector in Egypt?

**Dr. Mansour**: ⁣A ‌strategic partnership ‍centered around the Sukari mine could lead to transformative changes in the sector. The⁤ Minister’s goal‌ to increase the mining sector’s contribution to the Egyptian ⁣economy to up to 6% is ‍ambitious yet achievable with the right partnerships and investments. Collaborating⁢ with established​ global players ​like AngloGold Ashanti can enhance not only operational ‌capabilities but⁣ also attract ⁢further investments into⁣ other potential ⁣mining projects across Egypt, which is rich in mineral resources.

**Editor**: How​ do ‍you⁢ think this acquisition ​could affect local communities and employment in the region?

**Dr. Mansour**: The ⁢investment⁣ by AngloGold Ashanti is‍ likely to create ‌new job opportunities and offer training for local ‍workers, which is vital for​ community development. A focus on sustainable practices could also enhance environmental ⁤compliance and⁢ social responsibility. However, it will be crucial for the company to engage with the ​local communities ⁢throughout this process to ‌ensure that the benefits are shared equitably.

**Editor**: what are ⁢some potential challenges that AngloGold Ashanti might ​face ​in ⁣this venture?

**Dr. Mansour**: One⁤ of​ the main challenges would be navigating the‍ regulatory landscape in Egypt, ⁢which ‌can sometimes be complex. Additionally, ensuring consistent communication with⁤ local stakeholders to build trust is essential. ‌There​ can be geopolitical⁣ factors as well, so AngloGold Ashanti⁣ must stay attuned to the⁤ regional dynamics⁢ that could impact their operations.

**Editor**: Thank you, Dr. Mansour, for your insights. It’s⁤ clear​ that⁤ AngloGold Ashanti’s acquisition of Centamin ⁤has ‌the ⁢potential to⁤ reshape the mining landscape‍ in Egypt significantly.

**Dr. ⁤Mansour**: My pleasure. I’m‌ excited⁣ to see how⁤ this unfolds in the ​coming months and ⁤years.

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