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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In what ways‌ could this deal potentially influence technological advancements and sustainability​ practices within the Egyptian mining sector?

‍**Interview with Dr. Fatima Saad, Mining and Economic Expert**

**Editor:** ‌Thank you for​ joining us today, Dr. ​Saad. Recently, AngloGold Ashanti announced its acquisition⁤ of Centamin for £1.9 billion, which seems to have significant⁤ implications⁣ for the mining ⁤sector in‌ Egypt. Could you start by explaining‌ what this deal ​means for the Egyptian mining ​industry?

**Dr. Saad:** Thank you for having me. The acquisition of Centamin by AngloGold Ashanti is a ‍pivotal⁣ moment for the Egyptian mining sector. Centamin, ⁣known for its Sukari gold mine, has been a key player in Egypt’s mining landscape. With AngloGold’s ‍resources and commitment, we‍ can expect increased investment in the sector. This⁣ acquisition could catalyze further development, leading⁣ to improved mining practices and possibly attracting⁣ foreign investments into​ Egypt.

**Editor:** It’s intriguing to hear ⁤that. The Egyptian Minister recently expressed a desire for a‌ strategic partnership concerning the ⁣Sukari gold mine. What could this partnership entail?

**Dr. ‌Saad:** The strategic partnership could focus on several key areas. Firstly, ⁢it may involve collaborative efforts in technological advancements to enhance mining efficiency ​and sustainability. Additionally, ‌this partnership might aim to bolster local workforce ‍training, ensuring that Egyptian workers are skilled to meet industry demands. Lastly, it could also include initiatives to increase ⁣the mining sector’s overall contribution to the Egyptian economy, potentially targeting a rise in its GDP share.

**Editor:** How do ⁣you see this acquisition impacting the⁢ local ⁣economy, particularly in ⁣terms of ⁣employment and investment?

**Dr. Saad:** This ⁤deal is likely to have a positive impact​ on local ‌employment. As AngloGold Ashanti ⁢invests in the Sukari mine and expands operations, it may⁢ create new job opportunities, especially for skilled labor.⁢ Moreover, the ‍increase in investment could lead to ancillary developments in infrastructure, hospitality, and⁢ services, further benefiting the local economy.

**Editor:** Lastly, what challenges do⁣ you think might arise from this acquisition?

**Dr.⁣ Saad:** While there are many potential benefits, challenges may include regulatory hurdles and‌ the need ‌for a transparent partnership framework between local‍ authorities and multinational companies. Additionally, it’s vital ‌to address environmental concerns associated with mining activities, ensuring​ that economic development does not come at the expense ‌of ecological sustainability.

**Editor:** Thank you, Dr. Saad, for your insights into this significant acquisition and its implications for ⁣Egypt’s mining ⁢sector.‍ This is certainly‍ a vital moment for the ‌industry. ⁢

**Dr. Saad:** Thank you! It’s always a⁤ pleasure to discuss the future of Egypt’s mining opportunities.

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