Egypt’s Mining Ambition: From Local to Global, Prioritises Value-Added Projects
The Ministry of Petroleum and Mineral Resources actively prioritizes value-added projects in Egypt’s mining sector. Meanwhile, the government aims to transform the country into a regional mining industries hub, as announced in a statement.
Maximising Egypt’s Petroleum and Mineral Wealth
Minister Karim Badawi prioritizes Egypt’s mining, emphasizing value-added projects and maximizing local wealth utilization. Additionally, he expands projects, producing world-class products competitive in international markets, securing foreign currency.
Transforming Egypt into a Regional Hub
Minister Badawi strives to transform Egypt’s mining into a regional hub, leveraging advanced infrastructure and a distinct geographical location. Next, he accelerates efforts to develop the mining operations, a pivotal component of the sector’s focus within the Ministry’s operational strategy. Additionally, this initiative includes transforming the Mineral Resources Authority into an economic entity, aiming to boost the sector’s GDP to 5% or 6%.
Misr Phosphate Company: Leading the Way in Phosphate Ore Production and Exports
At Misr Phosphate Company’s General Assembly, Mohamed Abdel Azim, Chairperson, presented fiscal year 2024’s financial results. Subsequently, he detailed Egypt’s Mining company’s fiscal year 2024 performance indicators. Moreover, he emphasized the company will actively explore, prospect, and invest in phosphate-rich areas. Furthermore, it will secure necessary licences for exploration and exploitation in various zones.
Key Performance Indicators and Financial Results
Misr Phosphate Company has become the leading exporter of phosphate ore, accounting for 50% of Egypt’s total phosphate ore exports. The company also supports the domestic market by supplying all locally required grades of phosphate ore, facilitating raw material processing, and maximising the added value of Egyptian resources. According to 2024 statistics, net sales from its operations in Abu Tartur, the Red Sea, and Al Sebaiya reached EGP 7.9 billion increase, a 149% compared to the previous year. Profit after tax amounted to EGP 3.3 billion in fiscal year 2024, representing a 194% increase from the prior year.**
Value-Added Projects: The Future of Egypt’s Mining Industries
MP Company spearheads value-added projects, including a 24% equity stake in establishing a phosphoric acid production plant in Egypt’s mining hub, Abu Tartur area in the New Valley, investing approximately $640 million. Moreover, Misr Phosphate partners with India’s Indorama to create a joint venture for a phosphate fertiliser plant in Ain Sokhna area, investing around $500 million.
Institutional Development and Community Services
In full coordination with the Ministry of Petroleum and Mineral Resources and EMRA, institutional development is pursued. Next, they advance exploration techniques, enhance production activity performance, and develop human resources. Furthermore, they support decision-making processes and integrate information. This direction focuses on value-added applications, maximising economic returns from phosphate ore in Egypt’s Mining sector. Misr Phosphate Company drives this progress.
Egypt prioritises value-added projects, maximising phosphate ore exports, and transforming into a regional mining hub. Next, Misr Phosphate Company leads phosphate ore production and drives growth. This growth contributes to Egypt’s economic prosperity, with the mining industry playing a significant role. In Egypt’s Mining, phosphate ore exports are crucial for economic development.
According to a report by the International Energy Agency (IEA), Egypt’s mining sector is expected to grow by 10% annually between 2025 and 2030, driven by increased investments in value-added projects.
The Ministry of Petroleum and Mineral Resources has announced plans to launch a new mining strategy in 2025, which will focus on increasing the sector’s contribution to Egypt’s GDP to 10% by 2030.
Source: Daily News Egypt