The Egyptian Chemical Industries Company (KIMA), a subsidiary of the Chemical Industries Holding Company, and Al-Sharq Real Investment, an Egyptian company with Saudi investments, signed a contract on Thursday to operate and manage an electric arc furnace for the production of silico manganese alloys. Under the signed contract, KIMA entrusted Al-Sharq with the responsibility of operating, maintaining, and selling silico manganese alloys produced in compliance with international standards. In return, Al-Sharq has committed to paying KIMA $75 for each ton of silico manganese produced, in addition to 30 per cent of the value of by-products. According to the contract, the target production volume is set at 18,000 tons annually, with projected total revenues of $1.4 million for KIMA. Furthermore, the expected revenue from by-products is estimated at around $400,000 per year, bringing KIMA's total expected annual revenue to $1.8 million. Al-Sharq has also agreed to a guaranteed minimum annual payment of $600,000 to KIMA. Moreover, the agreement assigns the management and operation of KIMA's electric arc furnace, which has recently been rehabilitated, to Al-Sharq. The company acquired the manganese ore concession in the Abu Shaar area and conducted research to enhance and utilise the ore using the latest technologies. Notably, Mohamed Shimi, Minister of Public Business Sector, highlighted that the furnace had been out of service for five years and was rehabilitated at 53 million Egyptian pounds by the Egyptian Ferroalloys Co., also affiliated with the Ministry of Public Business Sector. This collaboration marks an important step in enhancing Egypt's mining and manufacturing industries, fostering economic development, and encouraging private sector participation in strategic industrial projects. Attribution: Amwal Al Ghad English Subediting: M. S. Salama
