Ethiopia says US, EU, French teams helping analyse crash black boxes    Trump says US recognizes Israeli control of Golan Heights    Fitch upgrades Egypt's credit rating to B+    Vantage working on security procedures for Jerusalem trips    New investments of EGP 6.3bn injected in Egypt during February: MIIC    Nissan willing to support Egypt's automotive policy, make Egypt an export base in region: Senior VP, Chairperson for AMI region    Cabinet approves bill to combat drug addiction among state employees    White supremacists enter the fray    Tutankhamun goes to Paris    Disney closes $71B deal for Fox entertainment assets    Geography, history, future: Umbrella for Arab-African integration    South American bid favourite for 2030 World Cup: CONMEBOL    Egypt discusses plans with France's SYSTRA to build subway in Mansoura    Press Syndicate to give its opinion on SMC's sanctions list soon: Rashwan    Court sends 40 people to 3-16 years in jail for human trafficking    Alexander-Arnold out of England squad with back injury    Maguire is England's weak link, says Czech striker    Darts for all    To be continued    Greta    Egypt's squash hub    International Universities to start its next academic year in the New Capital    A Broken Window play is the latest at Taliaa Theatre, don't miss it    Mustafa Al-Razzaz's art is on show at the Gezira Arts Centre    Don't miss Asmaa Waguih's photography show at the AUC Photographic Gallery    Egypt's Parliament began national dialogue over constitutional amendments    Mohammed Ali Palace celebrates Mother's Day with royal jewellery exhibition    Google Doodle celebrates Egyptian poet Jamila Al-Alaily    National dialogue begins    New horizons    Christchurch terror    Another year for Syria?    Diaa Rashwan    Not German Christian Democrats    Witness to War and Peace: Egypt, the October War, and Beyond: English memoir of Al-Sadat's Cabinet    Russia warns of external interference in Algeria: Lavrov    Africa anticipates CAF Champions League, Confederation Cup quarter-final draws    Shoukry in Muscat for Egyptian-Omani committee    Egypt parliament provisionally approves bill on protecting personal data    Uganda releases 14 Egyptian expats after embassy intervention    Soda, sports drinks tied to higher risk of early death    Smartphone mindfulness app helps curb loneliness    Three killed in Netherlands shooting, police identify attacker    Right man for the right job    Op-ed review: Christchurch attacks, Press Syndicate's election    Borussia Dortmund's late, great victory comes with a warning    Irrigation Minister warns of water scarcity in Egypt    Egypt's Court of Cassation upholds verdict putting 169 Brotherhood members on terror list    







Thank you for reporting!
This image will be automatically disabled when it gets reported by several people.





"Global company to draft new terms to benefit from Egypt's mining wealth": official source
Ministry of petroleum succumbed to investors to amend terms of gold exploration
Published in Daily News Egypt on 22 - 02 - 2019

Indeed, neither the ministry of petroleum and mineral resources nor the EMRA were willing to state their stance concerning this tender.
But, an official source in the ministry of petroleum, who prefers to remain anonymous, unveiled to Daily News Egypt that the ministry is currently working on amending the terms of gold exploration, production, and sharing system, for the second time since 2017, in order to meet the demands of investors in this field. In addition, it was found that the terms really do not create a strong gold mining industry.
"The ministry and the wining companies opted to remain silent as by announcing the current terms in 2017 a massive debate was sparked concerning these terms, accusing them of hurting the gold mining industry in Egypt rather boosting it. The new amendments are drafted now following immense pressure from the wining companies and other investors in this field who called for other terms to enhance gold mine investment and protect investor rights," the official source said.
He stated that the ministry has succumbed to pressures, and currently reconsidered fresh proposals to amend Law No198 for 2014 that controls the mineral wealth in Egypt, and therefore the terms of gold exploration.
"Two main systems are under investigation now, the first is about taxes and the royalty system which allows the investor to explore and benefit from the concession production of gold. In turn, he is obliged to pay taxes and royalty with shares set by the government, and this is the system that is followed in all countries that have a gold mining industry, especially in Africa. While the second one is the total package system in which the investor gets a share of the mine production from the first day of work without bearing any expenses. Actually the ministry industry is seemingly inclined to apply the first one", the source unveiled.
In the same vein, according to the source, the ministry of petroleum has assigned a global company to prepare a new strategy to benefit from Egypt's mining wealth, including gold ore. Thus, the company is presently preparing a proposal that will set new rules of gold exploration and it is expected to finalise its work within a few months.
He also clarified that the second tender will be announced during 2019, after applying the new terms, to explore and extract gold ore in five concessions in the eastern desert.
"The delay in this regard harms the reputation of Egypt's economy, and sends a negative message to investors, especially since about $1bn will be invested by the four countries in the first phase of exploring only", the source stated.


Clic here to read the story from its source.