Ahmed Kamel – Egypt Daily News
Egypt has taken a new step toward transforming its mining sector into a value-added industrial engine, following the signing of a memorandum of understanding between Egyptian state-owned entities and a major Chinese industrial group to develop and process strategic mineral resources.
Minister of Petroleum and Mineral Resources Karim Badawi witnessed the signing of the agreement between the Egyptian Mineral Resources Authority and its affiliated mining companies Phosphate Misr and WadiCo, and China’s Xingfa Group, one of the country’s largest industrial conglomerates. The memorandum focuses on studying and evaluating phosphate ore, quartz, and silica sand, with the aim of establishing an integrated industrial project in the Golden Triangle region.
The agreement builds on high-level discussions held last week and reflects Xingfa Group’s interest in making substantial investments in Egypt’s mining sector. Egyptian officials say the project could position Egypt as the group’s largest industrial and manufacturing hub outside China, particularly for downstream mineral processing industries.
Speaking after the signing ceremony, Badawi described the agreement as a new “success story” for Egypt’s mining sector, emphasizing that it marks a transition from preliminary discussions to concrete implementation. He said the cooperation will move forward according to a defined roadmap and clear timelines, underscoring the government’s commitment to accelerating mining investments.
The minister explained that the partnership aims to establish fully integrated mining projects, covering the entire value chain from exploration and extraction to advanced manufacturing. This approach aligns with the ministry’s strategy to maximize the economic return from Egypt’s mineral wealth by shifting away from raw material exports toward higher-value industrial products.
Badawi also highlighted the strength of Egyptian-Chinese relations as a key factor underpinning the project’s prospects, noting that political and economic ties between the two countries provide a solid foundation for large-scale, long-term investments, particularly in strategic regions such as the Golden Triangle, which the government has earmarked as a future industrial and mining hub.
The memorandum was signed by Lu Mingxing, deputy general manager of Xingfa Group; Yasser Ramadan, chairman of the Egyptian Mineral Resources Authority; Mohamed Abdel Azim, chairman of Phosphate Misr; and Amgad Ghoneim, chairman of WadiCo. The signing was attended by senior officials from the Ministry of Petroleum and Mineral Resources, as well as representatives of Axis, the Chinese group’s local partner in Egypt.
Egypt has been actively seeking to attract foreign investment into its mining sector as part of broader economic reform efforts, including regulatory modernization, licensing reform, and incentives for downstream industries. Officials view partnerships with global industrial players as critical to unlocking the full potential of the country’s phosphate reserves and high-purity silica and quartz resources, which are essential inputs for fertilizers, chemicals, glass, electronics, and renewable energy industries.
