Egypt signs $2.5m gold exploration contract with Canada’s Lotus Gold Corporation

Daily News Egypt
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The Minister of Petroleum and Mineral Resources, Tarek El-Molla, and the Canadian Ambassador to Cairo, Louis Dumas, witnessed the signing of a gold exploration contract between the Egyptian Mineral Resources Authority (EMRA) and Lotus Gold Corporation, one of the largest Canadian mining companies. The contract covers three sectors with a total area of 525 square kilometers and investments of $2.5m, according to a statement issued by the Ministry of Petroleum on Sunday.

The contract was signed in Marsa Alam city by Yasser Ramadan, the head of the Mineral Resources Authority, and Omar Abdel Nasser, the regional manager of Lotus Gold Corporation, in the presence of Michel Silver, the company’s general manager.

The statement said that Lotus Gold Corporation participated in the first and second rounds of the global gold bid No. 1 for the year 2020, which was launched by the Ministry of Petroleum under the amended mineral wealth law. In the first round, the company acquired seven sectors with an area of about 1,219 square kilometers, for which the exploration contracts were signed and delivered to the company in the fourth quarter of 2021, after fulfilling all the necessary approvals and conditions. In the second round, the company obtained the three sectors that are covered by the contract that was signed.

Before the signing ceremony, El-Molla met with the company’s delegation, which reviewed the progress of work in the first phase of the exploration sectors.

The Minister of Petroleum also held meetings with officials from two other companies that participated in the global gold bid: AKH Gold and Ibdaa Gold. He discussed with them the status of their exploration activities and their plans.

AKH Gold secured four exploration contracts in various regions in the first and second rounds of the bid, while Ibdaa Gold obtained one exploration area of 105 square kilometers in the Jabal al-Shahimia area in the Eastern Desert in the first round.

El-Molla emphasized that Egypt, having successfully amended the mineral wealth law, issued its executive regulations, and conducted global bids under the new law, has attracted diverse investments. He said that the country is working to establish a sustainable mining industry with modern technologies and advanced facilities in partnership with reputable entities. He also highlighted the importance of developing infrastructure in Egypt as a distinctive factor for attracting investments.

El-Molla affirmed that these periodic meetings and visits to mining sites are part of an open dialogue with experts, investors, and stakeholders in the mining industry. He stressed that now is the time for successful and serious investment in Egypt’s mining industry.

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