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Egypt offers new mining incentives to attract Australian investors

Businessmen Team news 28 November 2025 03:17 PM
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Egypt offers new mining incentives to attract Australian investors

Karim Badawi, Minister of Petroleum and Mineral Resources, announced the launch of a new package of incentives designed to attract emerging and medium sized mining companies to explore and develop Egypt’s mineral resources. He said that the incentives are introduced alongside a series of new reforms to the mining framework, which aim to transform Egypt into one of the leading mining destinations in Africa and the Middle East.

He stated that the announcement came during his address at a large scale meeting titled Explore in Egypt, which brought together more than thirty Australian companies and institutions interested in investing in the mining sector.

He explained that the new reforms and incentives include reducing annual fees, which makes early exploration phases more viable and significantly lowers initial costs. He added that the measures also include tax and customs exemptions for exploration equipment, supplies, and related services, easing the financial burden on early stage investments. He noted that the reforms introduce greater flexibility by allowing multiple mineral types to be licensed under a single operating licence, reflecting the geological nature of multi mineral regions and saving time, funding, and procedures. He added that new reconnaissance licences have been introduced as a fast and low cost option suited to start ups, enabling them to quickly assess available potential before committing to wider exploration programs.

Badawi affirmed that these reforms and incentives will make Egypt’s mining investment climate more modern, flexible, and aligned with investor expectations. He added that Egypt is preparing to launch a comprehensive aerial survey covering various regions to identify promising mining zones and locate deposits of critical minerals needed for renewable energy. He said that these efforts aim to reduce investment risks and enhance feasibility, reflecting Egypt’s determination to become a major player in the mining industry.

He stated that the financial terms and conditions governing the mining sector in Egypt are transparent, competitive, and stable. He added that the sector operates under a modern model for mining exploitation agreements developed through investor consultations and aligned with best practices and international standards. He explained that licensing and approval procedures have been streamlined, investor support has been strengthened, and the issuing authority has been unified through the Mineral Resources and Mining Industries Authority (MRMIA), eliminating the need for approvals from multiple bodies and supporting company timelines.

He indicated that Egypt is close to launching a digital mining portal that will provide investors with access to geological data and detailed information on licences and areas available for investment. He added that Egypt has embarked on an extensive development and reform program for the mining sector that includes legislative amendments, updated investment models, and enhanced competitiveness. He said that the program aims to increase the contribution of mining to the Gross Domestic Product (GDP) to between five and six percent over the next decade while adhering to global mining standards, reducing investment risks, and facilitating exploration activities.