The deposits in Sukari Gold mine (SGM) are expected to exceed the initial estimates as shown by recent prospecting studies, Prime Minister Mostafa Madbouly stated following his two-day field visit to the mine in Marsa Alam, Red Sea governorate. The total investment in Sukari over the past decade exceeded $2 billion, with mining equipment alone valued at $235 million, including cranes, crushers, heavy machinery, and mobile facilities, according to Madbouly.
The Prime minister addressed recent controversy about whether Egypt is receiving its fair share from the mine under existing agreements, especially after the South African AngloGold Ashanti acquired Centamin, the canadian company that was responsible of managing the operations of the mine.
The Sukari mine is among the 20 to 25 largest mines in the world, said Madbouly, adding that AngloGold Ashanti , the fourth largest gold mining comapny in the world, has injected new investments in SGM . These investments, which exceeded in value those made by Centamin, has been translated into an increase of the expected production. “The volume of output from the mine during the next eight years exceed what it has yieleded in the past fifteen years.” said Madbouly.
The project which is located on a huge area, equivalent to that of a small city, offers 4,000 direct and indirect job opportunities.
Madbouly noted that AngloGold is looking for gold in the neighboring areas.
Following his field visit, the Prime Minister met with members of the Parliament; Minister of Petroleum and Mineral Resources, Karim Badawi, Moataz Atef, First Undersecretary of Minister’s Technical Office and Official Spokesperson of the Ministry of Petroleum and Mineral Resources (MoPMR); Yasser Ramadan, Chairman of the Egyptian Mineral Resources Authority (EMRA); Alberto Calderon, CEO of AngloGold Ashan (AGA); and Hoda Mansour, Managing Director and Vice Chairman of AGA’s Sukari Gold Mines.
Madbouly highlighted that exploration studies require three to four years before determining whether a mine qualifies for commercial production, given that commercial viability is assessed based on whether extraction costs outweigh potential returns.
He explained that after years of preliminary studies, the full-scale exploration process takes another 10 years, even under the most optimistic conditions, before a mine transitions to active production—a timeline notably longer than for oil or gas wells.
The prime Minister stressed that developing a gold mine requires complex expertise, and not only investments, to ensure sustainable, profitable production.
He reaffirmed the strategic importance of gold mining, emphasizing that transforming Egypt’s Mineral Resources Authority into an economic entity will enable efficient resource management, intensified exploration efforts, and optimized mining operations, further strengthening Egypt’s position in the global gold industry.
Meanwhile, Badawi noted thar MoPMR is keento continuously coordinate with Parliament to implement the plan to develop this sector, including legislative reforms to align with international standards in this field.
