New Valley Company for Mineral Resources and Oil Clay (Wadico) signed a strategic cooperation agreement with the global BCM Group. This agreement is set to launch the first project of its kind in Egypt for the exploration and production of oil shale.
The agreement aligns with Egypt’s national drive to develop its mining sector and boost reliance on alternative energy sources. It aims to expand cooperation between the two parties in the exploration, mining, and production of oil shale, both within Egypt and at the regional and international levels. This initiative underscores Wadico’s commitment to economic and environmental sustainability goals, while also opening new horizons for investment in unconventional resources.
Wadico affirmed that the agreement represents a qualitative leap towards exchanging technical and geological expertise with one of the largest companies operating in the sector. It also opens the door to utilizing oil shale as an alternative energy source, whether through its use in power generation or as a sustainable energy source in cement factories. This significantly enhances Egypt’s capacity to diversify its energy sources.
This step is expected to open new markets and develop modern technologies for utilizing oil shale. This will support the state’s strategy to maximize the benefit from mineral resources and achieve real added value for the national economy.
Wadico further signed a tripartite Memorandum of Understanding (MoU) with ASEC for Mining (ASCOM) and ASCOM Carbonate and Chemicals Manufacturing (ACCM). The MoU outlines cooperation in the extraction, manufacturing, and marketing of sandy kaolin raw material.
The MoU aims to maximize the added value of Egyptian kaolin by carrying out separation and grinding operations down to 2 microns within ACCM’s factories in Minya Governorate. This will serve various industrial uses and enhance its competitiveness in both local and global markets.
Wadico will provide the licenses and concession areas at the Ras Ghareb site, while ASCOM will undertake the geological and mining operations. ACCM will be responsible for processing and marketing the raw material through its international network spanning over 45 countries.
The MOU reflects the state’s drive towards transforming raw materials into exportable industrial products and opens the door for future partnerships in other strategic raw materials.
The agreement and MoU were signed on the sidelines of the 4th edition of the Egypt Mining Forum (EMF)
BCM Group is a leading global entity specializing in mining services, with a proven track record of success in numerous African and Middle Eastern countries. It is also recognized for being responsible for the most successful oil shale exploration and production model in the Middle East, through its pioneering project in the Hashemite Kingdom of Jordan.
ASCOM is a leading geology, mining and recently manufacturing company, with over 25 years in the Egyptian market, while ACCM is a leader in the production of ground calcium carbonate.
