(MENAFN- Daily News Egypt) As part of Egypt's strategy to maximise the value of its mineral wealth, the Egyptian Mineral Resources Authority (EMRA) has signed a memorandum of understanding (MoU) with Elsewedy CAP Investments to explore, develop, and produce phosphate ore from the Sebaiya mines in the Nile Valley.

The MoU was signed in the presence of Minister of Petroleum and Mineral Resources Karim Badawi and Ahmed El Sewedy, CEO and Managing Director of Elsewedy Electric.

The agreement outlines a framework for collaboration to assess and confirm phosphate ore reserves in the Sebaiya area, upgrade ore concentration levels, and conduct a feasibility study for establishing a phosphate fertiliser production plant. This move represents a key step in Egypt's broader efforts to unlock greater economic returns from the mining sector.

Under the MoU, Elsewedy Group-or one of its subsidiaries-may enter into negotiations to establish joint ventures with EMRA for the purpose of exploration and commercial production.

Minister Badawi emphasised that the mining sector is one of the most promising pillars of Egypt's national economy, and noted that directives from the country's leadership call for increasing the sector's contribution to GDP from under 1% to between 5% and 6% in the coming years.

He added that the partnership with El Sewedy Group reflects a successful model of public-private cooperation that accelerates project implementation and delivers measurable economic value.

Ahmed El Sewedy welcomed the agreement, noting that it opens up new investment opportunities for the group in the mining industry. He stressed that the project would help develop downstream industries, adding real value to Egypt's phosphate resources and enhancing their contribution to national development.

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