Great environment with huge opportunity:
- 3,000 years of mining history
- Over 1,000 identified ancient gold mining sites in the Eastern Desert
- Vastly under explored area in modern times; effectively virgin territory
- Extensive infrastructure
- Low cost skilled workforce and operating environment
- Politically and economically stable country
- Geographic location
- No environmental issues
- Government focus on building it’s mining industry
A cornerstone of the Egyptian mining industry:
- Aton is well known throughout Egypt and Aton knows Egypt.
- Aton is one of the most experienced mining companies in Egypt.
- Aton is the second listed mining company, operating in Egypt since 2007.
- Aton maintains a strong working relationship with it’s partners EMRA.
- Aton executives have a long relationship with the Ministry of Petroleum.
- Aton is followed actively in the Egyptian press.
- Aton is very active in business organizations such as the American
- Chamber of Commerce in Egypt.
- Aton runs an active training program and the majority of it’s staff are local.
- Aton is very active in it’s community.
Golden Triangle Mega-Project
A government initiative to expand infrastructure and promote business development in the area.
Egypt wants the world to know that it is open for business and ready for investment. Its strategic geographical position, the highly fertile Nile River, low labour costs, skilled workforce, unique tourist potential, substantial energy reserves and emerging gold district, all make Egypt an attractive place.
In March 2015 Egypt organized a major investment conference, the Egypt Economic Development Conference (EEDC). The conference highlighted reforms and upcoming investments and was seen by many as an affirmation of the country’s new pro-investment policy.
Egypt has embarked on a number of national large-scale projects that aim at enhancing the competitiveness of the economy, creating employment opportunities and attracting foreign and domestic private investments.
New Suez Canal
The Suez Canal Development Project capitalizes on Egypt’s strategic location at a crossroads for international trade. The project involves construction of a second shipping lane, which will expand trade along the fastest shipping route between Europe and Asia. The new canal will allow ships to sail to both directions in the same time. This will decrease waiting hours from 18 to 11 hours for most ships. the expansion is expected to double the capacity of the Suez Canal from 49 to 97 ships a day.
The project was inaugurated by the Chairman of the Suez Canal Authority Mohab Mamish in the presence of the current Egyptian President Abdel Fattah el-Sisi on 5 August 2014. The Chairman announced that the revenues from the Suez Canal (after the completion of the New Suez Canal) will jump from 5 billion dollars to 12.5 billion dollars annually.
Golden Triangle Project
Another megaproject, the Golden Triangle Project aims to create new industrial corridor on 6,000 square kilometres extending from the Red Sea cities of Safaga and Al Qusayr to Qena in Upper Egypt.
The project seeks to establish a new industrial capital city through constructing a global, touristic, mining, economic, commercial, and industrial centre. It will also create a logistic and economic centre northwest of Safaga, which will operate mining activities to make use of the Eastern Desert’s Golden Triangle.
For marine ports, several platforms will be built in Safaga Port for containers, public goods, or dry moulding, 5 kilometres alongside the coast, with a total capacity of 30 million tonnes.
Oil and Gas Industry
Egypt is an energy hub, being one of the largest oil and gas producers in Africa. The Minister of Petroleum and Metallurgical Wealth is H.E. Tarek El Molla. El Molla succeeded Sherif Ismail. Ismail was successful in reinvigorating the energy sector during 2013 and 2015, which was vital for economic growth in Egypt and he was appointed prime minister of Egypt in September of 2015.
The demand for gas in Egypt has been steadily rising. Electricity is provided through burning of oil and natural gas (90%) and solar and wind power (10%). Previously an exported of natural gas, Egypt has been importing LNG to meet its demands. Fortunately for Egypt, in 2015, Italian Eni made a world-class natural gas discovery of 30 trillion cubic feet (tcf), which is expected to go online in early 2019 and will meet Egypt’s demand for natural gas.
Zohr Gas Field
Italian Eni has made a supergiant gas discovery at it’s Zohr Prospect, in the deep waters (1.5 kilometre depth) of Egypt’s north shores; the largest ever found in the Mediterranean Sea. Its discovery, after its full development, is expected to ensure satisfying Egypt’s natural gas demand for decades.
The field is predicted to hold a potential of 30 tcf of lean gas in place, covering an area of about 100 square kilometres, presenting one of the world’s largest natural gas finds. Eni is to complete a second well in the Zohr field by April 2016 for US$100 million dollars. Development at Zohr is expected to be complete by late 2017.
The Shorouk concession agreement signed between Eni and the Egyptian General Petroleum Corporation (EGPC) calls for 40 percent of revenues to go towards recovering the investment in the fields. Eni’s repayment value will cover the US$7-billion-dollar investment in Zohr over three years. The remaining revenues will be split between Egypt, which will receive 65%, and Eni, which will receive 35 percent. The agreement requires all gas to go to the Egyptian domestic market, allowing exports only for excess gas.
Eni has been present in Egypt since 1954 and has always been a forerunner in exploring and exploiting gas resources in Egypt since the discovery of the Abu Maadi Field in 1967. Eni is the main hydrocarbon producer in Egypt, with a daily production of 200,000 barrels of oil equivalent.