After the government moved to stop its expansion in gold, the Egyptian Miardir reveals a surprise


The famous Egyptian businessman and billionaire, Naguib Sawiris, blew a surprise about his extensive activities in the gold sector.
Economic Plus, the economic website, reported exclusive statements from Sawiris, referring to the validity of his negotiations to acquire a local company for the results of gold bullion, or his intentions to establish a company that would offer gold bullion in the local markets.

Sawiris said in response to those reports: “It is not true. It is not true at all.”
Sawiris had announced, earlier, that he would invest half of his wealth in his gold mining companies.
It is noteworthy that the Minister of Petroleum and Mineral Resources in Egypt, Engineer Tariq Al-Mulla, said that the second round was opened when the results of the first bid for gold exploration in the country were announced last Thursday.
Al-Mulla explained, in an intervention with the “last word” program presented by the media, Lamees Al-Hadidi, on the “On” satellite channel, that it was agreed with Sawiris to stop negotiations after his company won the first bid in nine sectors.

A few days ago, Al-Mulla revealed the results of the first auction of gold that was launched last March, and it received the attention of 23 companies that bought the available information packages, according to the Egyptian newspaper, Al-Shorouk.
Tariq Al-Mulla explained, during a conference held last Thursday, that 17 companies submitted for bidding, of which 11 companies won 82 sectors on an area of ​​14 thousand square kilometers in the eastern desert from the areas that were offered with a commitment to investments of a minimum of $ 60 million in the first stages of research.
Sawiris was finally known for his great interest in investing in gold, as he revealed that half of his wealth is concentrated in gold-related businesses, announcing in the month of March his intention to increase his investments in this sector.
Sawiris hopes to benefit from easing regulations in Egypt to explore for gold. This year, Egypt announced a new tender to explore for the precious mineral in its lands, and held talks with Sawiris regarding the possibility of buying a stake in the mining company, Shalateen.
However, Al-Mulla announced the suspension of the talks without giving reasons, and reports indicated that the stoppage was caused by the shareholders’ refusal to sell the idea, yet Al-Mulla expected the talks to resume again after the end of the pandemic.
Sawiris said, “There may be opportunities to merge now. I think what should happen in many industries are consolidations, whether in telecommunications or the Internet. Even mining companies must merge and join hands because these are difficult times and we need to reduce the overall cost.”
In 2018, Sawiris announced that half of his wealth consists of investments in the gold sector, optimistic about the future of the precious metal, which has bet on a significant rise in its prices, in addition to his expectation of a correction (decline) in global stock markets.
Months ago, the Egyptian billionaire, Sawiris, revealed an increase in his investment in gold, which is a safe haven for investors in times of market turmoil, despite the recent fluctuation of its prices.
Sawiris said in an interview: “I think when there is a crisis and when people finish covering the cost of the private margin it will go up. I am still buying it and I am still increasing my possession of it.”
And about whether he buys actual gold coins, the Egyptian billionaire explained that he invests only in shares of gold mining companies, saying, “I am increasing my stake in one of my companies, because the cost of producing an ounce is much less than the price of the metal itself.”
Gold prices exceeded the two thousand dollars an ounce barrier last summer, due to the uncertainty about the global economy and the performance of the markets in light of the pandemic, and then retreated to near 1850 dollars, but they are still their highest levels at the beginning of the year around 1500 dollars, according to Bloomberg data.


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