Egyptian Mineral Resources Authority yet to make decision
- Mining law was passed on 9 December
- Early drafts have had to be rewritten after opposition
- Executive regulations will set out tax strucure for sector
Egyptian mining companies are becoming increasingly frustrated with delays to the implementation of the countrys new mining law, which was passed on 9 December last year.
The Egyptian Mineral Resources Authority (EMRA) has yet to make a final decision on the executive regulations for the mining law, preventing them from being implemented.
The executive regulations will set out a tax and royalty structure for the mining sector.
Early drafts of the law have been completely rewritten, said one person involved in the talks. The whole process is taking far longer than first anticipated.
Redrafting of the early versions of the executive regulations has come about after opposition from several mining companies and industrial groups.
Egypts mining sector is largely undeveloped and has been identified as a key area for reforms by the government.
Under plans set out at the Egypt Economic Development Conference held in Sharm el-Sheikh on 13-15 March, the Petroleum Ministry is aiming for mineral resources to contribute more than 5 per cent to GDP within 10 years, up from less than 0.4 per cent in 2013-14.