Egypt reinforces its ambition to become a regional hub mining industries with a new large-scale project led by the group Chinese Xingfa Chemical Group (XINGFA). The Egyptian Minister of Petroleum, Karim Badawi announced that his department would provide “all logistical support. and necessary technique” in view of the imminent signing of a protocol agreement on an estimated investment of 2 billion dollars in phosphoric industries.

The discussions took place on Thursday, January 22 between minister and a XINGFA delegation led by its president, Cheng Yali. According to a press release from the ministry, the project aims to create a complex industrial integrated into the strategic zone of the Golden Triangle, dedicated to research, extraction and transformation of phosphate. Structured in three phases, this program aims to become the largest center of production by the Chinese group outside China, with a particular focus on industries with high added value.

Karim Badawi emphasized that this investment is part of fully in the State's strategy to transform Egypt into a hub regional mining industry, based on the optimal valorization of national natural resources. The minister emphasized the will of authorities to attract international partners with technologies from cutting edge in order to promote the industrial location and transfer of know-how.

The project will be located in the Golden Triangle area, located in the eastern desert, on an area of more than 2.2 million feddans, or about 924,000 hectares, between Qena, Qéft, Safaga and Al-Qosseir. This strategic region includes industrial, mining, tourist, agricultural and commercial activities, and would concentrate nearly 99% of the country's mineral resources, including 18 gold mines.

This investment is part of a wider dynamic Sino-Egyptian partnerships in the phosphate sector. In January 2025, the Asia-Potash group had already announced an investment of 1.6 billion dollars for the first phase of a mega-complex of phosphate fertilizers between Luxor and Aswan, with an annual production capacity of 2 million tonnes destined for export via the port of Safaga. In November 2025, Egypt had also formalized the creation of a chemical complex phosphate worth one billion dollars in the Suez Canal Economic Zone, in partnership with the Chinese group CJN.

For their part, XINGFA officials welcomed improving the business climate in Egypt as well as incentives offered to foreign investors. They explained that the choice of zone of the Golden Triangle is based on its competitive advantages and its position strategic geographic location, facilitating access to African markets and Europeans.

The meeting was held in the presence of the president of the General Authority of the Golden Triangle Economic Zone, Mohamed Abadi, and of the president of the Egyptian Mineral Resources Authority, Yasser Ramadan. At the end of the discussions, the Minister of Petroleum invited the Chinese delegation to take part in the Egyptian Mining Forum, scheduled for September 2026.