Skip to content

An Egyptian company acquires gold concessions in northern Ethiopia

Posted on by Elias Kifle

PRESS RELEASE

Egypt – ASCOM, Citadel Capital’s geology and mining business, has just announced the acquisition of promising gold concessions in northern Ethiopia near Eritrea and the city of Mekele.

The concessions, located on four different plots of land are owned by a newly established company called Nubia Mining Development PLC, a partnership between ASCOM Ethiopia, which owns 55%, and Ezana Mining, a private-sector Ethiopian mining company, which holds 45%.

ASCOM Ethiopia is one of a growing number of ASCOM subsidiaries across the region.

According to ASCOM Chairman Fayez Gress, ‘Preliminary exploration carried out by the company during the past two months has shown indications of promising gold mineralization in the area.’

At current gold prices, it becomes economically feasible to extract gold starting with reserves at two grams per ton.

‘Nubia is currently in the exploration phase,’ Gress explained. ‘It will take up to three years to conclude all of the geological surveys that are necessary to produce a bankable feasibility study on which we may base our actual mining and extraction plans, but things appear to be moving in the right direction.’

With over 30 years of experience in the field of geological research and mining, ASCOM is perfectly suited to explore for gold reserves in this mineral-rich region of Ethiopia. Nubia is the first of a series of regional mining endeavors that ASCOM is now finalizing.

In 2004, Citadel Capital bought ASEC Group and spun off ASCOM, its geology and mining arm, into a separate company. In addition to providing mining services and raw materials to over 65% of the Egyptian cement industry, ASCOM has begun to expand regionally with mining projects in the Emirates, Syria, Algeria and Sudan, in addition to its venture in Ethiopia.

7 thoughts on “An Egyptian company acquires gold concessions in northern Ethiopia”

  1. I do not understand it! An Egyptian firm is in northern Ethiopia . And Egypt is the country where the Eritreans organized their armed struggle. And Egypt is very much concerned with the flow of river nile. Egypt is the largest American aid reciever. What do you all make of all that?

  2. I do not understand the selling of gold mining sites. How does that work? How do the people of Ethiopia who are the owners of any natural resources benefit? What are the rights of the company that buys the sites? Does everything that comes out of the site belongs to the company that bought the site? Someone, please help me understand…

  3. Note: 55% of the mine will be owned by the Egyptians and the rest by a Weyane company. In other words, We really have nothing to celebrate. A great day for the¨Weyanne thugs and a sad day for the Ethiopian people.

  4. Here we go…..
    Fertile Land to Sudan, Gold Mine to Egypt, Oil Field to Chinese and what’s next????
    Weyane with the mentality of a butcher knows only to divide the people, the land, natural resources and stay in power and make money…….

  6. You guys are funny! You can buy house in America or buy land in Ameican or you can start your own business in Ameirca but you don’t want other to do the same in Ethiopia.

    By the way who own Ethiopia…. you guys you don’t own Ethiopia each of us own Ethiopia therefore what you say here it doesn’t matter because the mass are represtented by Meles Meles speak for them and Meles give permit to the company hence the mass give the right to the Egyptian or to any company who want to invest… eat your heart out

Leave a Reply