Egypt targets $200 million sodium cyanide facility for Africa’s gold mining sector

Egypt is moving to strengthen its position in Africa’s mining supply chain with plans for a $200 million sodium cyanide production facility, a key chemical used in gold mining and precious metals processing.

The project, discussed by Egypt’s Minister of Industry Khaled Hashem and executives from DrasChem Specialized Chemicals, would mark the first sodium cyanide manufacturing plant in Egypt and the wider Middle East.

The proposed plant reflects Egypt’s strategy to localize advanced chemical manufacturing, reduce reliance on imports and position the country as a regional hub for industrial chemicals serving Africa’s expanding mining sector. 

Sodium cyanide is widely used in gold and silver extraction, making it a crucial input as African nations accelerate exploration and production.

Planned facility inside major petrochemical complex

According to project details presented during the meeting, the first phase of the facility will be built on an 80,000-square-meter site within the Sidi Kerir Petrochemicals Company complex, one of Egypt’s key petrochemical hubs. Once fully developed, the plant is expected to cover roughly 157,000 square meters.

The facility could produce 50,000 to 55,000 tonnes of sodium cyanide annually, targeting mining operations across Africa and the Middle East. The project is also expected to create around 500 direct jobs, while supporting additional employment across logistics, chemical supply chains and industrial services.

The investment aligns with Egypt’s broader effort to expand its advanced manufacturing sector and boost industrial exports, particularly in high-value chemicals tied to global commodity markets.

Strategic technology transfer and export potential

Hashem described the project as a milestone for Egypt’s chemical industry, highlighting its role in transferring advanced industrial technology and strengthening domestic capabilities in specialty chemicals.

The government is also pushing for collaboration with the Industrial Efficiency Authority to train Egyptian engineers and technicians, ensuring that local talent benefits from the knowledge transfer tied to the project.

DrasChem CEO Mohamed Abdel Aziz said the plant would make Egypt the first country in the Middle East and North Africa and the second in Africa to localize sodium cyanide manufacturing technology through partnerships with European petrochemical firms in Austria and the Czech Republic.

Safety and environmental standards under scrutiny

Authorities emphasized that the project must comply with international environmental and industrial safety standards, including comprehensive environmental impact assessments.

Sodium cyanide is a highly toxic chemical compound commonly used in gold mining, pharmaceuticals and pesticide production. Because of its potential environmental risks, global mining supply chains typically require strict storage, handling and transportation protocols.

If completed, the facility could position Egypt as a strategic supplier of mining chemicals, supporting Africa’s growing gold industry and mineral processing sector while strengthening the country’s industrial export base.