Egypt’s 2026 Open Blocks Mining Regime: What Investors Need to Know

Egypt has introduced a more structured route for allocating mineral exploration areas through its Open Blocks System, alongside the institutional restructuring of the former Egyptian Mineral Resources Authority.

The regulator is now the Mineral Resources and Mining Industries Authority (MRMIA), established under Law No. 87 of 2025 as the successor to EMRA.

Based on the current 2026 bid documents for gold and associated minerals, the process combines rolling access to available blocks with a competitive technical and financial evaluation.

How the Open Blocks System works

Available exploration blocks remain open until the first offer is submitted. That submission triggers a one-month period during which competing offers may be filed for the same block.

Where only one offer is received, it may still be evaluated and awarded, provided the applicant satisfies the applicable technical, financial and regulatory requirements.

Key submission requirements

Applicants must purchase the bid conditions package, currently priced at US$500, together with the geological information package for each block.

The bid is submitted through separate technical and financial envelopes.

The technical submission generally covers:

• corporate and mining experience;
• financial capacity;
• the proposed technical team;
• exploration methodology and work programme; and
• duly legalised corporate documents for foreign applicants.

The financial submission includes the proposed exploration expenditure, royalty, MRMIA participation and other commercial commitments.

How bids are evaluated

The current Mining Bid-Round Evaluation System (MBES) allocates 100 points equally between technical and financial criteria.

The technical score considers company experience, financial strength, team capability, reported gold reserves and current gold production.

The financial score evaluates:

• exploration expenditure;
• the royalty offered; and
• MRMIA’s free participation.

The current bid documents specify a minimum royalty of 5% of sales and minimum free participation for MRMIA of 15% of net taxable profit.

This 15% bid requirement should not be confused with the separate 2026 reform reducing MRMIA’s participation in certain joint ventures to 10%. The two figures relate to different legal and commercial arrangements.

Security and licence term

The current offering requires:

• an initial bid security of US$25,000; and
• a performance guarantee equal to 10% of the financial commitment for the initial exploration period following award.

Exploration licences are granted for an initial two-year term and may, subject to compliance and approval, be renewed for further two-year periods, potentially allowing an overall exploration period of approximately eight years.

Practical implications

Egypt’s new framework is more transparent and commercially oriented, but a successful bid requires more than meeting the minimum financial thresholds.

Applicants must ensure that their technical programme is credible, their expenditure commitments are achievable, and their legal, tax and corporate structure reflects the full economics of the project.

Foreign investors should also begin document legalisation, land-access diligence and regulatory coordination early, particularly once the one-month competitive period has been triggered.

At MEASA – Middle East & Africa Legal & Strategic Advisors, we advise mining and exploration companies on Egyptian licensing, bid preparation, corporate structuring, regulatory approvals and government engagement.