President Sisi directs boosting local manufacturing of black sand, rare earth elements

President Abdel Fattah al-Sisi has ordered the acceleration of local manufacturing in the black sand industry and related value-added products, along with fertilizers and rare earth elements. The directive was issued during a meeting held in New Alamein on Wednesday, August 12, 2026, where Sisi convened with Prime Minister Mostafa Madbouly, Minister of Electricity and Renewable Energy Mahmoud Esmat, and Chairman of the Concord for Engineering and Contracting Ahmed al-Abd. The discussion focused on advancing the national strategy aimed at expanding new and renewable energy projects, with a target of raising the share of renewable energy in Egypt's electricity generation to 45 percent by 2028. The meeting reviewed progress on initiatives designed to diversify Egypt’s energy mix and reduce dependence on fossil fuels. A central component of these efforts involves enhancing battery-based electricity storage technologies, which are essential for maintaining grid stability and ensuring uninterrupted power supply. According to the presidential spokesperson, Mohamed al-Shennawy, the government has invested approximately LE five trillion in the electricity and renewable energy sectors since 2014. This investment underscores the country’s commitment to transitioning toward sustainable energy solutions. Minister of Electricity and Renewable Energy Mahmoud Esmat highlighted the significance of localizing production within the energy sector. He emphasized the need to prioritize domestically manufactured equipment, particularly in energy storage systems, to bolster energy security and promote self-reliance. Sisi reiterated the importance of fostering partnerships, both domestic and international, that leverage locally produced components. These collaborations, he stated, are vital for reinforcing Egypt’s standing as a regional leader in energy infrastructure and manufacturing. The president also called for the development of industries tied to the electricity and renewable energy sectors. This includes not only the production of energy storage solutions but also the broader ecosystem surrounding them, such as raw material extraction and processing. Black sand, a mineral rich in rare earth elements, plays a crucial role in the manufacture of high-tech materials used in renewable energy technologies. By promoting local manufacturing of black sand and its derivatives, Egypt aims to strengthen its industrial base while reducing reliance on foreign imports. Rare earth elements, which are critical for producing magnets, batteries, and other components necessary for clean energy systems, were specifically mentioned as a priority. The push to localize their production aligns with broader economic goals of reducing trade deficits and creating jobs through strategic industrial planning. The focus on fertilizers further reflects the government’s interest in integrating resource management with agricultural sustainability, ensuring that the benefits of technological advancement extend beyond the energy sector. International collaboration remains a key element of the strategy. The meeting included discussions on how foreign partners can contribute technical expertise and financial resources to support Egypt’s renewable energy ambitions. These partnerships are intended to enhance the country’s capacity to produce advanced energy technologies and maintain its competitive edge in the global market. Looking ahead, officials expect continued emphasis on innovation and industrial growth. The government plans to monitor the implementation of these directives closely, with regular assessments of progress in local manufacturing capabilities. The goal is to establish Egypt as a regional hub for renewable energy technology and a model for sustainable development in the Middle East. As the nation moves forward, the success of these initiatives will depend on sustained investment, policy coherence, and the ability to adapt to evolving global energy demands.