Egypt's military has started a third phase of its campaign against illegal gold mining in the Eastern Desert, after Sudan opened an inquiry into deadly strikes on miners near the border. It did not address claims that Egyptian aircraft carried out the strikes.
At a glance
- Egypt's campaign began on June 22, its second phase on August 2 and the third on Monday.
- Sudan's leader Abdel Fattah al-Burhan ordered a fact-finding committee into the killings.
- The two countries' foreign ministers stressed respect for each other's sovereignty and borders.
Background
On October 10, an air strike hit an artisanal gold mine near the Sudan-Egypt border. A Sudanese medical group counted at least 13 dead, and a rights group put the toll at 72 and blamed Egypt's air force. Gold is central to Sudan's war economy, and much of it is smuggled out of the country.
What happened
Egypt's military said late on Monday that armed forces and civilian police had begun the third phase of a large-scale campaign against unauthorised gold mining in the Eastern Desert. Anadolu Agency reported the statement. It said the operation followed the dropping of warning leaflets, to enforce sovereignty within Egypt's borders and protect its resources.
The campaign began on June 22, when the army announced the detention of people involved in illegal mining, including Sudanese nationals. Its second phase began on August 2.
What Egypt did not say
The statement did not directly address allegations that Egyptian aircraft struck miners inside Sudanese territory. It stressed "the depth of the ties linking the Egyptian and Sudanese nations" and urged people to rely on official sources rather than "misleading rumors".
Earlier on Monday, Egypt's Foreign Minister Badr Abdelatty and his Sudanese counterpart Mohieddin Salem spoke by phone and stressed mutual respect for each country's sovereignty and borders, according to Egypt's Foreign Ministry.
Sudan's inquiry
Sudan's Transitional Sovereignty Council chairman Abdel Fattah al-Burhan ordered a fact-finding committee on Monday to investigate the reported killing of miners near the Egyptian border. The death toll from the October 10 strike remains disputed.
Our read
Outlook: neutral. The dispute affects artisanal mining in the border region and does not move global gold prices.
What to watch
- Findings of Sudan's fact-finding committee.
- Any further Egyptian operations in the border region.
- A verified death toll from the October 10 strike.
For information only, not investment advice.
Gold price in India
metalscost.com India reference price as of 2026-11-01.
Detailed analysis
Timeline
- 2026-06-22: Egypt begins a campaign against illegal gold mining.
- 2026-08-02: The campaign's second phase begins.
- 2026-10-10: An air strike kills miners at a gold site near the border.
- 2026-10-12: Egypt announces a third phase, and Sudan orders an inquiry.
Government Policies
Egypt is expanding its crackdown on unlicensed gold mining in the Eastern Desert.
Geopolitical Risks
The strikes and Egypt's campaign raise tension along the Sudan-Egypt border.
What could lift prices
- Tighter control of smuggling routes could reduce illicit gold flows.
What could weigh on prices
- Artisanal miners in the border region face growing danger.
Country impact
| Country | Impact | Reason |
|---|---|---|
| Egypt | Medium | Its army is expanding its campaign against illegal gold mining. |
| Sudan | High | It has opened an inquiry into the deaths of its miners. |
Industry impact
| Industry | Effect | Reason |
|---|---|---|
| Gold Mining | Negative | Artisanal mining near the border is under military pressure. |
Who gains, who loses
- Artisanal gold miners: They face military action and deadly strikes in the border region.
Other ways this could play out
- If Sudan's inquiry blames Egypt, relations between the two allies could be strained.
- If the inquiry is inconclusive, the dispute over the toll may persist.
Price risks
- Escalation along the border could disrupt artisanal gold supply chains.
- The border region is disputed, which complicates responsibility.
Technical view
Price is trading below both its 20-period and 50-period moving averages, a bearish alignment.
Computed from metalscost.com's own stored price history.
Egypt