Annual Report

2016
 Facing todays challenges
Preparing for tomorrows opportunities

ADRESS PHONE
Annual Report
37 Omar Almokhtar st., Phone: +2 23553294
2016
Nasr City - Cairo, Egypt | Fax: +2 23553296
P.O.Box 11471

EMAIL WEB-SITE
info@goldpyramidgroup.coms www.goldpyramidgroup.com

Vision
Sustainable mining champion
with global presence
Mission
Champion the responsible
development of the mining sector
as the third pillar of the Egyptian
industry by maximizing the value
of the mineral resources for
our stakeholders and adopting
best-in-class practices.
Values
Ownership
Personal responsibility and
empowerment of others for quality
results in pursuit of our collective
goals.
Integrity
Honesty, fairness and the highest
ethical and business standards in
our relationships with each other
and with our stakeholders.
Teamwork
Communication and collaboration
with each other and with our
partners to achieve success together.
Care
Concern and respect for our people,
the communities we touch and the
environments we operate in.
GPG is the mining and Petroleum
Consultant leader in Egypt and one
of the largest Gold mining and
metals consultant service in the
Middle East region.
Our philosophy
Clients: We believe that in order to
succeed we must contribute to the success
of our clients
Staff: Our performance and abilities are
only as good as the staff we are able to
attract, develop and retain
Technology: A cornerstone of our
philosophy is to develop and embrace new
technologies and methodologies to the
advantage of our clients and our business
Cooperation: We encourage cooperation
and communication between with
international partners to the best
advantage of clients
Growth: It is our view that growth of our
business must be in response to the
requirements of clients
People goals
Maintaining broadly-based employee
ownership
Providing an environment for a satisfying
and challenging career
Providing an umbrella for ambitious staff
members to grow their client base and their
reputations in directions of their own
choosing
Maintaining an environment which is
conducive to innovative thinking and
solutions
Recognizing and rewarding excellence
and achievement
Fostering a unified corporate culture
Financial goals
Providing a superior investment for
employee shareholders
Introduction
The intervening period in Egypt has seen a significant increase in the demand for
recovering the mining industry, which was dramatically interrupted by the Global
Financial Crisis and the previous political issues . While the need for mining
generally recovers very quickly, many industries are still facing challenges, and much
uncertainty remains. It has been a period quite different from any other we have
experienced in recent times.
In the 1960s and 1970s, the Egyptian
Geological Survey and Mining
Authority (EMRA ) carried out a
systematic survey of the gold
deposits in the Egyptian Eastern
Desert in collaboration with a team
from the Soviet Techno export
Company. The work led to the
compilation of detailed geologic
maps and implementation of
extensive geochemical analyses.
The project succeeded in identifying
large numbers of partly economically
viable gold mineralization's as well as
unmistakable traces from ancient
mining and prospecting activities.
Private sector exploration and exploitation activities so far have been limited.[1]
Only recently, AngloGold Ashanti with its joint Venture Partner Thani Dubai and a
Canadian listed exploration company, Alexander Nubia (Aton) International have
been undertaking exploration in Egypt's Eastern Desert with some success.
Centamin Ltd., a mineral exploration company founded in Australia, started a
massive mining project in Sukari Hill.
GPG recognizes the importance of economic and social development, and we
contribute to its realization in many ways. In this context we have a responsibility
to encourage and support development that can be sustained environmentally,
socially and economically for the lasting benefit of those involved. We do this
through:
Our own management and operational practices
Our natural resources and wider consulting services
Our relationships with clients and other stakeholders
YEAR IN REVIEW
Adding value through
discovery
Our exploration and evaluation
programs aim to discover new ore
bodies, evaluate and quantify these
new resources and reserves and to
assess their economic viability in
feasibility studies. This involves
greenfield exploration on our
regional explorationlicenses or
brownfield exploration in and
around our operating mines and
development projects.
1.200
meters of
Trenching in
2016
300
geological and
geochemical
samples
Our exploration program over
the this year has helped GPG
build a pipeline of new mineral
resources across gold. Mineral
exploration is a core element of
GPGs strategy. This is essential
to sustain, grow and diversify
our businesses.
The role of GPGs exploration
division is to explore, discover
and evaluate new mineral
resources and to replace
current ore reserves that are
consumed by our businesses.
B e lo w a nd right
Trenching operations
at El Hudi Gold Mine
P a g e s 14- 15
El Hudi gold mine
Report
Health and safety policy

Health and safety policy

We place the highest importance on safety and are committed to ensuring
that all work by our staff is carried out in a safe manner.
We make this policy meaningful by:

Requiring our consulting Providing appropriate levels

practices to develop and of safety training and
implement health and safety certification for our staff
management programs
At a minimum, ensuring that Monitoring health and
our work is carried out in safety performance across
accordance with applicable the GPG organization
government and client
standards
Quality policy
We are committed to continually improving our professional consulting
services to meet and exceed the needs of our clients
We make this policy meaningful by:
Hiring or subcontracting Providing a learning
people with a demonstrated environment where the
high skill level in areas of growth and development
expertise that match the of employees is actively
services provided for clients encouraged and supported

Advancing our global Enhancing our business

capabilities by sharing our
experiences, knowledge
and resources among and
between consulting practices
and offices
systems to meet international
standards
Measuring our progress
against meaningful targets
These challenges include highly safety procedures that are specific to
Explorations operational requirements in remote desert locations. Our safety
initiatives include real-time satellite tracking of all field vehicles to allow rapid
emergency response if needed.
We continue to make the utmost effort to reduce our environmental footprint at
exploration sites. Our exploration techniques have a low impact on the
environment. Where drilling is required for testing, the drill sites are backfilled,
rehabilitated and drill holes are capped as standard practice. We conduct regular
audits to confirm and maintain our full compliance with rigorous environmental
standards.
Our approach
Greenfields exploration is the initial exploration phase during which geology,
geochemistry and geophysics are integrated to identify prospective areas and
anomalies.
program of systematic greenfield and brownfield exploration over more than
Tract areas of exploration licenses. This will result in many targets that will
require drill testing in 2018.
Brownfields exploration near our existing mines and advanced mine development
projects offers the opportunity to identify and potentially exploit smaller
resources at lower capital cost by taking advantage of our existing infrastructure.
The focus of our drilling and interpretation activity in exploration in 2018 will
occur on primarily brownfields prospects.
 Artisanal and small-scale mining (ASM) is occurring in or impacting a
wide range of critical ecosystems, including arctic landscapes, nature
reserves, and archaeological sites. GPG recognizes the risks that ASM
poses to our natural environment and aims to reduce the ecological
and social damage caused by ASM, whilst building on ASMs economic,
development potential. We help our clients seek win-win solutions to
Small Scale Mining

turn the conservation development trade-off posed by ASM in

biodiversity hotspots into an opportunity for enhancing local and
global resilience. We work with funders, conservationists,
development agencies, governments, and interested businesses to
better understand the challenges of ASM in protected areas and critical
ecosystems and to seek solutions to address these challenges. We
leverage our mapping capabilities and build on a scientific foundation
of knowledge, participatory methods and rights-based approaches to
properly understand the issues and develop appropriate management
responses. This can include: policy approaches such as negotiated
access, and management strategies; technical approaches including
introduction of responsible mining techniques and frugal
rehabilitation/reclamation; market-based supply chain strategies and
incentives; and alternative or integrated livelihoods development.

We believe artisanal and small-scale mining (ASM) is an important and

viable route for sustainable development. Our roadmap for ASM
includes:
Mining companies and downstream users of minerals in the supply
chain work to achieve inclusivity of ASM through responsible
mining and trading.

Governments, private companies and other institutions provide an

enabling environment for this to happen.

ASM miners take ownership of solutions that bring commercial

benefit and economic development to their communities.
We aim to find solutions to all of the challenges the mining sector and
its stakeholder communities face, unlocking the power of minerals to
deliver sustainable and resilient futures.
Year in Review
New
Experience

Gold enjoys a special position in our product

portfolio not only because of its status
as a precious metal, but also because we started
our business with gold.
Unlike other metals, gold is perceived as a store of
wealth and has a value not entirely driven by its
utility as a material.
Gold has been used in coinage, jewelry and in
various other practical applications for thousands
of years.
Gold prices are driven by factors that are distinct
from those that determine the market value of
other metals.
Our gold operations are on a new growth
trajectory.

Operational
excellence and $34,522
cash optimization Barameiya
Write a text

GPG-wide cash saving and $25,100

Romeit
optimization of business and Write a text
operational processes are a
major part of our continuing
focus on operational excellence.
In 2016, we held a number of
workshops, site visits and
consultations with international
experts to identify opportunities
and initiatives to enhance
$34,522
El Hudi-1
efficiency, save resources and Write a text
generate cash over the next five
years.
Romeit Prospect
Visit startup: April 1, 2016
Barramieya Prospect
Visit startup: April 1, 2016
El Hudi Gold Project
Exploration startup: April 1, 2016
YEAR IN REVIEW

18 OF JAN 14 OF FEB 23 OF MAR

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6 OF APR 10 OF MAY 5 OF JUL

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18 OF SEP 14 OF DEC 2017

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FINANCIAL OVERVIEW

BUSINESS MODEL

INVESTMENT