With investments of EGP 120 million... EGOTH to develop and operate the hotel under a 20-year usufruct arrangement
Eng. Mohamed Shimy, Minister of Public Business Sector, and Eng. Karim Badawi, Minister of Petroleum and Mineral Resources, today, Tuesday, witnessed the signing of a usufruct contract for the rehabilitation and operation of the "Jet Beach" hotel in Ain Sokhna, Suez Governorate, owned by the Petroleum Projects and Technical Consultations Company "Petrojet," in cooperation with the Egyptian General Company for Tourism and Hotels "EGOTH," one of the companies of the Holding Company for Tourism and Hotels affiliated with the Ministry of Public Business Sector.
Under the contract, EGOTH will rehabilitate the hotel, upgrade its efficiency, and operate and manage it under a 20-year usufruct arrangement, ensuring growing and sustainable returns over the contract period.
The signing ceremony was held at Petrojet's headquarters in New Cairo, where the contract was signed by Eng. Walid Lotfy, Chairman and Managing Director of Petrojet, and Hisham El-Demery, Managing Director of EGOTH, in the presence of Amr Attia, Executive Managing Director of the Holding Company for Tourism and Hotels.
For his part, Eng. Mohamed Shimy, Minister of Public Business Sector, affirmed that the project represents a successful model of institutional integration among state companies and reflects the ministry's approach toward maximizing returns from public assets, especially unused ones, adding that reopening the "Jet Beach" hotel contributes to supporting tourism development and boosting hotel capacity in Ain Sokhna, one of Egypt's most prominent promising tourist destinations.
Eng. Mohamed Shimy noted that this cooperation between EGOTH and Petrojet reflects new investment thinking based on achieving added value through the economically sound reuse of assets, which helps create new job opportunities, stimulate local investment and support sustainable development goals. He said: "We value this fruitful cooperation and support it as a model to be followed in managing public assets through strategic partnerships that guarantee professional operation and effective investment."
He explained that EGOTH was chosen to manage the hotel based on its expertise in the field of hotels and tourist establishments, ensuring the project's success in terms of operation and achieving the desired returns, noting that developing the hotel will help raise its efficiency and transform it into a distinguished tourist destination, while adhering to quality standards in providing hotel services.
In a related context, Eng. Karim Badawi, Minister of Petroleum and Mineral Resources, affirmed his full support for this initiative, which reflects the ministry's vision of activating integrated work with all government ministries, especially as it represents a modern vision for maximizing the benefit of the petroleum sector's assets.
He added that the agreement represents a model of fruitful cooperation between the petroleum sector and the public business sector, raising the economic value of assets by having them managed and operated by specialized entities, noting that the "Jet Beach" hotel is a real opportunity to transform one of the petroleum sector's assets into a tourist attraction in Ain Sokhna.
It is worth noting that the development plan includes EGOTH developing the hotel and its annexes over a total area of 15,345 square meters and upgrading its technical and operational efficiency, making it a unique tourist destination in the Ain Sokhna area, to be managed by a company specializing in hotel management.
The development works are scheduled to be carried out within a period not exceeding 18 months, at a total investment cost estimated at about EGP 120 million, with the possibility of adding entertainment and service areas in line with modern hospitality standards and keeping pace with the tourism expansion Ain Sokhna has witnessed recently.
The project contributes to supporting tourism development in Ain Sokhna and maximizing returns from state-owned hotel assets. It also reflects the keenness of the Ministries of Public Business Sector and Petroleum to strengthen institutional cooperation and activate partnerships that contribute to achieving the state's vision for sustainable economic development, and to exploit public assets in an economic and investment-oriented manner that achieves the best results in the long term, according to the official Facebook page of the Ministry of Public Business Sector.
