Egypt plans to set up a company under the Future of Egypt Authority to license artisanal gold miners and free those jailed for illegal mining, after a meeting convened by business mogul Ibrahim Al Organi, a lawmaker said.

Mona Shaker, a National Front party lawmaker for Aswan, said in a Facebook video that people arrested while prospecting would be freed, but not anyone found to be involved in killings or drug offences.

The military has said it detained 151 Egyptians and 540 foreigners in its crackdown on illegal mining since June. It was not clear how many remain in custody or whether foreigners would be covered.

Pro-government media reported that President Abdel Fattah Al Sisi directed the meeting.

Crackdown

The deal would bring informal prospectors into a licenced system after the military made the crackdown its main response to illegal mining. It would also give Future of Egypt, which reports directly to the presidency, a role in a sector the government wants to expand.

Security is a major obstacle for investors. Illegal miners have at times violently blocked access to exploration concessions, an executive told Reuters in September.

The military said on November 5 that two officers had been killed in the campaign.

Egypt has an estimated 6.7 million ounces of gold in the Eastern Desert.