The Egyptian Radio & Television Union (ERTU) performed engineering, marketing, as well as feasibility studies for the project and the following steps were undertaken:

The Canadian Telesat company was assigned on September 30th, 1994 to place technical specifications for the project; the final specifications were completed in 1995.

On May 31st, 1994, the Egyptian President signed the Authorization Document to start the project.

The project has been put in an international limited tender among four international companies, having the capacity and efficiency of working in this field: Matra Marconi Space, Hughes, Aerospatiale and Lockheed Martin. 

After tenders' evaluation, the project has been entrusted to Matra Marconi Space (MMS) France and the contract was signed in 15/10/95 to manufacture and launch the satellite within 24 months from effective date of contract (December 26th, 1995).

Furthermore, The Egyptian consulting office "Shawki" was entrusted, the contract for the feasibility study, and the Nilesat Company was founded with the main purpose of owning and investing Direct To Home (DTH) Broadcast Satellites and their associated Ground Control and Uplinking Facilities.