Three companies in the cement industry are investing an aggregate of $5.23 billion( about N105 trillion) to building new factories at home and abroad
The companies are Dangote Cement Plc, BUA Group, and Ibeto Cement Company Limited.
Data sourced by Housing News from these companies, revealed that Dangote Cement is leading the pack with $4.34 billion, followed by BUA Group $600 million and Ibeto $386 million and this totals $ 5.23billion.
Our reporters also learned that following the completion and commissioning of cement plants in Five African countries ( Zambia, Ethiopia, Cameroon, Senegal and Tanzania), Dangote Cement has signed a $ 4.34 billion contract with Sinoma International Engineering Company Limited, a Chinese construction giant, for the construction of 11 new cement plants in 10 African countries, and Nepal in Asia. Earlier Aliko Dangote, president of Dangote Group said “ the plans expansion in line with our long term vision to become one of the world’s biggest cement producers. We envisage that by the time we omplete all on-going projects, we will be on track to achieving our target.”
In the same vein, BUA Group also signed $600 million worth of contract with Sinoma to double its production capacity of its Obu cement plant at Okpella community in Edo state. Obu has a capacity of 3.5million metric tonnes per year, with completion expected in 2017.
Abdulsamad Rabiu, the Chairman of BUA Group, said “ BUA less than 10 percent of the market share now but afterwards we should go to about 20 percent.”
Furthermore, Ibeto Cement had also entered into agreement with Sinoma to build 6000 tonnes per day clinker line and a 45 megawatts self generation power plant in Enugu. The contract is valued at $386 million. It covers the whole process, from the exploration of limestone mines and the crushing of materials, to the packing and delivery cement and a captive power plant and engineering design, supply of equipment, staff training, etc.
SOURCE: VANGUARD NEWSPAPER