Nigeria: BUA Cement has announced that it will commission the second production line at its Kalambiana cement plant in Sokoto state in July 2021.
The Daily Independent newspaper has reported that the upgrade will bring the plant’s cement production capacity to 3Mt/yr.
The group intends for the plant to serve the growing domestic cement demand and to stabilise prices.
The cement line when commissioned will add to the robust infrastructure of the cement tiger, and expand its installed capacity from 8 million MTPA to 11 million MTPA.
This should help in cementing BUA’s position as the second-largest cement producer in terms of installed capacity, ahead of Lafarge Africa with 10.5 million MTPA capacity.
This move will also help to unlock Pan-African opportunities for the company across the African Continent.
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Fact box of BUS Cement
Recall that the billionaire, Abdul Samad Rabiu, the founder of the BUA Group revealed in his statement at 2020 Institute of Directors Dinner, that BUA’s cement line of 3mmt per annum in Sokoto is expected to be commissioned in the middle of 2021.
BUA has also signed a contract with the Chinese construction company, Sinoma CBMI, for the construction of additional three production lines, with an installed capacity of 3 million metric tonnes per annum each.
According to Abdul Samad Rabiu, the 3 cement plants in Sokoto, Edo and Adamawa which will be constructed at the cost of $1.050billion, will be completed by the end of 2022.
When completed, the total installed capacity of BUA Cement is expected to expand to 20 million MTPA.
BUA Cement at the moment is the third most capitalized company on the Nigerian Stock Exchange with a market capitalization in excess of N2.5 trillion behind MTN and Dangote cement.