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BUA Cement to construct cement plants in Sokoto, Edo and Adamawa

Published by , Deputy Editor
World Cement,

BUA Cement has signed an agreement with Sinoma CBMI of China for the construction of three new cement plants of 3 million tons each per year in Edo, Sokoto and Adamawa states of Nigeria, to be completed by the end of 2022. Upon completion, this will bring BUA Cement’s total capacity to 20 million metric t by 2022. At 9 million t combined capacity, this is the single largest contract ever awarded in the Nigerian Cement Industry for the construction of new cement plants at the same time and by a single company, in Nigeria.

These new plants are in addition to BUA Cement’s existing 6 mmtpy plants in Edo State, 2 mmtpy plants in Sokoto State and another 3 mmtpy BUA Cement plant in Sokoto – which will be commissioned in Q2 2021.

Speaking at the ceremony held simultaneously at BUA HQ in Lagos and the CBMI HQ in China, Abdul Samad Rabiu, Chairman of BUA Cement said the expansion decision was to transform the manufacturing industry and increase Nigeria’s cement production capacity, noting that “Nigeria and the surrounding region is still home to huge opportunities in construction, housing, infrastructure, and allied industries.”

According to Abdul Samad Rabiu, “Despite these opportunities, there is no doubt that there is still a huge deficit in supply whilst demand continues to increase in Nigeria. This situation has led to an increase in the retail prices of cement despite ex-factory prices remaining partially unchanged. To bridge this huge deficit gap in Nigeria and in the absence of new major investments in the industry, we have taken this decision to invest and build these new plants at a total project cost of US$1.05 billion which will be completed by the end of 2022.”

In his comments, Mr. Tong Laigou, Chairman of SINOMA CBMI, praised the longstanding partnership between BUA and CBMI. SINOMA CBMI was pleased to work with BUA on this huge project and help BUA in its aspiration to be the best cement manufacturer in Africa. He further added that CBMI would bring their expertise and wealth of experience working in this environment to bring the project to completion on schedule.

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