According to local reports, Pretoria Portland Cement (PPC) has increased its capital spending budget for expansion projects in Zimbabwe to approximately US$280 million.
Ketso Gordhan, Chief Executive of PPC, stated that the company would spend some US$80 million on the construction of a new cement facility in Harare, which is due to be commissioned in 2016. This represents an increase in the capital spending budget of around 30% (from US$200 million to US$280 million). The original US$200 million budget was reportedly allocated to the construction of a clinker plant in Mt Darwin and a cement facility in Tete Province, Mozambique.
Gordhan further commented that PCC will prioritise the construction of the 700 000 tpa Harare plant and this will be followed by the construction of a clinker plant and a mill at a cost of US$200 million. According to reports, the Harare mill will be funded by a corporate loan, which will be secured against PPC Zimbabwe's balance sheet.
The new cement plant will contribute to PCC’s aim of improving operating efficiency and gaining a competitive advantage. The company is also reportedly planning to shutdown less efficient mills at its Bulawayo facility.
Edited from various sources by Rosalie Starling
Read the article online at: https://www.worldcement.com/africa-middle-east/22052014/ppc_raises_budget_for_zimbabwean_expansion_projects_237/