By OLUSHOLA BELLO, Lagos
Dangote Cement Plc said it will officially open its 1.5 million metric tonnes per annum capacity Cement Plant in Congo.
The Congo plant will be opened on November 23, 2019. Constructed at a conservative cost of $500 million, the Plant is expected to directly employ more than 1000 people as thousands of indirect jobs will also be created.
The Plant which is now the largest in Congo rolled out its first bag of cement on August 7, 2017.
Currently in 17 African countries, the Congo Plant commissioning will bring the total of Dangote Cement fully operational Plants to 10 across Africa.
The company’s third quarter unaudited results showed that the Congo plant which recently began operations has almost doubled the size of the cement sector in the country.
In the overall, Dangote Cement maintained its strong hold in the domestic cement market accounting for 65 percent of the Nigerian cement market while Pan-African volumes went up by 7.5 percent to 7.0 mta. Analysis of the results indicated that the company recorded strong volumes in Senegal, Ethiopia and Cameroon.
In the nine months under review, the 1.5 mta clinker grinding facility in Douala Cameroon sold approximately 938 kt of cement, indicating an increase of 16.4 percent on the 806 kt sold the same period in 2016.
Dangote Cement attributed the increase in sales to a number of factors ranging from strong brand recognition, increased point of sales branding, improvements in sales and marketing strategies to higher visibility through trade shows.
Dangote Cement Ethiopia increased sales by 16.8 percent to nearly 1.7 mta in the first nine months of 2017 representing capacity utilisation of approximately 88 percent. The cement plant in Pout Senegal sold 1.0mta of cement in the period under review, up by 21.7 percent on the comparable period of 2016.
This represents almost 89 percent capacity utilisation at the factory.
The company stated that “Our Pan-African operations are performing strongly with excellent sales growth in Cameroon, Ethiopia and Senegal. We are consolidating our success across Africa and have just commissioned our 1.5Mta factory in Congo, the tenth country in which we have established operations.
“In our key operations in Nigeria we have significantly improved our fuel mix and this has helped increase margins across the Group. It is especially good for Nigeria because most of the coal we are using is mined in our own country.”
It would be recalled that top rating agencies, Moody’s Investors Service (Moody’) and Global Credit Ratings recently scored Dangote Cement high marks in their recent published ratings assigning a stable outlook to the foremost cement conglomerate.
Moody’s assigned a first-time Ba3 corporate family rating (CFR), Ba3-PD probability of default rating and Aaa.ng national scale rating (NSR) corporate family rating to Dangote Cement Plc (DCP), with the outlook on the ratings as stable while Global Credit Ratings accorded initial long term and short term national scale issuer ratings of AA+(NG) and A1+(NG) respectively, to Dangote Cement Plc, with the outlook accorded as Stable.
Speaking on the rating, vice president and lead analyst for Dangote Cement Plc at Moody’s Douglas Rowlings said, “Dangote Cement Plc’s Ba3 corporate family rating, one-notch above the Government of Nigeria’s rating, reflects the company’s strong standalone credit profile and track record of demonstrated financial support from a larger and more diversified parent, Dangote Industries Limited.”
He added that the ratings factor in the diversification of the company’s revenue streams as DCP’s new cement production plants are commissioned in Africa with Pan-African volumes expected to reach 40 percent of total sales volumes by 2020.
Global Credit Ratings (GCR) credit ratings on Dangote Cement were based on the fact that DCP is one of Africa’s leading integrated cement companies.
Examining Implementation Of Child Rights Convention
By November 20th this year, the convention on the rights of the child (CRC), will be 30 years since it...
Chronicling 8th Senate’s Efforts In Education Sector
As the current Senate winds down in a matter of days, BODE GBADEBO writes on the legislative interventions of the...
Awaiting S’Court Verdict On Zamfara APC
The long standing legal battle over the conduct of APC primaries or otherwise in Zamfara State will end tomorrow as...
Nigeria To Halt N360bn Capital Flight In Aviation Sector
A new internationally licensed Maintenance Repair and Overhaul (MRO) that will end over N360 billion capital flight has been launched...
We Must Organise Mining Sector For Optimal Results– Mayere
Lawal Mayere is a retired permanent secretary in Kaduna State.He served in the ministries of land, works, solid minerals ,...
Combating Desertification In Sahel, Horn Of Africa
CHIKA OKEKE examines attempts by governments and stakeholders in the African region to protect its landmass from mind boggling desertification....
NEWS22 hours ago
INEC Withdraws 2 Certificate Of Return In Kaduna
NEWS20 hours ago
Zamfara Assembly Creates Additional Emirate Council
FOOTBALL23 hours ago
Borussia Dortmund Complete Signing Of Thorgan Hazard
NEWS22 hours ago
Indonesia Post-Election Protests Leave 6 Dead
AVIATION23 hours ago
Aviation Unions Shut Down NCAA Over New Organogram
NEWS18 hours ago
Anxiety In Ogun As RCCG Raids, Dump Destitutes In Abeokuta
NEWS19 hours ago
Rivers Guber Poll: Tribunal Dismisses Labour Party Petition
BUSINESS22 hours ago
Huawei Faces Break With Key Chip Maker