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News Dangote Cement’s operations hit by domestic gas shortages and international freight rates

Dangote Cement’s operations hit by domestic gas shortages and international freight rates

Written by Global Cement staff 04 May 2022
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Nigeria: Dangote Cement sales volumes in the first quarter of 2022 have been hampered by disruptions to gas supplies domestically and by high freight rates restricting its exports of cement and clinker to Cameroon, Ghana and Sierra Leone. Its sales volumes of cement fell by 3.6% year-on-year to 7.25Mt in the first quarter of 2022 from 7.52Mt in the same period in 2021. Its revenue grew by 24% to US$994m from US$801m. Its earnings before interest, taxation, depreciation and amortisation (EBITDA) increased by 18.6% to US$508m from US$428m.

Michael Pucheros, the chief executive officer of Dangote Cement, said “Our group volumes were down 3.6% mainly due to energy supply challenges in Nigeria. Our operations relying on cement and clinker imports – namely Ghana, Sierra-Leone, Cameroon - were impacted by the global supply chain challenges.” Additionally, its operations outside of Nigeria was also negatively affected by a cement plant in Congo being shut for over two months due to maintenance and repairs and extended power plant maintenance in Senegal.

Published in Global Cement News
Tagged under
  • Nigeria
  • Dangote Cement
  • Results
  • GCW555
  • Gas
  • supply chain
  • Export
  • Clinker
  • Cameroon
  • Ghana
  • Sierra Leone
  • Plant
  • Shutdown
  • Congo
  • Senegal
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