Najmat Al Samawa Cement (NAS Cement) in Iraq announced this week that its second production line was successfully fired up on 13 May 2025. The new 5500t/day line was formally announced in May 2023. It joins the existing line at the site and should bring the plant’s total production capacity to around 3Mt/yr. The plant is a joint-venture between Pakistan-based Lucky Cement Limited and the Al Shumookh Company in Dubai and its representatives in Iraq.
Global Cement Magazine interviewed Intezar Ahmad, the Director of Operations at NAS Cement, in the November 2024 issue. He explained that China-based TCDRI was the main contractor for both the original and new lines. Equipment for Line 2 was also supplied by Fives Pillard, Loesche and IKN. Commissioning was scheduled for the second quarter of 2025. This, nicely, appears to be spot on. Lucky Cement added in its statement about the new line this week that it is also building a new 0.65Mt/yr cement grinding mill at the plant. This addition is expected to be commissioned during the second half of the 2025 calendar year. Lucky Cement also operates a cement grinding plant, under a joint-venture, in Basra.
The expansion at NAS Cement is by no means the only one as there have been a number of project announcements over the last three months. Germany-based Gebr. Pfeiffer revealed in late-March 2025 that it had won an order to supply a vertical roller mill for the Al Amir cement plant in Najaf. This contract was awarded through the China-based contractor Sinoma Suzhou. Commissioning is planned for the second half of 2026. Then, one month later in April 2025, Prime Minister Mohammed Shia Al-Sudani made a statement launching ‘implementation works’ at four cement plants in Al-Muthanna Province. This included the 6000t/day Al-Arabi Cement Plant, the 6000t/day Al-Khairat Al-Muthanna Cement Plant, the 6600t/day Al-Samawa Cement Plant and the 6000t/day Al-Etihad Cement Plant. Al-Sudani also mentioned the start of commercial operations at NAS Cement’s second line. Subsequently, IVI Holding signed a US$240m deal with Sinoma Overseas in mid-May 2025 to build a 6000t/day plant in Al-Muthanna Province. Presumably, this is one of the projects that the government highlighted. Finally, the Kurdistan Region prime minister Masrour Barzani inaugurated the 6300t/day Dabin cement plant at around the same time. This last project was built by PowerChina together with a power station.
The Iraqi economy has been doing well in recent years. The International Monetary Fund (IMF) reported in May 2025 that the non-oil sector experienced “very strong growth” of 13.8% in 2023. This slowed down to 2.5% in 2024 due to a slowdown in public investment and in the services sector, and a weaker trade balance. However, the IMF noted that the agriculture, manufacturing, and construction sectors had remained resilient. Non-oil sector growth is forecast to remain subdued in 2025 amid a “...challenging global environment and financing constraints.” In its coverage of the new line at NAS Cement, Pakistan Today reported that the country has a notional cement production capacity of around 40Mt/yr but that many of the older plants have suffered from under-investment. Accordingly, the domestic market is around 25Mt/yr supported by state-funded housing projects, oil-field infrastructure schemes and reconstruction in Mosul. 3 - 4Mt of this is supplied via imports from Iran and Türkiye. The newspaper also noted the risk that all these new cement plant projects may face from variable gas supplies from the government. NAS Cement, for example, switched from heavy fuel oil (HFO) to gas in 2022.
Cement sector capacity expansion is coming in Iraq following a revived local economy. Risks abound though due to the country’s economic outlook, its dependence on oil and an geopolitical uncertainty. Yet money is being spent and new projects are starting to be commissioned. Onwards!