Displaying items by tag: Dangote Cement

Nigeria/Botswana: Nigeria-based producer Dangote Cement has announced plans to expand into Botswana with a new plant, which would increase its presence on the continent to 12 countries. The plan was disclosed by Emmanuel Ikazoboh, newly appointed chair of Dangote Cement, during a presentation at the Nigerian Exchange Group.

“We are fully aware of the challenges in South Africa, which is why we’re opening a plant in Botswana, geographically close to the market,” Ikazoboh said. “South Africa currently imports cement, and while we have urged the government to curb imports, progress has been slow.”

According to the company, the Botswana blending plant will help boost production and improve profitability, with Dangote Cement targeting 66.4Mt/yr across all of its operations by 2030, a 28% increase from its current capacity of 52Mt/yr.

Nigeria: Dangote Cement despatched 481,000t of clinker from Nigeria to its subsidiaries in Cameroon and Ghana in the first half of 2025, according to its latest activity report. While country-specific volumes were not disclosed, the company said that the supply ensured production continuity in these key markets and helped mitigate volatility in international clinker prices.

The group’s 1.5Mt/yr clinker grinding plant in Douala, Cameroon, sold 687,000t of cement in the first half of 2025, down by 3% from 710,000t in the same period of 2024. Dangote Cement attributed the decline to a temporary slowdown in demand.

Despite this, the outlook remains positive, supported by major infrastructure projects such as the Douala–Yaoundé highway and nationwide road rehabilitation. “These initiatives should maintain sustained cement demand in the medium term, despite uncertainties linked to the general elections scheduled for October 2025,” the report stated.

In Congo, however, sales stagnated at 446,000t in the first half of 2025 due to logistical challenges that limited exports, despite the resumption of public projects.

Looking ahead, Dangote Cement is moving forward with its long-delayed expansion in Cameroon. Bertrand Mbouck, General Manager of Dangote Cement Cameroon, confirmed that construction of a second plant had officially commenced after receiving government approval. The project, first announced in 2015 by Group CEO Aliko Dangote, was originally given a 20-month duration.

Ivory Coast: Dangote Cement has announced the imminent commissioning of its 3Mt/yr grinding plant in Ivory Coast, which it says will take place in the third quarter of 2025. The company says that the investment is part of its drive to enhance its regional presence in West Africa. The company’s CEO Arvin Pathak noted that the plant will streamline and provide flexibility to Dangote’s exports in West Africa, which grew by 18.2% in the first half of 2025.

Dangote Cement is Africa’s largest cement producer, with a capacity of 48.6Mt/yr. It already operates in more than 10 African markets, including Tanzania, South Africa, Ethiopia, Cameroon, the Republic of Congo and Ghana.

This week Aliko Dangote retired as the chair of Dangote Cement. It’s a big deal, as Dangote founded parent company Dangote Industries in 1981 as an importer of bagged cement and other commodities such as rice, sugar, flour and salt. Over 40 years later Dangote Cement is the biggest cement company in Africa with a reported capacity of 52Mt/yr, operations in at least 10 countries and annual revenues of US$2.3bn. Dangote personally has also become Africa’s richest inhabitant along the way. It’s an extraordinary achievement.

As CEO Arvind Pathak, said in the company’s half-year report, “We celebrate our president, Alhaji Aliko Dangote, who now steps down from the board, for his pivotal and transformative role in shaping the company’s growth, success, and lasting legacy. His visionary leadership, entrepreneurial spirit, and unwavering commitment laid the very foundation of our journey. Under his guidance, the company achieved remarkable milestones, expanded its footprint, and set new standards of excellence across the industry.” Dangote is aged 68 years and his successor as chair of Dangote Cement, Emmanuel Ikazoboh, is aged 76 years.

The key acquisitions started in 2000, when the company purchased a controlling stake in Benue Cement following its privatisation. Then, in 2002, it bought Obajana Cement and started up its first production line at the site by 2007. Obajana has since become the group’s largest plant in Nigeria with a production capacity of 16.3Mt/yr across four lines. The company listed on the Nigerian Stock Exchange in 2010. Dangote Cement set up other plants in Nigeria and the Cement Manufacturing Association of Nigeria (CMAN) declared that the country was ‘self-sufficient’ in cement in 2012. Dangote the cement importer had become Dangote the cement producer. Then it became Dangote the cement exporter when it established its first overseas cement terminal in Ghana in 2011. Finally, it became Dangote the cement multinational when production plants outside of Nigeria started to be built in the early 2000s with units in Senegal and South Africa starting up in 2014. Today, in 2025, Dangote Cement has operations in Cameroon, Congo, Ethiopia, Ghana, Senegal, Sierra Leone, South Africa, Tanzania and Zambia.

Naturally, one doesn’t build a conglomerate as large and successful as Dangote Industries without dividing opinion along the way. Issues on the cement side of the business include criticism of how Dangote managed to beat his rivals to buy government-run cement companies in the early 2000s. To be fair to Dangote though, other companies including Blue Circle and HeidelbergCement did the same thing at this time. Arguments about this issue resurfaced publicly in 2022 when the Kogi State Government took Dangote Cement to court over its ownership of the Obajana plant in relation to tax revenue.

Another issue in Nigeria in recent years has been repeated arguments about the price of cement. Despite the country becoming ‘self-sufficient’ in cement, the cost has prompted scrutiny by legislators. Meanwhile, Dangote Cement has continued to make handsome profits year after year. Outside of Nigeria, Dangote’s expansion plans haven’t always gone smoothly. Its plans to open a plant in Kenya, for example, appear to have been stymied repeatedly. Infamously, Dangote himself allegedly described Kenya as being more corrupt than Nigeria to Kenyan media. A long heralded listing on the London Stock Exchange never happened and acquisitions outside of Africa are yet to occur. Looking forward, future challenges include newer entrants into the Sub-Saharan African cement such as those from China. A sign of challenges to come include the pending acquisition of Lafarge Africa by Huaxin Cement as China continues to attempt to export its cement production ambitions.

As Aliko Dangote steps down as chair from his cement business, the potential for both his company and the continent it is based in remains high. Demographic factors favour economic growth in Africa in the 21st Century due to its growing population and need for development. This will require plenty of cement and Dangote Cement is well positioned to supply it.

And finally… some people take up gardening in their retirement. Should Dangote become bored in his retirement from the cement business though he could consider the example of the former CEO of Ireland-based CRH. It was announced last week that Albert Manifold has been appointed as the chair of oil and gas company BP. Dangote Group already operates an oil refinery. Perhaps future opportunities beckon.

Nigeria: Aliko Dangote has retired as the chair of Dangote Cement. He has been succeeded by Emmanuel Ikazoboh in the post.

Arvind Pathak, the CEO of Dangote Cement, said “On behalf of the board and management, we celebrate our president, Alhaji Aliko Dangote, GCON, who now steps down from the board, for his pivotal and transformative role in shaping the company’s growth, success, and lasting legacy. His visionary leadership, entrepreneurial spirit and unwavering commitment laid the very foundation of our journey.”

Dangote founded parent company Dangote Industries in 1981 as an importer of bagged cement and other commodities such as rice, sugar, flour and salt. In the early 2000s the company purchased Benue Cement and Obajana Cement from the government when they were privatised. Dangote Cement then built a new cement production line at the Obajana plant in the late 2000s before building other plants in Nigeria and expanding internationally in Sub-Saharan Africa in the 2010s. Today, Dangote Cement is the biggest cement company in Africa with a self-declared capacity of 52Mt/yr, operations in 10 countries and annual revenues of US$2.3bn.

Ikazoboh holds over 40 years of experience in management roles in Nigeria, Ivory Coast, Cameroon and South Africa. He started his professional career at Akintola Williams Deloitte becoming a managing partner in Cameroon and Ivory Coast and then later becoming a managing partner in West and Central Africa until 2009. In 2010 he was appointed by the Securities and Exchange as an Interim Administrator to carry out capital market reforms of the Nigerian Stock Exchange and the Central Securities Clearing System. From 2014 to 2000 he worked as the group chair of Ecobank Transnational. He has been a director of Dangote Cement since 2014. Ikazoboh holds a master’s of business administration (MBA) in financial management and marketing from Manchester University Business School, is a certified accountant in the UK and is a fellow of the Nigeria Institute of Chartered Accountants.

Nigeria: Domestic sales revenue and earnings have driven Dangote Cement’s financial performance in the first half of 2025. Its sales revenue grew by 17.7% year-on-year to US$1.35bn in the reporting period compared to US$1.15bn in 2024. Earnings before interest, taxation, depreciation and amortisation (EBITDA) rose by 41.8% to US$618m from US$435m. Sales and earnings grew sharply at home in Nigeria yet they fell elsewhere in Africa. Sales volumes of cement dropped by 4.1% to 13.4Mt from 13.9Mt, with a minor decrease locally and a sharper fall in other countries.

Arvind Pathak, CEO of Dangote Cement, said “While group volumes declined… [due] to softer demand in key markets, we remain encouraged by the growth in our export business. Export volumes from Nigeria increased by 18.2%, with 18 successful clinker shipments made to Ghana and Cameroon. This demonstrates the growing importance of our pan-African footprint and our ongoing commitment to regional trade and self-sufficiency.

By region, the group noted that its sales revenue in Nigeria rose sharply driven by price adjustments to keep up with inflation. Exports from national operations increased by 18.2% to 671,000t. 481,000t of this total was sent to Cameroon and Ghana. In the rest of Africa the company blamed lower sales volumes on post-election uncertainties in Senegal and South Africa, and liquidity constraints in Ethiopia due to delays in the approval of the national budget.

Finally, it was announced that company chair and founder Aliko Dangote has stepped down from the board of directors. It celebrated his, “pivotal and transformative role in shaping the company’s growth, success, and lasting legacy.”

Nigeria: BUA CEO Abdul Samad Rabiu said that the company has agreed with Dangote Group to freeze the price of cement for retailers involved in President Bola Tinubu’s Renewed Hope Agenda projects.

“We have decided that we are going to freeze the price of cement for any contractor that is involved with the Renewed Hope project.” Rabiu said. He added “There will be no increase for the foreseeable future.”

The Premium Times newspaper reported that it was not able to obtain a confirmation from Dangote Group about the price freeze.

Nigeria: Dangote Cement recorded a profit after tax of US$131m for the quarter ending 31 March 2025, up by 86% from US$70.5m in the same period of 2024. Revenue rose by 22% year-on-year to US$623m, driven largely by strategic pricing initiatives in Nigeria, where revenue grew by 54%. Gross profit rose to US$368m from US$262m, while profit before tax increased by 87% to US$195m from US$104m. Group earnings by interest, taxation, depreciation and amortisation (EBITDA) surged by 49% to US$289m.

The group’s cement volumes declined by 7% to 6.6Mt during the quarter, reflecting reduced demand and heightened inflationary pressures across key markets. However, export volumes grew by 21%, supported by eight clinker shipments to Ghana and Cameroon.

Nigeria: Dangote Cement has appointed Gbenga Fapohunda as its Group Financial Officer.

Fapohunda holds over 22 years of experience in financial management. He has worked for Dangote Cement since 2021 first as Regional Chief Financial Officer and then as the Acting Group Financial Officer from 2022. Before this he was the Executive Finance Director (West Africa) at Japan Tobacco International, Finance Director at United Parcel Service (UPS), Executive Finance Director at British American Tobacco. Earlier in his career, he was a manager within the financial advisory team at PricewaterhouseCoopers and worked at KPMG Professional Services within the Assurance Team. He holds a Doctor of Business Administration (Strategic Management) from the Rome Business School, a master’s of business administration (MBA) in finance from the London Business School and an undergraduate degree in accounting from the University of Lagos. He is a fellow of the Institute of Chartered Accountants of Nigeria.

Nigeria: Dangote Group has resumed construction of a 6Mt/yr cement plant in Itori, Ogun State, according to Business Insider Africa. Itori is 10km from Ewekoro, the site of a 3.9Mt/yr plant owned by Lafarge Africa. Construction of the plant is expected to be completed by November 2026. The company will also build ‘Nigeria’s largest seaport’ at the Olokola Free Trade Zone, also in Ogun State. The plant will have two lines and sits on 533 hectares of land.

Ogun State is already home to the 12Mt/yr Dangote Cement Plant in Ibese. Upon completion of the Itori project, the state’s total cement production capacity will reach 18Mt/yr. Dangote Cement reportedly has a production capacity of 52Mt/yr across Africa, with 70% of production in Nigeria.

Aliko Dangote said “We earlier on abandoned our vision of investing in the Olokola Free Trade Zone but, because of governor Dapo Abiodun’s policies and investor-friendly environment, we are back and will work with the government to return to Olokola. Plans are underway to construct the largest port in the country.”

He said that the nearly US$800m Itori cement plant should have been completed earlier, but was delayed due to opposition from former governor Ibikunle Amosun.