Displaying items by tag: Middle East and Africa

Saudi Arabia: Southern Province Cement has signed a 25-year solar energy power purchase agreement (PPA) with Tarshid Energy Solutions for its Bisha cement plant. The company said it will pay an average of US$1.07m/yr under the agreement. The solar power will reportedly be purchased at a cost lower than the company’s current electricity supply.

Construction of the solar system will begin on 1 October 2025, with operations expected to start in the third quarter of 2026. Southern Province Cement said that it will not require project funding, as it will not bear any capital or operational expenses. The company did not disclose details on the capacity of the new solar power plant.

Zimbabwe: Khayah Cement has secured a US$60m rescue package from East African producer Hima Cement after creditors and shareholders unanimously approved a corporate recovery plan. The agreement will allow for debt settlement, refurbishment of the Harare plant and a return to sustainable operations, according to The Sunday Mail.

Corporate rescue practitioner Balisa Mbano said the approval marked a major turning point for the company, which has struggled with debt and operational inefficiencies. “The positive is that all creditors will be paid down in a compromise amount and settled immediately. This gives the company immediate relief and the breathing space to focus on growth rather than liabilities,” he said.

In the short term, Khayah Cement will stop clinker imports and instead produce locally, securing supply reliability. The phased investment will cover both working capital and capital expenditure. The full implementation of the recovery plan is targeted within six months, with completion targeted for March 2026. Khayah Cement operates a 450,000t/yr plant in Harare, and has faced foreign currency shortages, high operational costs and equipment breakdowns in recent years, leading to its placement under corporate rescue in 2022.

Mauritania/Algeria: Ciment du Nord has signed a supply agreement with Algeria’s state-owned Groupe Industriel des Ciments d’Algérie (GICA). The deal marks the first direct partnership between the two companies and will set clinker export volumes to Mauritania, with pricing terms still reportedly under negotiation.

“Thanks to this agreement, we will import the raw materials needed to manufacture cement directly from Algeria. The Mauritanian market is important, and this partnership will have a positive impact,” said Mohamed Abdallah Ould Zein, CEO of Ciment du Nord. Ould Zein added that the agreement is expected to strengthen Mauritania’s cement industry by securing direct clinker supply from Algeria and reducing reliance on intermediaries.

Sierra Leone: IFC, a member of the World Bank Group, has announced a US$24m financing package for MACCEM Industries to build and operate a new cement grinding plant in Freetown. The project aims to reduce Sierra Leone’s reliance on cement imports, improve access to locally produced building materials and create new jobs. The package includes a US$12m loan from IFC’s own account and an additional US$12m from the IDA20 IFC-MIGA Private Sector Window Blended Finance Facility. The new plant has a planned capacity of 657,000t/yr and is expected to meet up to 65% of the country’s domestic cement demand. It will also reportedly integrate solar energy into its operations.

Ahmad Mackie, CEO of Maccem Industries, said “Together we are building the country’s first cement grinding plant in four decades, a project that will reduce import dependency, create jobs, empower local businesses, and set a stronger foundation for sustainable and inclusive growth.”

Abdu Muwonge, World Bank Group joint country representative in Sierra Leone, added “IFC’s partnership with MACCEM will support the development of housing and vital infrastructure such as roads, housing, water systems and energy projects.”

Saudi Arabia: Southern Province Cement announced that its memorandum of understanding (MoU) with Yanbu Cement, aimed at assessing the feasibility of a potential merger, has expired without conclusion. The MoU was first signed in June 2024 and extended in June 2025 for an additional three months. That extension lapsed on 22 September 2025, Southern Province Cement said in a filing to the Saudi Stock Exchange.

Zimbabwe: Construction of the Chegutu cement plant by Chinese investor Shuntal Investment has reportedly reached the halfway stage, with production scheduled to begin in early 2026, according to the government-owned newspaper The Sunday Mail. The plant will produce 800,000t/yr of cement and is the second cement plant under development in Mashonaland West, alongside WIH-Zim’s Magunje plant, also set to open in 2026.

Shuntal Investment general manager Zhou Bin said the project is on schedule. “The entire project is expected to be completed before the onset of the 2025/2026 rainy season. This timing is deliberate so that production will not be disrupted during the critical rainy months,” he said  

He added that the plant will adopt modern technology, including a pipe spray cooling system, bag-type dust removers reportedly capable of reducing 99% of dust emissions, and fully enclosed, spill-proof production lines. Raw materials will be sourced from the nearby Lambourne quarry site, reducing Zimbabwe’s dependence on imports. Around 200 local workers are currently employed, building staff housing, storage facilities, warehouses and plant infrastructure.

Ropafadzo Chafesuka, a female truck driver at the site, said 'There are several female workers here, and this has empowered us. We are certain that once the plant starts production, more women will be employed, reducing early marriages and helping fight drug and substance abuse.”

Local press in Zimbabwe previously reported in August 2025 that Shuntai Holdings was in a legal battle with a local school over the construction of the plant 497m from the school’s boundary. Construction has reportedly continued despite a High Court judge ordering construction to cease.

Cameroon: The Central Africa Cement (CAC) plant in Koukoue, Edéa district, was inaugurated on 19 September 2025, in a ceremony chaired by Minister of Mines, Industry and Technological Development Fuh Calixtus. The event was also attended by the Minister of Transport and local leaders. The US$21m project has a production capacity of 1Mt/yr, and will use local resources such as limestone and pozzolan, while importing clinker. Cement output will serve both domestic demand and export markets, according to Afrik Info.

The new facility will reportedly create 121 direct jobs and boost local supply with affordable cement. It also reinforces Cameroon’s position as a cement hub in Central Africa and aligns with the African Continental Free Trade Area (AfCFTA) and Economic Partnership Agreements (EPAs), which aim to increase competitiveness in international trade.

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.

Algeria: Interim Prime Minister Sifi Ghrieb, who came to power on 14 September 2025, has chaired an inter-ministerial meeting on the topic of cement and clinker exports, according to a press release from the Prime Minister's office. Those present included the ministers of finance, foreign trade and export promotion, public works and transport, the Governor of the Bank of Algeria, and economic operators active in the cement export sector. The meeting was reportedly prompted by a request from the Algerian President Abdelmadjid Tebboune.

The meeting provided Interim Prime Minister Ghrieb the opportunity to receive presentations on the state of infrastructure at the ports involved in export operations and to listen to the concerns and proposals of the economic operators present. It agreed a series of immediate and short-term measures by streamlining the operation of current infrastructure. Medium-term proposals to target a greater proportion of cement and clinker towards export markets, including investment in new infrastructure, were also discussed.

Kenya: On 16 September 2025, the Kenyan government directed the East African Portland Cement Company (EAPCC) to pursue a share buyback of a 29.2% stake owned by Switzerland’s Holcim, in what looks set to derail the sale of the shares to a Tanzanian tycoon.

The planned sale of the EAPCC shares to the Tanzanian investor Edhah Abdallah Munif had raised concerns in Parliament over the discounted cost of the deal, which had been set to take place at just half of the company’s stock price. Legislators have queried why shares in the asset-rich firm were being sold at a knock-down price.

Under the terms of the Tanzanian deal, Munif had been set to buy 26.32 million EAPCC shares from Holcim using an investment firm known as Kalahari Cement for a total of US$5.6m, which values the company at US$19.2m. Its share price on 17 September 2025 suggested a value of around US$38.5m.

To proceed with the share buyback, EAPCC must get approval from the Capital Markets Authority (CMA). The maximum share buyback price is 10% more than the average price over a month, while the minimum is the prevailing price on the Nairobi Stock Exchange.