Lafarge Backs AshakaCem To Fast-track N100bn Expansion Project

Lafarge Backs AshakaCem To Fast-track N100bn Expansion Project— Jul 15, 2014 4:22 am

The Board of Directors of AshakaCem Plc, and its management team, with support by experts from other Lafarge Group’s businesses across the globe, have agreed to fast-track the expansion of its N100 billion cement plant in the North-east.

The move, it was learnt, became imperative in order to guarantee the future of the company, enhance jobs creation in the North-east and deliver economic and social welfare to the immediate communities.

The ground-breaking ceremony of the project was done in April 2014 by President Goodluck Jonathan and ushered in a new phase in the capacity expansion project of the company

Having secured sufficient limestone and coal reserves to support the existing plant as well as the new plant, it was learnt that contracts have been signed with main equipment and engineering suppliers.For instance, to ensure the timely delivery of the project, the detailed design of the equipment as well as mobilisation of the sources had commenced.

The chairman of the board, Umaru Kwairanga, confirmed these developments in Abuja when he disclosed that the Lafarge Group is committed to the capacity expansion project in AshakaCem. He added that the group would deploy to the fullest its global expertise in procurement and erection of new cement plant and noted that credit facility lines of about N50 billion had been secured and signed in addition to internally generated cashflows to support the expansion project. In addition, he expressed confidence that given the extent of preparatory work that had been done, the project would soon become visible to all stakeholders.

He said, “AshakaCem in the last 40 years since its establishment has operated in harmony with all its neighbouring communities and this partnership is working to the mutual benefits of both parties.

“The company’s corporate social responsibility projects continues to focus on the provision of potable water, health care, education and youth empowerment. In the last three years alone, the company spent the sum of N400 million on community-related projects and there is the opportunity for the company to do more as this partnership thrives.”

The country chief executive officer (CEO), Lafarge Nigeria and Benin Republic, Mr Guillaume Roux, stated that the investment of N100 billion in Nigeria was a demonstration of its commitment to the economic growth of the country. This commitment, according to him, also aligns with the company’s strategy to deploy its strength as a global leader with over 175 years in building materials.

He noted that the huge experience of the company would be an added advantage towards providing solutions that meet global standards and fits the requirements of its customers.