Dangote, Sinoma sign agreement for new cement plant in Itori, the third in Ogun

In 27 months another cement plant will be established in Itori, Ogun State courtesy Dangote Industries Ltd as it has signed an agreement with China Sinoma International Engineering on the project.

The plant located at Itori, a satellite community of about 15km from Abeokuta, the state capital, and five km away from Lafarge Cement at Ewekoro and about 20km from Dangote Cement Factory at Obese near Ilaro, is expected to produce six million tons of cement yearly when completed, Persecondnews reports.

The agreement was signed by the Chairman of Dangote Cement Plc, Aliko Dangote, alongside the  Group Executive Director, Strategy, Capital Projects & Portfolio Development, DIL, Devakumar Edwin, while China Sinoma Engineering was represented by its Group  President, Yin Zhisong, and the company’s Chairman, Liu Renyue.

Dangote said at the signing ceremony that new integrated cement plant will strengthen the local production capacity of Dangote Cement, bringing its local capacity to 41.25 million tons per annum and total African capacity to 57.6 million tons per annum.

The plant, he added, will also increase Nigeria’s capacity to export cement and facilitate diversification as well as foreign exchange inflows for the nation’s economy.

On job creation prospect of the plant, Dangote said: “The project is further expected to develop the domestic economy through creation of thousands of indirect and direct jobs and drive economic development in the Itori axis.

“Ancillary businesses, he stated will be drawn to the axis, who will be seeking to take advantage of the location of the cement plant to provide goods and services to staff, contractors and other stakeholders.”

According to him, setting up the new cement plant is in line with Dangote Group’s vision of producing locally goods that were hitherto imported in spite of the availability of raw materials for local production.

Describing Sinoma as a strategic partner that has been instrumental to the success of key projects in Dangote Group, he said, “We are comfortable working with your company.

“You have handled some of our key projects and I am positive that this project will be completed as scheduled.”

The Group President of China Sinoma Engineering, Yin Zhisong, expressed satisfaction with the commitment and determination of the Dangote Group in building cement plants across Africa.

“It is an honour for us to build another cement plant for Dangote Group. We are proud and happy to be on this journey with the company again.”

When operational, the plant is expected to have two Lines x 6,000 TPD Clinker Production with an installed daily total capacity of 12,000 TPD of Clinker production.

It is expected to be completed within 27 months with best-in-class equipment in the cement industry, sourced from Europe’s major equipment suppliers.

The plant will have its own captive power plant to generate electric power for use by cement kilns and other production processes.

The Itori Cement Plant will be Dangote Cement’s fourth cement plant constructed as a green field project in Nigeria, the rest are Obajana, Ibese and Okpella Plants.

Dangote Cement is Africa’s leading cement producer with 51.6Mta production capacity across Africa with Nigeria accounting for 35.25Mta.

Obajana plant in Kogi State, Nigeria, is the largest in Africa with 16.25Mta of capacity across five lines; Ibese plant in Ogun State has four cement lines with a combined installed capacity of 12Mta; Gboko plant in Benue State has 4Mta; and Okpella plant in Edo State has 3Mta.