Two new cement plants due to be built in Mozambique

24 June 2015

Cement company Cimentos de Moçambique has launched the process of building a new integrated cement production plant in Nacala, a project expected to cost around US$250 million, the Cimpor group said in a statement issued in Lisbon.

The company, which has an integrated cement production plant in Matola and operates four grinding units at Dondo, Nacala, CINAC and Matola II, the latter inaugurated in 2013, has an annual cement production capacity of 3.1 million tons .

Cimentos de Moçambique, which already has two grinding units and licensed limestone reserves in Nacala, now plans to move on to full cement production in the region. From 2018 onwards it will have a furnace that will enable the production of 1.5 million tons of cement per year, allowing it to replace clinker imports.

In the statement, the group said construction of the new factory would be conducted in partnership with an international supplier, and its financing structure does not compromise the Cimpor group’s current debt reduction process.

Cimentos de Moçambique is majority-owned by Cimpor and its subsidiary in South Africa, Natal Portland, and is part of the InterCement group. The Mozambican company is also 18-percent owned by the Mozambican state via state stakeholding company IGEPE, port and rail company CFM and state insurance company Emose.

Meanwhile, Limak Holding, a Turkish group active in a number of different industries, has plans to invest over US$150 million to build a cement plant in Mozambique, with a capacity to produce 2 million tons per year.

In an initial phase, which will involve building the plant and launch of operations, the company will invest US$38 million in the first quarter 2016, which will allow it to produce about 600,000 tons per year.

In the second phase, with the construction of railways as the main access routes to the company, Limak Holding will more than triple production capacity to 2 million tons. (macauhub/MZ/PT)