13 April 2016
Alhaji Aliko Dangote, President of Dangote group has signed for a loan of $2 billion from the Industrial Commercial Bank of China Limited for the establishment of two cement plants.
According to Dangote, it will be located in Nigeria and as he told Reuters, he went ahead with the deal because the interest rate was okay and favourable with him. The deal included China Export & Credit Insurance Corporation (Sinosure).
The cement plant is to be located in Okpella, Edo state, south-south Nigeria. It has been said that it will have an estimated production capacity of six million metric tonnes of cement every year.
Addressing people at the ground-breaking ceremony, Dangote said the one-billion dollar investment would create massive employment. He added that the Dangote cement group is targeting 81 million tonnes of cement per annum, which will make the group one of the top six cement companies in the world.
He said in June last year, the group commissioned its cement plant in Ethiopia, Zambia and Cameroon, adding that there are plans to commission other plants in Senegal and South Africa soon.
He explained that the group was consolidating its cement businesses across Africa in order to reap from the benefits of scale, stressing that its operational offshore cement plants had started to make substantial contributions to its revenue.