Niger Delta Avengers Activities Hit Dangote

By Ikenga Chronicles October 3, 2016

Ikenga Chronicles can reliably inform you that Nigeria’s Dangote Cement has turned to locally-mined coal to fire its cement plants because of gas shortages due to militant attacks on Nigerian facilities and to lower its production costs.

“All our cement plants have been converted to coal,” Aliko Dangote told a business conference on Thursday, adding they would use 12,000 metric tonnes of coal each day.

Dangote is shifting to coal rather than gas to fire the kilns which produce clinker, an ingredient of cement.

BUA Group, said it is also switching one of its plants in northern Nigeria to run on coal to fire its kiln to address fuel shortages. It said technological advances have helped in the processing of coal to reduce emissions. Dangote’s main cement plant is also located in northern Nigeria.

Gas shortages have plagued Nigeria, with militants in the oil heartland of the Niger Delta regularly disrupting the West African nation’s oil and gas production.

Dangote, Africa’s biggest cement producer, has an annual production capacity of 43.6m tonnes and targets output of between 74m and 77m tonnes by the end of 2019 and 100m tonnes of capacity by 2020.

The company has invested more than $5bn to expand outside its home market in the past few years.

Dangote said Nigeria has become a cement exporter generating $1.25bn of sales as against annual imports of $2.5bn which the country would have spent before the sector was liberalised in 2002.

Write a comment

No Comments

No Comments Yet!

Let me tell You a sad story ! There are no comments yet, but You can be first one to comment this article.

Write a comment
View comments

Write a comment