BUA Cement Signs $240m Deal with Chinese Firm to Expand Production in Nigeria

BUA Cement Plc has finalized a $240 million agreement with China Base Engineering Firm (CBMI) to construct a new 3 million metric ton per annum cement production line at its Sokoto plant in Nigeria. This move is part of an effort to enhance capacity and boost cement supply in the northern region.

The investment will cover the construction of the cement line, a dedicated power plant, and supporting infrastructure. Once completed, the expansion will increase BUA Cement's total installed production capacity to 20 million metric tons per year.

The deal strengthens the longstanding partnership between BUA Cement and CBMI, which has spanned 15 years. The new production line is expected to alleviate supply constraints in the region, reduce transportation costs, and improve access to cement infrastructure.

Additionally, the expansion will support BUA Group's 700-ton per day mini liquefied natural gas (LNG) plant in Kogi State. This strategic move aligns with recent economic reforms in Nigeria and is poised to contribute to job creation, support infrastructure development, and stimulate industrial growth in the region.