BUA Cement Plc is in talks with US-based International Finance Corporation (IFC) to raise funds through a loan to expand its cement facility, the company said in a statement to the Nigerian stock exchange.

The funding aims to expand the capacity of the firm’s integrated cement plant in Kalambaina, Sokoto, to 8.0 million tons per annum (MTPA) from 2.0 MTPA and develop other ancillary utilities.

The statement gave no details on the amount planned to be raised.

In a recent statement posted on the cement producer’s website, Chairman Abdul Samad Rabiu said that the ongoing projects will be completed in 2023 to increase installed capacity to 17 million metric tonnes per annum, solidifying BUA’s position in the Nigerian cement industry.

“Our aim is to invest more in the cement industry until Nigeria is self-sufficient, and cement is readily available, accessible, and affordable for all Nigerians,” Rabiu stated.

On the sustainability front, the company has made significant progress on cleaner energy mix through its transition from heavy fuel oils to liquefied natural fas in its Sokoto plants, the statement added.  

BUA Cement, Nigeria’s second-largest cement company, reported a profit after tax of N90.1billion, up 24.5% year-on-year, in 2021.

(Editing by Seban Scaria seban.scaria@lseg.com )