RAYSUT CEMENT INKS DUQM PLANT DEALS

Raysut
Cement Company, which calls itself Oman’s largest cement manufacturer, has
signed land lease and Port of Terminal services agreements with Port of Duqm
Company for the construction of its $30m (OMR11.5m)
grinding unit, which the Muscat Securities Market-listed company
has previously said will add one million tonnes to its current capacity, taking
annual output to 7.4 million tonnes.

The Duqm plant is being set up as part of the
company’s “aggressive expansion strategy”, which includes projects in Africa,
Europe, and India.

Commenting on the programme, Raysut Cement’s chief
executive officer, Joey Ghose, said: “The Duqm unit, which comes after our
recent acquisition of Sohar Cements in Oman will help us consolidate and
strengthen our presence in Oman and the neighbouring Gulf markets.

“Our goal is to raise our capacity to 20 million
tonnes by 2025 and eventually be a solid partner to infrastructure development
and in turn nation building in the markets where we are present.”

Ghose signed the Duqm plant’s agreement with CEO of
Port of Duqm Company, Reggy Vermeulen, and construction on the project has
begun.

The current phase of Raysut Cement’s expansion plan
is focused on Georgia and markets in Africa.

Following a $60m (OMR23.1m) acquisition of Sohar Cements in May 2019, Raysut Cement announced a joint venture with MSG
Group in East Africa to set up a $40m (OMR15.4m) cement grinding unit in Berbera, Somaliland.

Ghose said the company was, so far in 2019,
“looking at an investment of over $150m (OMR57.7m) in capacity expansion”,
adding that its joint venture of Georgia was in “advanced stages”.

Phase 2 of Raysut Cement’s expansion plan includes
$700m (OMR269.5m) investments in India by 2022, with the firm already
considering spending $200m (OMR77m) on acquiring two cement plants in the
country.

Raysut Cement also signed a $51m (OMR19.6m) financing deal with Bank Nizwa to fund its operations and expansion plans in
Oman’s Salalah and Sohar.

“We will continue to invest in markets where we find growth potential through acquisitions and by setting up greenfield projects,” Ghose said.https://www.constructionweekonline.com/projects-and-tenders/259140-raysut-cement-inks-duqm-plant-deals-eyes-700m-india-expansion