Business
Dangote targets West, Central African markets with $800m cement expansion
Dangote Industries Limited has signed a Memorandum of Understanding (MoU) valued at more than $800 million with Chinese engineering giant Sinoma International Engineering Co. Ltd. to double the production capacity of its Itori cement plant in Ogun State from six million to 12 million metric tonnes annually.
The agreement, signed by Dangote Group President Aliko Dangote and Sinoma Chairman Lin Zhong, marks another major investment by the conglomerate aimed at strengthening Nigeria’s position as Africa’s leading cement producer and expanding exports across West and Central Africa.
Speaking at the signing ceremony, Dangote disclosed that work on the expansion had already begun, even before the formal commissioning of the existing plant.
“Before even the commissioning, we are starting to double the capacity to 12 million tonnes. We hope that in the next 22 months it will be ready,” Dangote said.
He also revealed that the company had signed a second agreement with Sinoma to expand its cement export terminal in Lagos, a move designed to increase exports to neighbouring West African countries and Cameroon.
READ ALSO; Dangote Refinery offers fresh hope for Nigeria’s industrial transformation
“The second contract we are signing today is for the expansion of our export terminal in Lagos, where we are exporting cement to other West African countries and up to Central Africa, including Cameroon,” he added.
Dangote attributed the decision to embark on the fresh investment to the Federal Government’s efforts to create a more business-friendly environment, particularly its renewed emphasis on using concrete for road construction.
He commended President Bola Tinubu for implementing policies that encourage private sector investment and industrial expansion.
For its part, Sinoma International Engineering pledged to deploy advanced technology and engineering expertise to ensure the successful delivery of the project.
Chairman of the company, Lin Zhong, reaffirmed Sinoma’s commitment to the partnership. “We are determined and committed to provide our best technical know-how and the best equipment with much better performance and execution for the upcoming projects to play our fair share and be part of the 2030 strategy and vision of the Dangote Group,” Zhong said.
Industry analysts say the expansion will reinforce Nigeria’s status as one of Africa’s largest cement-producing and exporting nations while boosting manufacturing output, regional trade and foreign exchange earnings.
The latest agreement forms part of Dangote Cement’s broader continental expansion strategy. In March 2026, the company announced plans to invest $1 billion over four years to expand production capacity across Africa in response to rising infrastructure development and growing cement demand.
The investment programme, unveiled during an investor conference by the company’s Chief Financial Officer, Gbenga Fapohunda, is aimed at strengthening Dangote Cement’s footprint in key African markets and consolidating its leadership position in the continent’s cement industry.
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