Minister of information culture and tourism, Lai Mohammed, has called on investors to take advantage of Nigeria’s conducive environment to invest in the country.
Mohammed made this call in Sokoto State during a media tour of BUA Cement plants in Sokoto on Thursday.
The minister who was being guided through the four plants of the company by Yusuf Binji, managing director/CEO, BUA, said tax incentives are critical to investment in the country.
He was pleased that BUA Cement Sokoto alone has provided 10,000 direct and indirect jobs to Nigerians.
BUA Cement, Nigeria’s 4th largest company listed on the Stock Exchange has achieved a record 300 percent increase in production capacity in seven years, attributable to government policies according to Lai Mohammed, minister of information and culture.
Data provided by the company showed its capacity at 11 million tons per annum in 2022, representing a 214.28 percent increase compared to 3.5 million tons per annum in 2015.
Other reasons he gave for the record increase was that BUA was granted Pioneer Status, the ban on importation of cement, government’s divestment from the cement industry and of course backward integration policy.
Mohammed who was on Media visit to BUA Cement, Sokoto plant on Thursday said the Sokoto plant is operating at over 90 percent of installed capacity and that because of its location, which is just 100 kilometers to Niger Republic, the plant exports to Niger and Burkina Faso, earning Nigeria much needed forex.
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“Please note that only excess is exported, especially during the rainy season,” he said.
Other facts he said include that the company produces all year round, loading between 250 and 270 trailers per day. The plant has 700 trucks for cement distribution.
“The 3 million tonnes per annum line four of the BUA Cement facility that we have just visited was commissioned by President
Muhammadu Buhari in January this year, took the combined installed capacity of the factory’s Lines two, three and four to 5 million tonnes per annum.
This is one of the most modern cement plants anywhere, he admitted, adding that it has gas analyzers used in regulating carbon emissions released into the atmosphere; air purifying mechanisms set up to enhance the quality of air released from the cement manufacturing process.
The plant has filters capable of capturing 99.9 percent of dust in order to make the environment healthy and conducive for the workers and customers alike. The plant is the first cement plant in Nigeria to use Liquefied Natural Gas to generate 50MW of power, thereby replacing coal in its kiln, the minister said.
“This has made the plant environmentally friendly to also curb climate change. I am sure when the AKK gas pipeline project is completed, it will drastically reduce the time and cost of transporting gas, which is currently being trucked from Port Harcourt to the plant. At least 20 trucks of LNG are brought here daily from Port Harcourt. Imagine the costs and the logistic challenges involved in this, he said.
In his presentation before the minister’s media tour, Yusuf Binji, managing director/CEO, BUA said the Sokoto Cement plant comprising four lines has created 10,000 direct and indirect jobs.
He noted that the 17 million tons targeted capacity project has been self-funded without any fund accessed from the Central Bank’s intervention facilities.
“Please permit me to commend the Chairman of BUA Cement, Alhaji Abdul Samad Rabiu (and his entire team), for his undying belief in Nigeria. There is no better indication of BUA’s support for the government’s economic diversification and job creation agenda than the company’s massive investments in Nigeria,” minister said.
According to him, in the last five years, BUA has completed four new cement plants of similar capacity in different parts of the country and is set to complete two more plants soon. It is expected that total production for BUA Cement will amount to 17 million tonnes per annum by 2023.
In 2020, BUA Group consolidated its cement operations and listed BUA Cement Plc on the Nigerian Stock Exchange with a total combined installed capacity of 8 million tonnes per annum and a market
capitalization of N2.5 trillion, making it the second largest cement producer in the Nigeria with 25 percent of the market share; the largest cement producer in the North West, South South and South East of the country and the largest private employer
of labour in the North-West.
BUA Cement (Sokoto plant) is primarily engaged in the business of quarrying, extracting, processing and dealing in
limestone as well as the manufacture and supply of cement.
