Dangote launches $1 billion cement plant – expected to generate 6,000 direct jobs

Dangote Cement, Africa’s largest cement producer – a subsidiary of the Dangote Group, on Sunday began the construction of a new US$1 billion cement factory in Okpella, Edo state, in Nigeria’s southern region.

The groundbreaking event of the 6 million metric tonnes per annum (mmtpa) integrated cement plant was part of the activities to mark, Dangote Group founder and CEO – Aliko Dangote’s 59th birthday. The new plant which is expected to be completed in 26 months is estimated to create 6,000 direct jobs and 45,000 indirect jobs – a huge positive impact for the economy of the state of Edo.

Nigeria’s federal Minister of Solid Minerals, Kayode Fayemi, described the investment as consistent with the policy drive of the Buhari administration towards the diversification of the economy from oil.

According to Dangote, the new cement plant is expected to further increase the US$3 billion the country has been saving from import substitution in cement yearly. He noted that by this investment, Dangote Cement’s production capacity would increase to 41 mmtpa in Nigeria alone, adding that he would never shy away from investing in the country because the nation still remains the best place to invest in the world.

“A key factor that drives investments in an economy is the presence of an investor-friendly business climate. Indeed, Edo State today is one of the most attractive investment destinations in Nigeria”, he added.

The economic reforms in Edo State – especially in the area of tax; investment in infrastructure and innovations in rural finance, have produced the enabling environment that has further provided a platform for future growth – all these factors have made the state one of the more competitive jurisdictions in Nigeria in the past few years.

The Okpella plant is coming on the heels of another 6 mmtpa cement in Itori, Ogun State, where the company is currently running a 12 mmtpa cement plant at Ibese.