BUA’s CCNN $300m 1.5million tonne/year cement plant ready for Q3 2017

…As CCNN discovers coal in commercial quantities in Sokoto

Nigerian industrial giant, BUA Group’s subsidiary, Cement Company of Northern Nigeria, CCNN, (also known as Sokoto Cement), expects its new 1.5million metric tonnes per annum plant to be completed before the third quarter (Q3) of 2017.

This was made known by the Founder/Executive Chairman of BUA Group and Chairman of CCNN, Abdulsamad Rabiu, during a working tour of the plant by the Minister for Solid Minerals Development, Dr. Kayode Fayemi.

BUA Group is a top producer of foods and infrastructure in Nigeria, and deals in sugar, flour, pasta, edible oils, rice, cement, steel, real estate, ports, and terminals.

Speaking during the visit, Rabiu said that the $300 million project, which began a few years ago is the first expansion of the plant since 1986 when BUA Group took over majority shareholding in 2010.

He also informed the minister that the Group has discovered coal in commercial quantities, which it intends to use as fuel for a 40 megawatts (MW) power plant being constructed as part of the project.

This new cement factory will use both coal and low pour fuel oil (LPFO) will source its power needs from the plant with the excess power generated to fed to the National grid.

Coal is a flammable black hard rock used as a solid fossil fuel, while LPFO, also known as black oil is a fundamental input in steam generation in many industries.

According to Rabiu, BUA’s $300million investment in the new plant is the single largest private sector led investment in the entire North West Nigeria.

He also highlighted that the plant’s export potential with it being 100 kilometres, KM, to the border with Niger Republic and 200kms to the border with Benin Republic, will boost Nigeria’s foreign exchange earnings and diversify the economy further.

Responding, Fayemi commended the BUA Group and Sokoto Cement for their contributions to national development, whilst stating that CCNN is the second-largest employer of labour in Sokoto State – second only to the state government.

He commended the company for successfully exploring for coal in the Sokoto area, and reiterated the Federal Government’s resolve to support sustainable investments in the solid minerals sector, which will, in turn, have immense positive impact on Nigeria and Nigerians.

CCNN Plc, was founded by the Premier of the then Northern Region, Alhaji Sir Ahmadu Bello, the Sardauna of Sokoto. It was incorporated in 1962, and commenced production in 1967, with a capacity of 100,000 tonnes yearly at that time.

In 1985, a new production line of 500,000 tons was added and commissioned by the then Head of State, Major-General Muhammadu Buhari. Thereafter, in 1986, the first line was shut down due to its uneconomic mode of operation, thus leaving the plant with a rated output of 500,000 tonnes per annum.

The company has however undergone various stages of privatisation and changes of ownership since inception until BUA Group took over majority shareholding in 2010 thus bringing it under the larger BUA umbrella.