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South Africa-based cement manufacturer Pretoria Portland Cement (PPC) is to invest US$230mn in building a new manufacturing plant in DR Congo
PPC chief executive Ketso Gordhan said the company signed a Memorandum of Understanding (MoU) with local partner Barnet Group to start work on the greenfield project, which includes the construction of a one million ton per annum cement factory and associated quarry.
The new factory will be located 20km from Kimpese in western DR Congo, which will ensure easy access to the main markets, PPC said.
Gordhan said, “22 per cent of PPC’s revenue comes from outside South Africa at present, but the target is to increase this to 40 per cent by our 2016 financial year.”
Gordhan added the company made significant progress with its Africa strategy in 2012, acquiring a 27 per cent stake in the Habesha Cement Share Company in Ethiopia for US$12mn, and 51 per cent of Cimerwa of Rwanda for US$70mn.
The company announced in February 2013 that its Zimbabwean subsidiary, Portland Holdings, would be building a one million ton per annum cement plant in Harare to service its markets in Zimbabwe and Mozambique.