Tangshan Jidong Cement Co it plans to create a cement subsidiary in Hunan Province, Southern China with a total investment of CNY 1.4 billion.
Based in Linli County, northwest of Hunan Province, the new company will construct two production lines that are capable of producing 4,500tpd of cement, and a waste heat power generating project, respectively. Registered CNY 240 million in capital, it is set to build a production line and the waste heat power-generating project in the first phase with CNY 700 million.
Jidong Cement said on January 3 that China National Materials Group Corporation would become its controlling shareholder and planned to inject at least CNY 13 billion in expanding its annual production capacity to 130 million tons of cement in three years. The target company previously said that it planned to use the proceeds it raised in the private placement to enlarge its capacity to about 37Mta from currently around 20Mta.