Cimpor Chengtong Cement Co., Ltd, a joint venture established by China-based Chengtong Development Group and Portugal-based Cimpor, is to have an over 10Mt production capacity in the Eastern China area before 2009.
The Sino-Portuguese joint venture got the approval to increase a CNY 300m investment in Liuyuan New-Style Cement Development Co., Ltd., the former will hold 96% shares of the latter from its current 60% after the completion of it.
Meanwhile, based on its current 2.8Mt of cement production capacity, the joint venture began its three important projects in November 2007. The three projects include a cement clinker production facility with daily capacity of 5,000 tons, a cement grinding station with capacity 1.2 million tons and a power generation project based on surplus heat in the cement clinker production line. With a total CNY 580 million investment, these projects will mainly be carried out in Shandong and Jiangsu, two Eastern Chinese provinces.
The joint venture is looking for acquisition targets in some eastern provinces to enlarge its production capacity and reorganize its production base. The company is expected to have a 10Mt capacity after it finishes all the acquisitions.