FLSmidth A/S said Monday it has been awarded a contract for a cement line by Pretoria Portland Cement in South Africa. The contract is worth some DKK200 million. In addition to FLSmidth’s supply contract, the company’s other core business, FFE Minerals, has won an order for installation and supervision of the cement project. The value of this second contract is around DKK90m. Over the coming 20 months FLSmidth is to supply all the machinery for the production line which is an expansion of an existing production facility supplied by FLSmidth to PPC-Cement in 1985.
The orders will contribute beneficially to FLSmidth’s and FFE Minerals’ earnings until commissioning in 2008, and they highlight the current growth in South Africa’s cement market in which FLSmidth only last month signed a DKK180m contract with Natal Portland Cement Company.