Orascom Construction Industries announced that its wholly owned subsidiary Algerian Cement Company (ACC) has signed an engineering, procurement and construction (EPC) contract with an FLSmidth of Denmark / OCI Algeria consortium valued at US$153m for the construction of a second production line at their new plant located in M’sila, Algeria.
The second production line will increase the total plant production capacity of ACC up to 4.4Mt of cement per year. The total investment cost of the second production line is estimated at US$176m. The Algerian Investment Authority (ANDI) has already approved extending the same investment incentives package to ACC’s second production line which includes a 10 year tax exemption from the start of production.
OCI chief executive officer, Nassef Sawiris commented: ”our decision to pursue further expansion at ACC was prompted by very positive trends in cement consumption in Algeria.