Pakistan: Maple Leaf secures funding for power plant

Pakistan: Maple Leaf secures funding for power plant
Published: 23 February 2016


A consortium of Pakistan banks has opened a letter of credit to Maple Leaf Cement Ltd's (MLCF) via its wholly-owned subsidiary Maple Leaf Power Ltd amounting to US$27.20m for the import of a complete 40MW coal-fired power plant.  The consortium consists of the Bank of Punjab, National Bank of Pakistan and MCB Bank Ltd.

Maple Leaf Power has signed an agreement with Sinoma Energy Conservation Ltd (China) to set up the coal-fired power plant at  MLCF's cement plant site in Iskandarabad, Mianwali district, Punjab. The power plant is expected to start its commercial production in the second half of 2017 and will ensure the uninterrupted supply of power to the cement plant against a background of increased cement plant capacity utilisation, while reducing MLCF's power costs.
 
Presently MLCF has an eight per cent share market share of OPC. It is also the country's largest producer of white cement with a dominant market share of more than 90 per cent.