It will have three new cement production lines starting operation, adding production capacity of 1.5Mt. In 2007, Shui On had a designed production capacity of 24Mt although it only output 17Mt of cement.
Company vice chairman Lawrence Choi unveils that gross profit of each ton of cement is around US$ 5 currently, the company hopes to raise it to US$8 in 2008. With an increased selling price of cement, Shui On’s cement sales in Sichuan province has reported an increase to over RMB400/t in the first quarter of 2008 from RMB320/t in the last quarter of 2007. The price hike also improves Shui On’s bottom line.
