Iraq nominates companies for cement investment

Iraq nominates companies for cement investment
11 January 2008

The Iraqi government has named three companies to upgrade and invest in the country’s largest three state-owned cement enterprises under the Industry and Minerals Ministry, a senior Iraq government official said.

Around US$450m will be invested to upgrade Iraq’s ailing cement factories, deputy minister of industry and minerals Adel Kareem told Dow Jones Newswires.

The winning companies are Al Sharq al-Awsat, Al Jawhara and al-Majmoah al-Iktisadiya, Kareem said. "They are local but they are supported financially and technically by foreign companies." Eight companies bid for the 15-year-long joint venture agreements to invest in three existing cement factories. The foreign companies backing Iraqi partners are Uzein Export-Import, Lebanon’s Seament and Germany’s KHD, organizers said.

The Iraqi government will get between 30% and 45% of the total output for free. Each factory is expected to produce 1.80Mt a year after the factories are upgraded, which should take about three years.
Published under Cement News