Gulf Cement Co to begin production by mid-2008
The Gulf Cement Company (GCC), which is being listed at the Doha Securities Market (DSM) today, said it hopes to begin production by the middle of 2008.
Land for the project measuring 4km2 has already been acquired in the Umm Bab Industrial Area and engineering, procurement and design (EPD) contract has been awarded to two reputed foreign companies, one of which is German while the other one is Indian.
The project will be executed on a turnkey basis, Abdullah bin Nasser Al Misned, chairman of the company, said yesterday. The venture will be completed in about 20 months’’ time and will come on stream 90 days later, approximately by the middle of 2008. Al Misned told Al Sharq in an interview that initial production will be 5,000 tonnes a day. Currently, contractors are getting only 40 to 50 per cent of their cement requirement. Demand is for 23,000 to 26,000tpd while the availability is only 10,000 to 13,000t.
Al Misned said that Umm Bab was chosen as the site to set up the plant due to environmental concerns as also due to the fact that the necessary infrastructure like power and gas are available.
From the viewpoint of sourcing raw materials too, the site is ideal, he added. When it commences production, the company will be able to end the shortage of cement and related products. The project is expected to cost QR1bn.
"We are going to play a key role in the booming economy and building industry of the country," said the chairman. Presently, cement is priced at QR240 per tonne in the local market, while in the neighbouring UAE it is costlier at QR280 per tonne. Importers in Qatar are getting cement at a higher price of R340 to QR350/t.
Published under Cement News
