Pakistan: Pioneer approves new 7000tpd plant

Pakistan: Pioneer approves new 7000tpd plant
05 July 2016

Pioneer Cement (PIOC) informed Pakistan Stock Exchange (PSX) on 4 July that the company’s board of directors has approved a capacity expansion plan for a new 7000tpd cement plant.

The present Chenki unit, Khusshab district, produces 2Mta of cement in the heart of Punjab province, 250km away from Lahore and 120km away from the M2 motorway.

The board also directed company management to consider the possibility of acquiring other cement manufacturer (though no name or structure has been disclosed). On completion of the new plant, the Pioneer Cement would become the fourth-largest cement manufacturer in Pakistan, following Bestway Cement (BWCL), Lucky Cement (LUCK) and D G Khan Cement (DGKC).

According to industry experts, although the company has not disclosed the plant details as yet, it believes that considering the demand dynamics, the plant is expected to be installed within the northern region and would be of Chinese origin. Meanwhile, Cherat Cement (1.3Mta) and Lucky Cement (2.3Mta) are already  penetrating in the northern market.

Published under Cement News