East African Portland Cement lose Athi River land decision

East African Portland Cement lose Athi River land decision
15 March 2019

East African Portland Cement (EAPC) has lost to a government decision on ownership of a plot of land in Athi River, Kenya. 

State-owned Kenya Railways plan to construct a container terminus on the land, despite EAPC and local residents, known as the Aimi Ma Lukenya Society, having also claimed to own the disputed land.

Speaking at Kibini hill in Kajiado East last week, Trade Cabinet Secretary Peter Munya confirmed that there is a deal for the land to be sold to Kenya Railways. "We have already set aside 900 acres of the land for sale to Kenya Railways. It will put up a multi-million inland port in bid a to raise the KES15bn (US$149.8m) required to revive EAPCC."

He confirmed that Kenya Railways has already paid EAPCC KES1.2bn as a downpayment. The land is valued at KES5.2bn.

Mr Munya added that Portland Cement, which had indicated that it requires at least KES15bn to stay afloat, has the potential to stand on its feet again if it gets the cash injection.

"We as the Government are keen on reviving EAPCC and we have carried out due diligence on the existing loopholes leading to the losses it has incurred," said Munya.

EAPC's Chairman, Edwin Kinyua, also told local Kenyan newspaper The Standard that the decision to sell the land to Kenya Railways was made by the cabinet and cannot be reversed.

Published under Cement News