Kohat Cement Factory expands capacity and progresses Punjab plant

Kohat Cement Factory expands capacity and progresses Punjab plant
04 March 2024

Kohat Cement Factory has updated the Pakistan Stock Exchange Ltd (PSX) about an increase in cement production capacity at Kohat in Khyber Pakhtunkhwa. After the optimisation of the pyroprocessing section of the existing 6700tpd grey cement production line, the clinker production capacity of the company increased from 6700tpd to 7064tpd.

Moreover, the company’s net profit after tax jumped by 19 per cent to PKR4.45bn (US$15.93m) in the 1HFY23-24. However, local dispatches fell by 8.1 per cent to 1.418Mt, but exports surged by 2438 per cent to 28,396t during the six months ending on 31 December 2023.

Greenfield cement production line in Khushab, Punjab
According to the 1HFY23-24 report, infrastructure development is in progress, whereas the import of plants and machinery will be finalised once the economic outlook is improved.

Solar power plant at Kohat
In addition to the current operational 10MW solar power plant (SPP), the company is setting up a further 10MW SPP at its plant site in Kohat. The letter of credit for importing panels has been established, whereas procurement of other equipment and materials is in progress. This SPP will reduce dependence on the National Grid, significantly saving costs and is a huge step towards a greener and more sustainable Pakistan.

The company’s Board of Directors are hopeful that the expected political stability after the elections will boost the investors’ confidence, which, along with the declining interest rates and a stable PKR, will trigger the economic and construction activities needed to uplift the dispatches locally.

Published under Cement News