Riyadh Cement Co has warned that a recent notice from Saudi Aramco on adjustments to fuel prices used in cement production, effective 1 January 2026, will push up its operating costs.
In a filing to Tadawul, the company said the change is expected to lead to an approximately six per cent increase in production costs, with the impact to be reflected in its 1Q26 financial results.
“The direct financial impact is expected to result in an approximately six per cent increase in production costs,” Riyadh Cement stated. It added that it will explore ways to mitigate the impact on its earnings.
The company also signed a contract aimed at switching to natural gas as part of a broader liquid fuel displacement programme, a move that could help reduce reliance on higher-priced fuel products in future.
