PPC invests $87m in plant

09 Aug, 2015 - 00:08 0 Views

The Sunday Mail

THE country’s oldest cement producer, Pretoria Portland Cement Zimbabwe (PPC Zimbabwe), has invested US$80 million in the construction of its second manufacturing plant in Harare as it positions itself for an expected boom in the construction industry.

Much of the growth is premised on major investments into housing projects and road rehabilitation programmes.

Economists believe that infrastructure is a key enabler to economic growth.

The new plant, which is expected to be commissioned in the second half of 2016, will boost production by 700 000 tonnes.

Through the investment PPC expects to consolidate its local market share and boost exports to the region.

PPC Zimbabwe managing director Mr Njombo Lekula said the new plant will unlock value in the country through employment creation, which is in line with the country’s economic blueprint, Zim-Asset.

“PPC Zimbabwe is looking to the future of the country,” said Mr Lekula during the ground breaking ceremony in Msasa last week.

“While our existing factory in Bulawayo has positioned us well in Matabeleland, it is clear that much of our country’s future growth centres around Harare and northern Zimbabwe,” said Mr Lekula, adding that the establishment of the new plant is a sign of the group’s commitment in contributing towards national economic growth.

Currently, the cement maker has one manufacturing plant in Bulawayo.

Mr Lekula added that the group is geared for growth in the country and is positioned to steer infrastructure development driven by its expertise, availability of equipment and over 100 years of experience in the industry.

“We have the equipment, processes and tanker fleet in place and are thus able to handle the bulk deliveries that are vital to these projects.

“As such we see ourselves as providing not just cement, but a total solution to our customers.”

The Msasa plant is being built to world-class standards and will feature bulk handling and palletising capabilities.

These were recently introduced at the Bulawayo manufacturing plant.

PPC Zimbabwe is a subsidiary of South Africa’s PPC Limited which has operations that span across Africa.

While the Msasa plant is being built by Sinoma International Engineering, PPC is engaging with local suppliers to leverage the scope of opportunities on this project beyond the main engineering, procurement and construction management (EPCM) agreement.

“Because almost 70 percent of the total value of the EPCM is allocated to the supply of actual plant equipment, it was necessary for us to contract with a provider of the likes of Sinoma to ensure we create a world-class plant in and for the region . . .

“Sinoma has contracted local labour as part of its workforce on the project, as well as meeting our non-negotiable local supply requirements,” said Mr Lekula.

Local contractors that have already worked on the project include JR Goddard Construction, Ascon-Tencraft and HVC.

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