The cement plant facility investment will be realized by ALHEDAB Cement Company Nalut - Libya.
The investment is projected within two sections (stages) whereof the first section of 6,000 TPD shall be completed within 24 months. The second section of 6,000 TPD shall be completed 12 months later on demand of funding of the project.
The plant is planned to have a total capacity of 12,000 TPD (tons per day), producing mainly two types of cement as:
PORTLAND™ cement CEM I - 42.5 R/N OPC according EN 197-1
PORTLAND™ cement CEM II – SRPC/Composite Cement acc. EN197-1
The necessary raw material supply is secured. It will be supplied from one large quarry as Limestone quarry, 1 Clay quarry from 60KM outside, 1 Sand quarry from 1KM. 1 Gypsum quarry to be developed from 5 KM outside. The entire area of land that is available reaches to 180 Ha. The land held for the cement plant plot itself is already in ownership of the ALHEDAB shareholders.
The estimated reserves of the raw materials of Limestone and Clay are sufficient to run the plant for more than 50 years.
The first license to run the cement plant has been obtained already since 2012.
The Environmental Impact Certificate (EIC) is not issued yet, but will be issued until the plant will be run-up at latest. It is to recommend exporting up to 60% of the produced cement in order to gain a valuta-margin in foreign currencies in order to refinance the entire funded project very comfortable and secured
The location of the plant facility is advantageous for exporting OPC (Ordinary Portland Cement) to lots of African states, even for exporting to Egypt, Saudi Arabia, Iraq, Syria, Yemen, Sudan etc. where is indicated a higher sales price for Cement generally, instead of the quite lower pricing in Libya based on LYD (Libyan Dinar) market at the moment.
The location of the plant facility is at 6 KM to the Nalut City and about 220 KM to the Median Sea Port of Zuwara. The distance to the capital Tripoli is about 290 KM, so very convenient for transportations.
The location furthermore is promising due to expected development in the realization of structural support by the Libyan Government in the long-term forwards equalizing the National income per capita between the inhabitants and the country’s average, to serve a strong stable cement need within the next 20-30 years.
Development in the National industry and manufacturing industry will also open additional sales benefits. The development in the domestic Cement market also indicates and promising a keen market for the upcoming years for the company.
Libya is to achieve 1.5% CAGR (Compound Annual Growth Rate) in the Year 2019. In the period 2015-2018, all Libyan cement producers together produced only 6 million tons per Year of uncertified cement. This was mainly due to the civil war, missing spare parts and older equipment. The market fell almost half compared to 2011, when 11 million to were produced.
That is why Libya had to imported Cement even in the year 2018 of estimated 10-20 Mio tons in addition to the National own manufacturing capacities.