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Aliko Dangote's cement company seals $1 billion Sinoma deal to expand across Africa

Dangote Cement signs a $1bn Sinoma deal to expand plants, boost capacity and strengthen its footprint across Africa.

Aliko Dangote's cement company seals $1 billion Sinoma deal to expand across Africa
Aliko Dangote

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Dangote Cement is doubling down on its expansion drive, signing a deal worth more than $1 billion with China’s Sinoma International Engineering to build new plants and upgrade existing facilities across Africa.

The agreement, signed in Lagos, covers 12 separate projects and forms a key part of the company’s plan to ramp up production capacity to 80 million tonnes per year by 2030. That ambition sits alongside Dangote Group’s broader target of generating $100 billion in annual revenue within the same timeframe.

Aliko Dangote, chairman of Dangote Group, said the fresh round of projects is about more than just adding new lines. According to him, the goal is to lift output, improve efficiency, solidify the company’s leadership at home and push deeper into export markets.

Under the arrangement, Sinoma will handle a mix of new integrated production lines, brownfield expansions and plant upgrades across several countries. The pipeline includes a new line in northern Nigeria supported by satellite grinding units, as well as another new line in Ethiopia. Additional developments are planned in Zambia, Zimbabwe, Tanzania, Sierra Leone and Cameroon.

Within Nigeria, work will extend to Itori, Apapa, Lekki, Port Harcourt and Onne, strengthening Dangote Cement’s footprint in its largest and most strategic market.

Emmanuel Ikazoboh, chairman of the board of Dangote Cement, said the projects will significantly raise installed capacity and support the group’s long-term growth plans.

Group Managing Director Arvind Pathak noted that the investments are aimed at narrowing supply gaps across African markets, particularly as infrastructure demand continues to rise across the continent.

Behind the scenes, the company is also making sure it has enough energy to power this next phase of growth. Dangote Cement has also moved to secure the energy it needs for this next stage of growth, expanding its gas supply agreements with Nigerian Gas Marketing Limited and NNPC Gas Infrastructure Company Limited. The plan is to keep its plants running steadily as production ramps up. The extra gas will help power higher output and support a broader shift toward compressed natural gas for trucks and routine operations.

Dangote Cement runs integrated plants, grinding facilities and distribution networks across a number of African countries, giving it a strong footprint on the continent. As it rolls out new factories, Dangote Cement is not neglecting the ones it already has. The company is upgrading older plants, expanding capacity where demand is rising and putting money into energy efficient technology that can bring down costs and reduce emissions as it scales up.

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