BUA cement to expand capacity to 20 million tonnes per annum
By Kola Bola
Yusuf Binji, the Managing Director/Chief Executive, BUA Cement, said the company has signed an agreement to expand its production line in Sokoto, to boost its installed capacity to 20 million tonnes per annum.
Binji also said the company had moved from a two per cent market share to over 30 per cent within the last eight years.
Speaking at the 12th anniversary of business partnership between BUA Group and CBMI Construction Company Limited in Abuja, Binji said the company’s aspiration was to become the country’s foremost cement producer by “making cement affordable and available nationwide”.
Binji said BUA Cement started from a humble beginning in the industry with about 500,000 tonnes from where the company has increased its capacity to over 17 million tonnes per annum.
He said, “We’ve built a strong brand, producing two cement brands: Bua Cement and Sokoto Cement. Our cement product is widely recognized as the best in Nigeria, and we hope to receive endorsement from engineers present here today. We’ve executed several projects with CBMI and continue this partnership, extending into operation and maintenance and mining. The journey hasn’t been easy, but it has brought interesting developments.”
Recall that the Edo Cement Company and the Cement Company of Northern Nigeria, Sokoto, merged to form BUA Cement in 2019. BUA Cement was listed on the Stock Exchange in January 2020 and is now the fifth-highest capitalised company on the Nigerian Stock Exchange.
Chairman, BUA Group, Mr. AbdulSamad Rabiu, expressed gratitude to CBMI for their support, friendship and commitment to partnership, as he added that the relationship was built on mutual trust, collaboration and efficiency.
Chronicling BUA’s journey Rabiu said “In 2008, the then-President of Nigeria, Late President Umaru Musa Yar’Adua, recognised the need to increase cement production and supply in Nigeria. At that time, Nigeria was only producing about three to four million tonnes of cement, which represented only about 40 per cent to 50 per cent of the country’s demand. The rest was being imported.
He added that, “To address this challenge, the government decided to invite six companies from the six geopolitical zones in Nigeria to participate in the cement business. Our company, BUA Group, was invited from the northwestern part of Nigeria to participate. Initially, I had no knowledge of the cement business, but I was invited to participate.
“During the meeting with the then Minister of Industry, he emphasised the importance of having companies with capacities to support the government in importing cement and establishing cement plants. However, there were challenges, as only three companies had terminals, making it difficult for new entrants to import cement. To overcome this, we explored unconventional options and acquired a cement floating terminal from Europe.”
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