Lafarge invests US$58m to double capacity, China

Lafarge SA said it will invest US$58m to double the capacity of its Dujiangyan cement plant in southwestern China by 2006, to cope with increasing demand.

The investment will double the plant’s cement capacity to 2.8Mt and is part of the company’s expansion strategy in China, it said.

Lafarge also said it signed an agreement with Hong Kong-listed construction company Shui On Construction And Materials Ltd (SOCAM), under which it has the right to acquire 40 per cent of a cement joint venture held 80 per cent by SOCAM and 20 per cent by the Yunnan Provincial Government, China.