Lucky Cement is in the process of negotiating finance terms and conditions with multilateral and financial institutions for a 1.8Mta cement plant in the DR of Congo. With most of the loan terms agreed upon, the Pakistan-based cement producer expects financial close over the December 2013-January 2014 period.
The greenfield project is a joint venture between Lucky Cement and Groupe Rawaji in the DR of Congo.
Senior management for the new company are already in place, with the CEO appointed from Belgium and the CFO from Pakistan. Lucky Cement has also negotiated a four-year tax concession with the government, including duty for plant imports, VAT and GST.
Furthermore, a leading brokerage house has reported that Lucky Cement has to date agreed plant details with FLSmidth, with a contract valued at around EUR240m.
Following financial close, the project will take three years to start commercial operations.
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