Sumitomo Osaka Cement Co said Monday it will spend JPY2.6bn (US$21m) to expand facilities at its plant in the city of Susaki, Kochi Prefecture, western Japan, according to local press reports.

Upon completion of the project in January 2017, capacity at the plant will be boosted by 0.2Mta to 0.5Mta, the company said.

Sumitomo Osaka Cement is seeking to ensure stable supplies of the materials as demand is seen increasing in the Kanto eastern region on the back of construction projects related to the 2020 Tokyo Olympics and Paralympics, the report in Jiji Press stated. Demand is expected to remain brisk in the Tohoku northeastern region, which is continuing with reconstruction efforts following the March 2011  earthquake and tsunami, the company said.

The Japanese cement producer has a total of four domestic cement plants (Gifu, Ako, Kochi and Tochigi), with a present combined clinker and cement capacity of 8.41Mta and 10.45Mta, respectively.