Chinese cement producer Huaxin Cement is planning a new US$140m cement facility in Nepal having started talks with authorities and setting out a project investment agreement (PIA) for the factory.
"We have already started informal talks with the Chinese company on signing of the PIA," said a highly-placed source at the Investment Board Nepal (IBN). "The formal negotiations on PIA will begin after the Chinese investor pays a pre-negotiation and agreement execution fee of 0.2 per cent of the project cost."
The new factory wil be run by Huaxin Cement Nepal Pvt Ltd. No further information on the capacity of the cement plant has yet been given.
Meanwhile, a seperate Chinese investment called Hongshi Shivam Cement has already started construction of a new factory at Sardi in Nawalparasi district, and is planning to start commercial production by May 2018. The cement factory will have a daily production capacity of 6000tpd (120,000 bags) of cement.
