West China Cement to set up cement joint venture

West China Cement subsidiary West International, CIF-MOZ, Oceanic Star and Guhava have entered into a cooperation agreement to establish a joint venture for joint investment and construction of a cement production line in Mozambique.

West International, CIF-MOZ, Oceanic Star and Guhava will contribute MZN60m, MZN21m, MZN14m and MZN5m, respectively, to the registered capital of the joint venture and will hold 60, 21, 14 and five per cent, respectively of JV equity interests, respectively.

West International will provide a shareholder’s loan to fund the construction work of the cement production line. CIF-MOZ will contribute assets such as land use rights of mine and existing plant areas, mine prospecting  and mining rights, building ownership, all existing assets in the cement production line (completed and partially-complete civil works, equipment and vehicles) together with the historical debts to the joint venture.