Thursday, Oct 20, 2011
(This item was originally published on Wednesday.)
DUBAI (Zawya Dow Jones)--Yamama Saudi Cement Co. said Wednesday its board has decided to go ahead with a plan to replace its old five clinker lines with a new one that will raise its clinker output capacity by 78.6% to 10,000 tons per day.
The outcome of the project's feasibility study was positive and the firm will go ahead and tender the project, it said in a statement posted on the Saudi bourse website.
Earlier this month, Yamama said its third-quarter net profit rose 6% to 149 million Saudi riyals ($40 million) from SAR140 million in the same period a year ago on the back of higher sales.
Cement companies in Saudi Arabia are seen benefiting after the kingdom announced a massive infrastructure building spend until 2013. In addition, a partial lifting in 2009 of a year-long ban on cement exports after a domestic market glut brought down prices, now allow them to export part of their surplus production provided they meet domestic demand and maintain a portion of production as inventory.
-By Summer Said, Dow Jones Newswires; +966-546-842373; summer.said@dowjones.com
Copyright (c) 2011 Dow Jones & Co.
(END) Dow Jones Newswires
20-10-11 0348GMT
