$30mln Duqm plant of Raysut Cement to launch in Q4

The Duqm plant will raise RCC’s annual group output to 7.4mln tonnes

  
Image used for illustrative purpose. Concrete Plant behind a pile of sand. The sand is used in making the concrete.

Image used for illustrative purpose. Concrete Plant behind a pile of sand. The sand is used in making the concrete.

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Raysut Cement Company (RCC), Oman’s largest cement manufacturer with a global footprint, announced on Wednesday that its $30 million Duqm grinding unit in Duqm in southeast Oman will be on stream in Q4 2021.

“Duqm plant will add another 1 million tonnes to our capacity, helping us cater to Oman and other regional markets with increased supplies, where construction activity is poised to pick up in post-pandemic resurgence,” said Joey Ghose, Group CEO of RCC.

The Duqm plant will raise RCC’s annual group output to 7.4 million tonnes, and help the Muscat Stock Exchange-listed company raise output to 10 million tonnes by 2022.

Yousef Ahmed Alawi al Ibrahim, Chief of Support Services and Business Development, RCC, said the Duqm grinding unit’s construction has been progressing despite the COVID-19 pandemic situation, thanks to the prudent safety and health protocols in place. “This has been a challenging year for manufacturing industries in general, but RCC has been able to negotiate the hurdles with effective planning focusing on health and safety,” he said.

The Duqm plant is also a milestone project for RCC to scale up its output to 22 million tonnes in the near future. Al Ibrahim, who has been with Raysut since 2004, said RCC’s capacity expansion will help create employment opportunities for Omani nationals, leading to social and economic progress.

As part of developing the Duqm plant, RCC had signed a land lease and Port of Terminal services agreement with Port of Duqm Company SAOC. The new grinding unit will also complement RCC’s expansion and new investments and acquisitions in Oman, Asia and East Africa.

Last year, RCC had acquired Sohar Cement Company SAOG in Oman at $60 million. It is also developing a new green field 1.2 million tonnes per annum cement plant near Tbilisi, Georgia, at an investment of $200 million. A majority takeover of Lafarge Holcim’s cement terminal at Thilafushi Islands in Maldives and an investment of $40 million in a grinding unit in Berbera, Somaliland, are other RCC projects.

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