PPC and Sinoma Overseas Development Company have entered a memorandum of agreement for the construction of a new R3 billion state-of-the-art integrated cement plant in the Western Cape with the capacity to produce 1.5 million tons of cement per year.
One of the largest industrial investments in the history of the Western Cape, the new plant will be equipped with the latest technology including a fully dedicated solar generation system.
“South Africa’s cement industry is undergoing rapid change, and we are working on building a stronger and more efficient PPC, to become the sustainable leader of the industry in the years to come. This changing market dynamic urgently requires modern and cost-efficient assets, and environmentally conscious cement producers. At the heart of our turnaround “Awaken the Giant’ strategy is the active pursuit of strategic opportunities and projects to ensure that we are successful in a more competitive future market context,” comments PPC CEO, Matias Cardarelli.
“With this new and most advanced energy and environmentally efficient plant in the country, we will be able to supply our customers with lower-carbon cement at a more competitive cost. It represents a major step in the sustainability of our business moving forward and will play a key role in achieving PPC’s commitment to reduce its carbon emissions and to deliver value to shareholders.”
Subject to the approval of PPC’s Board, construction is anticipated to start in Q2 2025. The existing plants in the Western Cape will continue to operate during the construction and commissioning process.