Itori plant drives Dangote Cement’s export expansion

Dangote Cement's Itori plant in Ogun State, a 100 per cent export-focused facility, is set to play a pivotal role in the company's export strategy across Africa and neighbouring markets, according to Group Managing Director/CEO Mr Arvind Pathak. Speaking at the Dangote Cement Capital Market Day presentation in London, Pathak announced that the first phase of the Itori plant would deliver six million tonnes of capacity, with production expected to surge in the coming year, eventually reaching approximately five million tonnes.

Currently, the plant is producing just three million tonnes. Pathak emphasized that the majority of the clinker produced at Itori would be intended for the company's sister companies in Cameroon, Senegal, and other markets, leveraging about 60 per cent of the clinker internally. The clinker from Itori would be transported by road to Apapa for export, where the company already boasts ample infrastructure.

No additional capital expenditure (CAPEX) would be required for logistics, Pathak noted. Additionally, the plant would supply clinker to neighbouring countries like Benin and Togo, meeting their demand along with that of its sister companies, thereby consuming the entirety of the first phase's capacity. Looking ahead, Pathak revealed plans for a second phase of the Itori plant, which would further increase clinker and cement production, catering to the export scheme's requirements.

The managing director highlighted that emerging capacity needs across Dangote Cement's group, such as grinding plants and expansions in Cameroon and Senegal, would necessitate more clinker from Nigeria. Describing Itori as a strategically positioned brownfield location, just 18 to 20 kilometres from its main limestone basin, Pathak emphasized its cost-efficiency and expedited execution.

The Itori export strategy is part of Dangote Cement's broader plan to reach an ambitious 80 million tonnes of capacity, with brownfield expansions offering lower capital expenditure and faster payback.