Production to start in 2014

Lalibela Cement Factory, which is currently selling shares, is planning to start construction in June 2012 in Dejen, on 3,000 hectares of land.

The factory will produce 1.2 million tonnes of Ordinary Portland Cement and Portland Pozzolana Cement annually when it begins fully fledged production in 2014.

The company has been selling 246,000 shares to the general public as of 30 June 2011, each share valued at 5,000 birr. Lalibela plans to raise 880 million birr, 40 percent of its capital from bank loans and 1.3 billion birr, 60 percent from the sale of shares, to reach a target of 2.2 billion birr.

Currently, the country's demand for cement is higher than 11 million tonnes, with the supply running short of 8.8 million tonnes. Over the last four years, cement consumption has increased by an average of 30 percent.

There are now 11 factories engaged in producing cement in Ethiopia whose combined output was 2.2 million tonnes in the 2009/10 fiscal year according to the Ministry of Industry. 

Source: Fortune