Qatar: QNCC to commission two cement mills H1 2017
Demand for cement in Qatar has led Qatar National Cement Company (QNCC) to commission two cement mills of Plant 5 in the first half of this year to increase the production capacity by 5,500 tonnes per day
H1 2017 will see the commissioning of two cement mills, which are set to increase daily production capacity.
According to a Qatar National Cement Company (QNCC) top official, the company will commission two cement mills of Plant 5 for the first half of this year to increase the production capacity by 5,500 tonnes per day,
Addressing shareholders during the company's ordinary general assembly and extraordinary meetings on Wednesday, 1 March, QNCC chairman and managing director Salem bin Butti al Naimi said that construction of the Plant 5 would be completed during the second half of this year.
He outlined that, in line with the expected increase in demand, the company would increase the production capacity of washed sand and calcium carbonate.
Commenting on the company’s achievnment in 2016, Naimi said the market demand for all types of cement and washed sand was successfully met with the company's own production.
“The company not only met the demand of the market, but also maintained high -quality standards without changing the price of products. Such efforts support the massive construction boom in Qatar,” he said.
He added that the increase in revenue from sales in cement, washed sand and calcium carbonate was mainly owing to the maximum utilisation of the company's capacities to meet the local market demand.
Naimi pointed out that Cement Plant 1 was closed in June last year, to control the overall cost and maintain the company's commitment to safety and environmental standards.
“The company will dispose of Cement Plant 1 at Umm Bab with all its accessories soon,” he said.
Remarking on the company's financial standing, he said: “QNCC recorded a stronger financial position in 2016 with its equity rights increasing by QR243m during the year. It is an increase of 8.5% compared to last year.”
The chairman added that sales of all types of cement reached 3.7 million tonnes during 2016, against 3.8 million tonnes during the previous year, while the sales of washed sand increased to 8.1 million in 2016 from 7.7 million tonnes in the previous year.
He added that the sales of calcium carbonate amounted to 36,000 tonnes during the year.
Revenue from sales amounted to QAR1.4bn ($384m) for 2016 compared to QAR1.17bn ($321m) the previous year, he said.
Naimi said that the company would continue to benefit from the construction boom that Qatar is witnessing.