Sealed! – BUA Cement Signs Deal With CBMI, Boosts Annual Capacity To 20 Million Tons

BUA Cement Plc has signed and sealed an agreement with CBMI Construction Ltd. for the construction of a new 3-million-ton-per-annum cement production line in Sokoto, a development that will lift the company’s total annual installed capacity to 20 million tons and further strengthen its footprint across Nigeria.

The agreement followed high-level discussions in Dubai between Abdul Samad Rabiu, founder and chairman of BUA Group, and Zhang Sicai, chairman of CBMI Construction Ltd., a subsidiary of China’s state-owned SINOMA Group, alongside senior executives from both organisations.

The project involves the construction of a new cement production line in Sokoto, positioning BUA Cement to deepen supply to the North-West and regional markets.

Speaking on the deal, the BUA Group chairman stated, “thrilled to have signed and sealed with CBMI for a 3-million-ton-per-annum cement line in Sokoto — bringing BUA Cement Plc’s total annual capacity to 20 million tons per annum.”

The business leader added that the expansion builds on a partnership that has lasted more than 15 years, during which CBMI has delivered cement production lines with a combined capacity of about 14 million tons for BUA Cement, playing a central role in the company’s rapid scale-up.

According to the master of commerce, the new Sokoto line will be powered by BUA’s Kogi LNG plant, supporting energy efficiency and operational competitiveness.

“Powered by our Kogi LNG plant, it will boost Nigeria’s North-West and regional markets in just 20 months,” he said, noting that the project aligns with the company’s long-term growth strategy and cleaner energy objectives.

Industry analysts say the expansion reflects continued confidence in Nigeria’s long-term construction and infrastructure outlook, despite near-term macroeconomic pressures. Demand for cement remains closely tied to housing, transport and industrial development across the country.

While the parties did not disclose the size of the investment, the agreement signals BUA Cement’s intention to sustain growth through capacity expansion and strategic international partnerships, particularly with Chinese industrial players increasingly active in Africa’s heavy manufacturing sector.

Abdul Samad Rabiu also attributed the momentum behind the project to the prevailing policy environment created by President Bola Ahmed Tinubu, saying the investment is being driven “thanks to the bold reforms of His Excellency, Mr. President.”