Dangote Industries Limited has signed a business deal with the Government of Togo (GoT) to make phosphate into fertiliser and build a cement factory in the West African country.
With over two billion tonnes of phosphate reserves, Togo is one of the leading phosphate producers in Africa.
By partnering the Dangote Group, the country intends to benefit from the expertise and investment capacity of Africa’s largest industrial group, according to a joint statement by the Dangote Group and the Communications Department of the Presidency of the Republic of Togo.
Togo’s vast phosphate resources are mostly exported in raw form while Dangote’s project would process some of that phosphate to make fertiliser in-country. The cost of the project is around $2 billion, the statement from Togo’s government said, without specifying how much of that would come from Dangote. Dangote also signed a deal to build a cement factory at a cost of around $60 million.
The establishment of a cement manufacturing plant with an annual capacity of 1.5 million tonnes in Lomé, the Togolese capital, is expected to meet both local and neighbouring countries’ demand, the release noted. This plant will use clinker from Togo and Nigeria.
While the construction of the Lome plant is billed to start in first quarter of 2020, its commissioning is scheduled to take place before the end of 2020. The investment, estimated at $60 million is expected to create 500 direct jobs.
The deal marks Dangote’s first push into Togo, setting billionaire Aliko Dangote’s firm up for competition against Germany’s HeidelbergCement, which operates three companies there, and Fortia Cement.
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993954 1655I definitely did not realize that. Learnt something new nowadays! Thanks for that. 425414