Bamburi Cement Plc is in discussions to supply locally manufactured cement and concrete to the Dangote East Africa Petroleum Refinery and Petrochemical SEZ, which is developing the Lamu Crude Oil Refinery. The company says it is well-positioned to manufacture and deliver cement and concrete solutions to the project site from its Mombasa plant. The refinery's construction is expected to consume approximately 1 million tons of cement and concrete.
The proposed Lamu refinery is expected to have a capacity of 700,000 barrels of crude oil per day once completed. The project is being developed as a single-train facility and will process different grades of crude oil sourced from various regions. The government has indicated that locally manufactured products will be used where available, creating significant demand for construction materials.
Bamburi Cement Chief Executive Officer Geoffrey Ndugwa said the civil and related construction works for the refinery will require an approximate 1 million tons of cement and concrete solutions. The company has a suitable product for large and marine construction works, which can be supplied from its Mombasa plant.
The Lamu refinery project is expected to create significant demand for construction materials as work progresses. Bamburi Cement is expanding its production capacity, having signed a $250 million engineering, procurement and construction contract with Sinoma CBMI Construction Co. Ltd for a new clinker plant in Matuga, Kwale County.
The new clinker plant in Matuga is expected to have an annual clinker production capacity of 1.6 million tonnes. This expansion will increase Bamburi's clinker production capacity from one million tonnes to 2.6 million tonnes annually and cement production capacity from 1.8 million tonnes to four million tonnes.
The Dangote East Africa Petroleum Refinery and Petrochemical SEZ is developing the Lamu Crude Oil Refinery project. The refinery will process different grades of crude oil sourced from various regions. Once completed, the project is expected to have a significant impact on Kenya's economy.
Bamburi Cement's potential supply of cement and concrete products to the Lamu refinery project aligns with the government's goal of using locally manufactured products where available. The company's expansion plans will also increase its capacity to meet the demand for construction materials in Kenya.
Key points
- Bamburi Cement seeks to supply 1 million tons of cement and concrete for the Lamu Crude Oil Refinery.
- The Lamu refinery project is expected to have a capacity of 700,000 barrels of crude oil per day.
- Bamburi Cement is expanding its production capacity with a new clinker plant in Matuga, Kwale County.