QATAR - QNCC plans to boost production

Bygyh

Updated Fri, 29 Mar 2013 00:00:00 GMT

 
Qatar National Cement Company (QNCC) will scale up its production capacity to meet the country's hugely projected demand.
 
Talking to local press after the QNCC's annual general assembly meeting yesterday, the company Chairman and Managing Director Salem bin Butti Al Naimi said the domestic cement market is capable of meeting Qatar's huge demand in the run up to the 2022 World Cup. 
 
The company is confident of meeting Qatar's future demand. The QNCC is in the process of boosting its production capacity. The consultancy work has already been placed for a design capacity of 5,000TDP or 7,500TDP clinker, he said.
 
With Qatar lining up multi-billion-dollar development projects, we understand that there will be a great demand for cement. But that doesn't mean there will be an increase in the price. The price will be stable. QNCC has already developed a 10-year business strategy for it sales and production with the help of a reputed advisory firm to boost cement production over the next few years.
 
Earlier, addressing the annual general assembly, Al Naimi said the company intends to construct the cement line No.5. "The consultancy work has been placed with TPF, Basse Sambre of Belgium for a design capacity of 5,000TDP or 7,500TDP clinker. The global tender for the project will be floated soon."
 
On the future plans, he said the company would explore the possibility of increasing the production capacity of cement plants to match demands expected from the government’s huge funding to the infrastructure sector. 
 
"The company would explore all opportunities to increase sales volume of washed sand and utilise the idle capacity to achieve better returns." He noted the company's production in both categories of cement, OPC and SRC, increased to 3.6m tonnes during 2012 compared to 3.5m tonnes during the previous year.
 
The production of washed sand also increased to 4.1m tonnes during 2012 compared to 3.6m tonnes during the previous year. Lime production in both categories, Calcined and Hydrated, had been stopped compared to 14.4 thousand tonnes during the previous year as Qatar Steel stopped their purchase.
 
He said sales of all types of cement decreased to 3.3m tonnes during 2012 against 3.5m tonnes during the previous year. The sales of washed sand increased to 4.8m tonnes during 2012 compared to 3.9m tonnes during the previous year. 
 
The company saw significant achievements in terms of production in 2012.  The market demand for all types of cement and washed sand was successfully met from the company's own production, maintaining high quality standards, keeping the same price for all products, and thereby providing a strong support to the construction development in the country, he said. 
 
The company achieved a net profit amounting to QR425m during 2012 compared to QR456m during the previous year. The shareholders' equity increased to QR2.4bn at the end of 2012, compared to QR2.3bn in 2011, up 5 percent.