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Home Company & Business

BUA Cement to expand Sokoto plant with $240m investment

by Onome Amuge
January 22, 2026
in Company & Business
BUA Cement to expand Sokoto plant with $240m investment

Onome Amuge

BUA Cement Plc, one of Nigeria’s leading cement manufacturers, has unveiled plans to construct a state-of-the-art 3-million-tonne-per-annum cement line in Sokoto, in a $240 million project that reflects the company’s commitment to scaling production capacity and supporting West Africa’s infrastructure ambitions.

The new facility, to be delivered in partnership with Chinese engineering and construction firm CBMI, will bring BUA Cement’s total annual production to 20 million tonnes upon completion, reinforcing its position as a dominant player in Nigeria’s cement market. The agreement builds on a 15-year partnership between the two companies, during which CBMI executed projects amounting to 14 million tons of cement production capacity across BUA’s Obu and Sokoto factories.

Sokoto’s strategic location in Nigeria’s North-West, where it operates as the region’s sole cement plant, gives BUA Cement an advantageous foothold for serving both domestic demand and several landlocked neighbouring countries.

The project is integrated with energy infrastructure: a 700-tonne-per-day mini LNG plant under construction in Kogi is expected to supply clean, reliable energy to power the new Sokoto line, as well as existing facilities. The initiative reflects a growing trend among Nigerian industrial players to co-locate energy production and heavy manufacturing, enhancing operational efficiency while reducing carbon emissions.

L-R: Zhang Wanjun, deputy director, marketing, CBMI; Finn Arnoldsen, chief operations officer, BUA Cement Plc; Yusuf Binji, managing director, BUA Cement Plc.; and Fengtao Geng, assistant general manager, CBMI; Zhang Sicai, chairman,  CBMI Construction Limited; Abdul Samad Rabiu, chairman, BUA Cement Plc; Tian Bao, Nigeria regional manager, CBMI; Chikezie Ajaero, chief financial officer, BUA Cement Plc; and Yang Zhi, vice general manager, CBMI, at the signing of an agreement by BUA Cement Plc, manufacturer of BUA Portland limestone cement, and Sokoto Portland limestone cement, with CBMI to build a new ultra-modern 3-million-ton-per-annum cement line in Sokoto

Nigeria’s cement industry has historically faced challenges around logistics, power supply, and raw material availability, particularly outside the southern industrial hubs. By establishing the Sokoto line and integrating it with LNG-powered energy, BUA Cement is aiming to overcome these constraints, improve plant efficiency, and lower emissions, a model increasingly favoured in the region for sustainable industrial development.

The Sokoto expansion is expected to be completed within 20 months, with BUA Cement projecting significant economic spillovers in terms of job creation, supplier engagement, and regional trade. 

Onome Amuge

Onome Amuge serves as online editor of Business A.M, bringing over a decade of journalism experience as a content writer and business news reporter specialising in analytical and engaging reporting. You can reach him via Facebook and X

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