Algerian cement group Gica is investing DZD 154 billion (€1.28 billion/US$1.45 billion) to increase its yearly production by 38% from a current 11.5 million tonnes to 18.5 million tonnes.
This investment will lead to the creation of the Bechar and Oum El Bouaghi cement plants, which are due to be operational by the end of 2017 and will produce a yearly 3 million tonnes, and to the increase in production capacities of the Chlef and Aïn El Kebira cement plants.
The latter, which is run by the Scaek (cement company of Aïn El Kebira), subsidiary of Gica, will receive an investment ranging from DZD 32 billion (€265.82 million/$301.32 million) to DZD 35 billion (€290.74 million/$329.57 million) in order to boost production from 1.3 million tonne of cement currently to 3 million tonnes by the end of 2016 with the installation of a second line of production.
The Chlef plant is expected to double production to 4 million tonnes of cement by the end of 2017.
Furthermore, the Scaek is expected to be listed on the stock exchange by the first quarter of 2016, as 35% of the capital will be open to institutional and individual investors, as well as to part of the workers.
The Gica group operates 12 state-owned cement plants and provides 59% of the cement national market.
