China to Build Cement Plant in South Africa

May 13, 2010
South Africa's largest trade partner makes landmark investment.

South African and Chinese companies announced plans to build a $217 million cement plant in South Africa. The 1.65 billion rand (US$217 million) deal is one of China's biggest investments in the country.

The new plant will be developed with Women Investment Portfolio Holdings Ltd. (WIPHOLD), a black women-owned company, and South African limestone mining company Continental Cement.

The Chinese partners are Jidong Development Group and the China-Africa Development Fund, which together will hold a 51% stake.

"This represents a significant foreign direct investment into the South African cement industry, with an inflow of more than 800 million rands foreign direct investment from China," Wiphold said. The company said 45% of the investment would be in equity and 55% in commercial debt.

The plant will initially produce 2,500 tons of cement a day.

South Africa has been in a construction boom as it readies for the World Cup, which kicks off June 11.

Copyright Agence France-Presse, 2010

About the Author

Agence France-Presse

Copyright Agence France-Presse, 2002-2024. AFP text, photos, graphics and logos shall not be reproduced, published, broadcast, rewritten for broadcast or publication or redistributed directly or indirectly in any medium. AFP shall not be held liable for any delays, inaccuracies, errors or omissions in any AFP content, or for any actions taken in consequence.

Sponsored Recommendations

Voice your opinion!

To join the conversation, and become an exclusive member of IndustryWeek, create an account today!