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Dangote Plans $400 Million Expansion of Cement Plant in Ethiopia

Aliko Dangote, Africa’s richest man, has announced a $400 million investment to revive a second production line at the Mugher cement plant in Ethiopia. This expansion aims to double the plant’s annual capacity to 5 million tons.

The Mugher plant, operational since 2015, has faced challenges, including regional violence that has resulted in vandalism and the tragic deaths of Dangote Cement staff in 2018. Despite these difficulties, Dangote Industries Ltd. Chairman and CEO Dangote told reporters in Addis Ababa on Saturday, “Despite the ups and downs, we have successfully repaid all our loans and repatriated our profit.”

The expansion project is expected to be completed within the next 30 months. Dangote also announced plans for a new greenfield cement grinding unit with a 3 million ton annual capacity and a collaborative investment with Ethiopian Investment Holdings in the Omo Kuraz sugar factory.

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