Lafarge Africa Invests in Modern Production Lines to Meet Housing Demand
Lafarge Africa Announces Expansion of Sagamu and Ashaka Cement Plants
Lafarge Africa Plc has announced a strategic expansion of its flagship production facilities in Sagamu, Ogun State, and Ashaka, Gombe State. The initiative is aimed at strengthening local cement production capacity to meet rising demand across Nigeria’s construction and infrastructure sectors.
According to a statement filed with the Nigerian Exchange Limited, the expansion will involve the integration of advanced dry-process production lines. These technical upgrades include the installation of preheater kilns, vertical raw mills, and roller presses for cement milling. The company expects these enhancements to significantly improve energy efficiency and operational performance across its manufacturing chain.
Capacity Growth and Market Impact
The expansion project is set to increase the production capacity of the Ashaka plant to two million metric tonnes per annum. Simultaneously, the Sagamu plant is projected to reach a capacity of 3.5 million metric tonnes per annum upon completion. This combined output is intended to stabilize product availability and enhance supply chain responsiveness in key regional markets.
Lolu Alade-Akinyemi, Group Managing Director and CEO of Lafarge Africa Plc, stated that the investment reflects the company's commitment to supporting Nigeria’s long-term economic and infrastructure growth. He emphasized that the project is designed not only for capacity growth but also to deliver environmental benefits through more sustainable manufacturing processes.
Strategic Alignment and Industrial Outlook
The move follows the recent acquisition of a majority stake in Lafarge Africa Plc by the Huaxin Building Materials Group. Analysts suggest that this expansion underscores renewed investor confidence in the Nigerian built environment, despite broader macroeconomic pressures affecting production costs in the manufacturing sector.
By increasing output at these strategic locations, Lafarge Africa aims to better serve the housing, commercial construction, and public infrastructure segments. The company maintains that the project will create long-term value for shareholders and host communities while positioning the firm to meet the requirements of critical national development projects.