28 Nov 2008

Cement, fertiliser plants planned by China in Cameroon

9:58 am on 28 November 2008

Chinese companies intend to build a fertiliser plant and a cement factory in Cameroon worth a combined 170 billion CFA francs ($US334.3 million).

An official in central Africa said on Thursday that China's Overseas Construction Group Co Ltd has signed a draft agreement to build a CFA plant. Natural gas will be used to produce 80,000 tonnes of ammonia and 130,000 tonnes of urea per year for use in fertiliser.

CGC is involved in a number of industrial construction projects in Africa, including building Ethiopia's first glass factory earlier this year.

Separately, the Ministry of Industry, Mines and Technological Development, said in a statement that China Aero-Technology International Engineering Corportation has signed a draft 35 billion CFA franc deal to build a cement factory in Cameroon and run it via a local subsidiary.

Cameroon currently produces only 750,000 tonnes of cement per year, far short of the estimated demand.

The former French colony said in July, before the global financial crisis, that it expected some $US10 billion in mining investments in the coming years.