Arabian Cement Co. is expected to start commercial operations at Rabigh clinker line by Q3 2021, the company said in a bourse statement.
The project contractor, China National Building Material Co. (CNBM), said the project completion is expected to take 150 additional days following resumption of work, after lifting the lockdown measures in the Kingdom.
The cement producer had previously announced that cement mills in Rabigh were 99.51% complete.
The delay was driven by the project contractor, which missed the work schedule due to the negative impact of the COVID-19 outbreak and travel bans, Arabian Cement explained.
Nevertheless, the company confirmed this delay would not have any material impact on the project’s cost, or the company’s financial statements.
In December, the cement producer expected construction works to be fully finalized by Q2 2020, and commercial operations to commence in Q3 2020.
According to data compiled by Argaam, Arabian Cement inked in April 2015 a SAR 362 million contract with China's CNBM to construct the cement mills in Rabigh.
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