Al Jouf Cement’s Syria export contract reflects market diversification strategy: Chairman

Eisa Ba-Eisa, Chairman of Al Jouf Cement Co.

Eisa Ba-Eisa, Chairman of Al Jouf Cement Co., said that the contract signed for product export to Syria is one of the implementation initiatives stemming from the first phase of the transformation strategy.

The move reflects the company's direction toward expanding its export business, diversifying regional markets, and building strategic partnerships that support sustainable growth and enhance shareholder value, the top executive told Argaam.

The company, according to the chairman, views the agreement as the beginning of building long-term partnerships, rather than as a standalone contract. He expects the contract to have a positive impact on the company's financial results starting from the third quarter of 2026.

However, the specific trade quantities or prices will remain off record, in compliance with contractual confidentiality and to protect its commercial interests. He emphasized that all material information has been disclosed in accordance with capital market requirements.

The scope of work covers developing clear mechanisms governing the commercial relationship between the two parties. The company also ensures that all of its contracts include appropriate guarantees and payment mechanisms to safeguard its rights and mitigate commercial risks, through the application of advance payment security requirements, said Ba-Eisa.

He explained that the board considers all of its decisions from the perspective of creating sustainable value for shareholders, while maintaining full compliance with the principles of governance, transparency, and disclosure.

The board has approved the first phase of the transformation strategy, which represents the beginning of a comprehensive strategic program that will be implemented in phases, with each initiative subject to study, evaluation, and approval in accordance with the applicable regulatory framework before implementation, according to the top official.

“The first phase of the transformation strategy focuses on diversifying revenue sources, expanding into export markets, enhancing operational efficiency, and building strategic partnerships, with initiatives to be implemented gradually after completing the necessary studies and approvals,” said the chairman, “We are targeting opportunities that generate the greatest economic value while taking into account various operational and commercial factors.”

Lookin ahead, Ba-Eisa highlighted that the company continues to study a number of opportunities under the transformation strategy, confirming that any agreements requiring disclosure will be announced immediately upon execution, in accordance with the relevant laws and regulations.

According to data available with Argaam, Al Jouf Cement signed on June 29 a one-year sale-and-supply contract with Maham Construction & Contracting Co., a subsidiary of Al-Hassan Holding Group, for the export of various types of cement and clinker to Syria. The contract is valued at SAR 55.41 million.