Qassim Cement inks preliminary deal with Chinese firm to set up SAR 152 mln mill

Logo of Qassim Cement

Qassim Cement Co. entered into a preliminary agreement with the Chinese company, CDI, for the engineering, supply and construction of a cement mill,  with a 300 tons/hour replacement capacity, within its Buraydah cement factory.

The agreement includes supply of mechanical and electrical equipment, including design and supervision of civil works, installations and commissioning tests.

The company said in a bourse filing that the implementation period for the SAR 152 million worth project is 15 months.

Detailed contracts are now being prepared, which are expected to be signed before mid-January 2022.

According to the company's estimates and current data, the financial impact is expected to appear in the second quarter of 2023.

Qassim Cement will announce any significant developments in due time.