Qassim Cement inks SAR 1.1B deal to build 4th production line

Signing ceremony

Qassim Cement Co. signed today, Aug. 14, an engineering, procurement, and construction (EPC) contract worth $298 million (almost SAR 1.12 billion) with Sinoma International Engineering Co. to establish a fourth production line at its plant site in Buraidah.

The new line will boast a production capacity of 10,000 tons of clinker per day, the Saudi-listed cement producer said in a statement to Tadawul.

For more news and details on the projects

The turnkey EPC contract is valid for 24 months. The project will be enabled by the latest technologies in cement industry, according to Qassim Cement.

There are no related parties to the deal, it added.

The project is designed to replace certain outdated, low-efficiency production lines with a modern, advanced line. This initiative aligns with the Kingdom’s objectives to enhance energy efficiency and promote environmental sustainability, said CEO Omar Al-Omar.

He further stated that the project aims to optimize the utilization of the existing plant infrastructure and marks a pivotal contribution to the company’s sustainable growth strategy—focused on maximizing shareholder value, meeting domestic demand, and diversifying product offerings in accordance with Saudi’s Vision 2030.