Al Jouf Cement says fuel price hike ups production cost by 14%

In a statement to Tadawul, the company said the study showed that the direct financial impact would raise production costs by around 11%.

In addition, higher diesel prices used in transportation and logistics operations are anticipated to increase costs by around 3%.

Accordingly, the total increase in production costs is estimated at about 14%.

Al Jouf Cement is currently assessing the overall financial impact of these increases on its financial results.

It is also studying possible operational and technical options to mitigate their impact on financial performance, the statement said.

Any material developments will be disclosed in line with relevant regulations, the statement noted.

According to Argaam data, Al Jouf Cement received a notice from Aramco, which included an adjustment to the prices of fuel products used in production, effective Jan. 1.