Wedoany.com Report-Dec. 21, Bamburi Cement has entered into a US$250 million engineering, procurement, and construction contract with China's CBMI Construction Co., Ltd for a new clinker production facility in Kwale County, Kenya.

The project involves developing a 1.6 million tonne per annum clinkerisation line. Bamburi stated that this addition will substantially decrease Kenya's need for imported clinker and improve supply reliability for the local cement industry.

The contract was formalized at a signing event in Nairobi, attended by President William Ruto.

The facility will feature a six-stage pre-calciner system and include technologies designed to reduce emissions. These incorporate the utilization of alternative fuels such as coconut husks, cashew shells, and processed municipal solid waste. The configuration aims to enhance energy efficiency and minimize the carbon footprint of clinker manufacturing.

Bamburi chief executive Mohit Kapoor highlighted that the initiative will promote stable production and align with sustained requirements from Kenya's infrastructure and housing sectors. He further explained that the new line represents a key element of the company's plan to update its production assets and lessen dependence on external raw material sources.

The development in Kwale is projected to create jobs during both construction and operational phases, contributing to economic activity in the coastal region. While no specific commissioning date was provided by Bamburi, industry sources indicate potential completion by 2028.

President Ruto has confirmed the continuation of the 17.5 percent levy on imported clinker, supporting measures to foster local production. He emphasized Kenya's abundant limestone resources, noting that domestic manufacturing capacity should meet cement industry needs. Maintaining the levy is viewed as essential to stimulate investment in national facilities and secure raw material availability within the country.

This strategic investment underscores Bamburi's commitment to expanding integrated operations in Kenya. By establishing dedicated clinker production, the company strengthens its supply chain resilience amid growing market demand.

The partnership with CBMI Construction brings specialized expertise in large-scale cement plant development, ensuring adherence to modern technical and environmental standards.

The project aligns with broader objectives to bolster industrial self-sufficiency while incorporating sustainable practices in resource utilization.

As construction progresses, the facility will play a vital role in supporting Kenya's building materials sector, providing a reliable foundation for ongoing development projects nationwide.

Overall, the initiative reflects forward-thinking approaches to meet evolving industry requirements through enhanced local capabilities and efficient production methods.