Power Cement Limited has released a progress report regarding its brownfield project in Nooriabad, for the quarter ending 31 December 2017. The expansion is expected to increase plant capacity by 2.5Mta to 3.4Mta, at an estimated cost of PKR24.9bn (US$224.8m). The company plans to commission the new capacity by the last quarter of FY19, ending 30 June 2019.
Power Cement has already provided letters of credit for the PKR10bn order for supply of engineering and equipment from FLSmidth. The PKR8bn contract for the civil construction and mechanical erection work was awarded to Chinese contractor, CECC Tianjin (Pakistan) Electric Power Construction Pvt Ltd. Following the deal, the contractor began civil works, which are now 18 per cent complete.
According to a bourse filing by Power Cement, the project will meet the environmental standards of the IFC and World Bank.
MPC Decision