Tuesday, December 20, 2016

DMCI allots P18.3B to build cement plant in Semirara Island




DMCI Holdings Inc., a construction business, is putting up a cement plant on Semirara Island in the Visayas worth P18.3 billion in an industry dominated by foreign manufacturers.
According to DMCI managing director, Victor Limlingan, the company is spending a total of $380 million (about P18.3 billion) for the cement-manufacturing venture, building a cement plant each with 15-megawatt capacity and three separate grinding facilities located in Batangas, Iloilo and Zamboanga, three areas that can cover the entire Philippine market.
He said that they have the advantage of the limestone that will be coming from Semirara Island. “The limestone is an overcrop that before we can get to the coal, we have to get through the limestone. Before, when you remove the overcrop, it’s a cost. This one is a revenue,”
The other advantage, Limlingan said, is that they are the only cement company which will be beside the sea. Most of the cement plants are in the mountains. “We are strategically located in the Visayas. We can distribute to all over the Philippines. We can even distribute to the Asean countries,” Limlingan said during Regina Capital and Development Corp.’s forum.
The company is targeting to start the operations of its grinding plants in two years and its key cement plant, in three years. Limlingan said 70 percent of the project cost of about $266 million (P13.239 billion) will be funded by debt and the rest of the $114 million (P5.674 billion) will be by equity.

No comments:

Post a Comment