Dangote Cement Plc is set to transition thousands of its delivery trucks to run on Compressed Natural Gas (CNG), in line with the Federal Government’s initiative to adopt alternative fuels for official vehicles. The company revealed this significant move during its 15th Annual General Meeting (AGM) in Lagos, emphasizing its commitment to enhancing energy independence and sustainability.
Addressing shareholders, Dangote Cement’s Chairman highlighted the company’s support for the Federal Government’s Renewed Hope Agenda, spearheaded by President Bola Tinubu. He stated, “We will start using CNG vehicles, especially with the new government policy. By the end of next year, all our trucks will operate on CNG. This substantial investment aligns with our goal to ensure a more sustainable energy future and keep our shareholders satisfied.”
In addition to the CNG initiative, Dangote Cement is expanding its production capacity. The company is constructing a new plant with a capacity of 6 million metric tonnes per annum in Itori, Ogun State. Despite logistical challenges at the Apapa Port in Lagos, the project is on track for timely completion.
The Chairman expressed pride in the company’s financial performance, reporting double-digit revenue growth. Dangote Cement achieved a revenue of N2,208.1 billion and a record Group EBITDA of N886.1 billion, marking a 25.1% increase. This growth was driven by robust cost control measures and the diverse pan-African operations, which contributed 41.2% to the Group’s overall volumes.
“We have made significant strides in our expansion initiatives,” the Chairman noted, citing the successful launch of a 0.45Mta grinding plant in Ghana and the near-completion of a 1.5Mta grinding plant in Côte d’Ivoire. “We have also started construction on our 6Mta Itori plant in Ogun State, supporting our ambitious export goals.”
The 2023 financial results reflected Dangote Cement’s strong performance, with group revenue rising by 36.4% to N2,208.1 billion and Profit after tax (PAT) increasing by 19.2% to N455.6 billion. These achievements underscore the company’s strategic efforts to enhance Return on Investment (RoI) for shareholders and stakeholders alike.
