Dangote Industries Limited

Tanzania
Msijute, P.O. Box 1241
Mtwara, Tanzania
Tel.: +25523234513/14
email: dil.tz@dangote.com
www.dangotecement.com

DANGOTE
CEMENT

PRE;SS RELEASE
For immediate release

Production Stoppage at Dangote Cement

Mtwara 28th November 2016:
The production in Dangote Cement plant in Mtwara has been severely affected since last
week. This temporary stoppage was caused by a technical problem in the plant's units. The
CEO of Dangote in Tanzania, Mr. Harpreet Duggal, stated that the Dangote engineers are on
the job and the plant should resume operations in the coming days.
He said, the plant started commercial operations early this year and like in any other similar
plant, one can expect some teething issues in the early months. However, he mentioned that
these issues are not critical and normal production can resume shortly.
When asked about the high cost of production, Mr. Duggal stated that compared to other
Dangote operations, the running cost in Tanzania is very high. One of the main reasons, is
our dependence on diesel generators for powering the plant. Also because of the location, far
away from the main market of cement, the transportation cost is very high.
He mentioned, the Government is looking into our costs issues and is trying to find ways to
alleviate our costs.

He said, "We are upbeat about our long-term investments in Tanzania and we are confident,
in collaboration with the Government we would be able to get the costs in control so that we
can continue to make cement affordable in the country."
Since the launch of Dangote Cement, the price of cement in Tanzania has come down by
more than 30%.

The USD 600m Dangote Cement plant in Mtwara, is the largest cement investment in East
Africa. It has a capacity to produce 3m tons of cement per annum and provides direct
employment to more than 1000 people in Mtwara.
End