KARACHI – DG Khan Cement Ltd, which is owned by Mian Mansha plans, to build an $300 million plant near Karachi as economic growth boosts demand, as per a report.
In an interview at its headquarters in Lahore, Chief Financial Officer Inayat Ullah Niazi said, “There will be a shortage domestically in three years if there is 10 percent growth in demand each year.” Its two cement plants have operated near full capacity in the past two years.
Pakistan’s output is projected to expand 4.3 percent in the year ending June 30 and 4.75 percent in the following fiscal year by the International Monetary Fund, it said. The company is building its first plant since 2007. The new plant near Hub, west of Karachi, will produce about 2 to 2.5 million tons of cement a year, Niazi said. Construction is targeted for completion late in 2018. The plant will be financed 40 percent through internal cash and the rest through debt, Niazi said.
DG Khan Cement had earlier announced a net income of Rs3.39 billion for the first six months ended December 2014, up by a healthy 27% compared to Rs2.67 billion in the same period of previous year. Earnings per share (EPS) also jumped to Rs7.75 compared to an EPS of Rs6.09 in the first half of the previous year.
