BUA Cement Plc has moved to significantly scale its production footprint with a new expansion project that will lift its total installed capacity to 20 million metric tonnes per annum, following the execution of an engineering contract for a fresh cement line in Sokoto State.
The company confirmed that the expansion will be delivered through a new 3-million-tonnes-per-annum production line, to be constructed by CBMI Construction, a Chinese engineering firm with which BUA Group has maintained a long-standing technical relationship. The project forms part of BUA Cement’s broader strategy to deepen domestic supply and strengthen its competitive position within Nigeria and the wider West African cement market.
Brandspur Brand News understands that the new Sokoto line will be powered by gas from BUA’s Liquefied Natural Gas facility in Ajaokuta, Kogi State, a project that broke ground last year. By relying on LNG rather than traditional fuels, the company aims to reduce energy costs, cut emissions and insulate operations from volatility in the national power grid.
Chairman of BUA Cement, Abdul Samad Rabiu, said the Sokoto plant has been strategically positioned to serve Nigeria’s North-West region while also supporting exports to neighbouring landlocked markets, including Niger Republic and Benin. He noted that the project reflects BUA’s commitment to efficient industrial expansion driven by local energy solutions.
According to Rabiu, the new production line is expected to be completed within 20 months, reinforcing the group’s aggressive but structured industrial growth model. He added that the use of in-house gas infrastructure would improve operational efficiency and enhance long-term cost competitiveness.
The agreement with CBMI further extends an existing partnership that has seen the engineering firm deliver several of BUA’s cement facilities across Sokoto and Edo States, positioning CBMI as a core technical partner in the group’s cement operations.
Industry analysts say the expansion is expected to narrow the gap between BUA Cement and market leader Dangote Cement, which currently operates a capacity of about 52 million tonnes per annum and controls roughly 60 per cent of Nigeria’s cement market. BUA Cement’s market share is estimated at between 19 and 21 per cent.
The capacity push follows BUA Cement’s strong financial performance in late 2025, when the company posted a sharp year-on-year profit surge, driven largely by lower production costs linked to its captive gas and power strategy.
Meanwhile, competition in the sector is intensifying. Dangote Group recently unveiled a long-term plan to raise cement output to 90 million tonnes, with a focus on export-led growth under the African Continental Free Trade Area framework.
With the new Sokoto line, BUA Cement is positioning itself for deeper regional reach, cost efficiency and sustained rivalry in Nigeria’s fast-evolving cement industry.
