18 Aug 2022

To meet cement demand and increase production, Cheetah Cement Botswana has injected P700m on the expansion of its cement facility in Matsiloje.   Cheetah Cement acquired the plant from Nortex Botswana in 2019 but production was delayed due to COVID-19 pandemic.

Speaking during the Botswana Investment and Trade Centre (BITC) CEO tour of the plant on Tuesday, Cheetah Cement Botswana chairperson Mr Zedekias Gowaseb said the plant, which started operating this year was presently producing 100 tonnes of cement per day, which is less than their target.

The production could not cover the whole market, and as such they decided to invest P700m in the project to be able to produce over 900 000 tonnes per annum.

He said the world class cement facility utilising first class technology including experience in the production of cement products, was expected to be completed June next year.

Mr Gowaseb said meanwhile they were looking at possibilities of acquiring two other plants around Palapye and Mahalapye areas.

“We are also looking for other minerals around the country such as copper, nickel, limestone and others as these minerals play a fundamental role on the price of cement,” he said.

The plant, he said  produced two types of cement being 32.5 N and 42.5 N, which could be applied on the industrial, civil buildings, roads, bridges hydropower projects and others, adding that 42.5N could be used in high-rise buildings.

The plant has employed around 50 Batswana and is expected to employ 200 after completion of the plant’s expansion.

“We expect that by early June next year we will have finished construction and expansion as currently we are busy setting equipment.”

He said employees from sister cement plant  from Namibia would be attached in Botswana for a period of around three years in order to transfer skills to Batswana to be able run the plant afterwards.

BITC Chief Executive Officer (CEO) Mr Keletsositse Olebile said Cheetah Cement was introduced to them by Botswana’s Embassy in Namibia a couple of years ago and since then, there had been regular consultations between the two.

He said one of the ways they formed or identified opportunities in the country was through the import bill, by looking at things that the country imported in large numbers, and cement figures were quiet high at 600 000 tonnes per annum.

“We saw an opportunity that we can localise because there are those who have been making an effort though at small scale such as Nortex and another one around Mahalapye.”

He said they also saw opportunities for spinoffs and linkages to other areas that could be developed around the country.

Mr Olebile said there would be investigations to find out if there were companies with mining rights to link with, citing an introduction of Iron Ore mine in Ikongwe where magnetite which comes from iron ore could be beneficial in the production of cement and another mine near Mahalapye.

Mr Olebile said as the plant was scaling up to 900 000 tonnes against the current demand of 600 000 tonnes, with opportunities to export excess , adding that they would be working with the company to cultivate those markets.  ENDS