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Aliko Dangote set to begin coal mining in Kogi
- Published: September 10, 2016. 1 month Ago
The Dangote Cement Plc, a subsidiary of the Dangote Group, has disclosed its plan to start mining coal at Ankpa, Kogi State, in November.
The company said that due to acute gas shortage in the country, following disruptions of supply by militants in the Niger Delta region, it had switched its plant lines to coal to minimize cost.
The Chief Executive Officer of the Dangote Cement, Onne, van der Weijde, said that disruption to the gas supply had deteriorated, adding: “These are challenging times for Nigeria and Dangote Cement but we are taking strong actions that will position the company for continuing success.
Our coal mining initiative will benefit both the company and the Nigerian economy by reducing the need for foreign exchange and helping us to both protect existing jobs and create new ones.
The company said devaluation of the naira had increased costs in its largest market-cement, forcing the company to jerk the ex-factory price of the product by N600 per bag.