Saudi Arabian company "Northern Region Cement" announced that it has signed a contract with the German company KHD to establish a cement plant in Iraq at a cost of 139 million dollars.
The company stated in a statement published on the main Saudi stock market "Tadawul" website that it has signed a contract with KHD to build the plant with a production capacity of 1.32 million tons annually. The contract duration is 16 months, and its financial impact on "Northern Region Cement" is expected to appear in the second half of 2025.
"Northern Region Cement" is engaged in the production of various types of cement, as well as managing and operating Portland cement factories of all types. It is involved in wholesale and retail trade of the company's products and construction materials, including importing and exporting to foreign countries.
The company's operations are spread across Saudi Arabia, Jordan, and Iraq, where it directly and indirectly owns 100% of the shares of Northern Region Cement in Jordan and 100% of the shares of Um Qasr Northern Cement Company in Iraq, in addition to six companies in the UAE, mainly focused on ownership in the mentioned cement companies in Jordan and Iraq.
According to the financial statements of the Saudi company for the year 2022, the revenues of its subsidiary in Iraq amounted to 34.4 million dollars, compared to approximately 30 million in 2021. It also reported a net profit of 1.2 million dollars, compared to about 2 million dollars in 2021.
