Lafarge Africa Plc, in its latest financial results for the third quarter and 9-month period ended September 2017 showed four-fold spike in operating margins to N41.7 billion with margins stable at 30 per cent.
The CEO of Lafarge Africa, Michel Puchercos, said “Although the gas shortages in the South West persisted, for the 9-month period, Ewekoro II utilized 65% of coal and pet coke combined, as gas supply was low at about 36%.
Ewekoro I plant utilized 44% of alternative fuels, with gas supply in the region of 50% while Sagamu achieved about 25% alternative fuel substitution over the same period.”
Mfamosing plant in the South East region, utilized 99% gas in spite of a gas explosion in August. AshakaCem operations utilized 82% of coal over the same period.
The decision to attain fuel flexibility is part of the company’s turnaround plan that began in September 2016.
Cement demand in Nigeria was significantly lower than prior year and is expected to stay low on account of the economic slowdown in the first half of 2017.