Asec Engineering and Management, a subsidiary of Egypt's Qalaa Holdings (formerly Citadel Capital), has signed a plant management agreement with Ethiopia’s National Cement Share Company.

A leading cement plant Operations & Management (O&M) service provider in Egypt and the Mena region, Asec Engineering said the one-year contract, which is renewable for a five-year term, comes close on the heels of its successful foray into Mozambique market.

As per the deal, the company will provide full technical assistance to National Cement Share Company, one of the largest producers of cement in Ethiopia, for the operation and maintenance of the cement plant.

The Egyptian firm will also utilise its knowhow and expertise to help National Cement Share Company to boost production volumes, cut production costs, and improve product quality.

Located in the city of Dire Dawa, 450 km east of the capital Addis Ababa, the plant boasts a production capacity of one million tons of clinker per annum.

On the contract win, Asec Engineering CEO Khaled El Sebaie, said: "This is a result of the continued efforts of Asec Engineering and its ambitious plans to expand its business into Sub-Saharan Africa after its successful contract with Cimento Nacional Company in Mozambique."

Under the contract, Asec Engineering will also introduce and implement systems for all aspects of production, quality, maintenance, warehousing and human resources, among other areas, he stated.

In addition to other regional contracts, the company also operates and maintains 10 cement production lines across 7 Egyptian plants representing 25 per cent of total cement production in the country.-TradeArabia News Service