Lafarge doubles milling capacity per annum

CEMENT manufacturing firm, Lafarge Cement Zimbabwe Limited has said assessments by management have indicated that it is a going concern as there are no material uncertainties related to events and conditions prevailing within the country’s economic environment that could cast significant doubt on its ability to continue as a going concern.

It noted that various responses put in place by management are adequate stressing that there are no uncertainties which can hinder the ability of the Company to continue operating as a going concern.

Said the firm in its unaudited preliminary financial results for the year ended December 31, 2022: “In preparing the financial statements, the Directors and management are required to make an assessment of the Company’s ability to continue as a going concern.

“At the time of preparing the financial statements, there were no material uncertainties related to events and conditions prevailing within the country’s economic environment that could cast significant doubt on its ability to continue as a going concern.”

It added that directors and management are continuously monitoring and evaluating the company’s operating landscape to re-assess and appropriately adapt its strategies around the current economic environment.

“This is to ensure the continued operation of the company into the foreseeable future. Such strategies include taking advantage of Government policies and initiatives intended to support the continued operation of the company and continuously engaging other related parties to ensure inter-company obligations are managed and settled in a manner that does not negatively impact operations.”

However, it said the influx of cheap imported cement posed a serious threat to the domestic industry which has enough capacity to meet national demand.

“Constructive engagement continued with the regulatory authorities in an endeavour to obtain the required support.”

In the period under review, the company resumed production of cement at both mills in mid-February 2022 following the October 2021 incident which resulted in the roof over both cement mills collapsing.

During the second-half of the year, the firm successfully commissioned the Vertical Cement Mill (VCM) and subsequently decommissioned Mill 1 which had the least capacity.
The VCM doubled the company’s milling capacity to 1 million tonnes per annum and bolstered its ability to supply high strength cement of improved quality and at the same time reduced the production costs.

Chronicle

Leave a Reply

Your email address will not be published. Required fields are marked *

Business

Old Mutual launches Prospect housing project

In an important move, Old Mutual, a big financial services company, started a $12 million housing project in Prospect, Harare, this Monday. The company held the groundbreaking ceremony for the project yesterday. The housing project will be done in phases, with $4 million to be used this year. Modern housing units will be built on […]

Read More
Business

ZIMTRADE’s Training Propels SMEs Towards International Market Success

In Bulawayo, a transformation is underway as small to medium enterprises (SMEs) gain the confidence to enter the export market, thanks to a strategic initiative by Zimbabwe’s trade promotion authority, ZIMTRADE. These ventures, which began as modest local businesses, are now gearing up to compete on the international stage.Bulawayo’s entrepreneurs are seizing the vast opportunities […]

Read More
Business

Unifreight buoyant as it registers 58% Q1 volumes growth

Diversified logistics concern Unifreight has announced a remarkable 58% increase in volumes for the first quarter of 2024. This growth is attributed to the company’s strategic fleet expansion, increased capacities, and aggressive marketing efforts. Unifreight has placed significant resources into the Full Truck Load (FTL) market segment, which has paid off handsomely. The FTL market […]

Read More