(MENAFN- Muscat Daily) Oman Cement Co has decided to obtain a loan from a leading bank in Oman to finance the expenditure of setting up a new cement mill at an estimated cost of US$39mn (RO15.1mn), according to the company's filing to the Muscat Securities Market (MSM) on Thursday.
The company did not disclose the name of the bank from which it will obtain the funding. ''While our acceptance of the bank's offer has been communicated, an agreement is being finalised.
It has also been decided to appoint two new portfolio managers to handle part of the investment of the company and detailed arrangements, including finalisation of the agreement with the identified agencies, are under process,'' Jamal Shamis al Hooti, CEO, Oman Cement, said in the company filing.
The contract for the construction of the mill has been finalised with FLSmidth Private Limited, India.
Oman Cement posted net profit of RO16.02mn for the year 2013, which is lower by 8.51 per cent compared with net profit of RO17.51mn in the previous year.
The company achieved sales of 2,101,631MT of cement in 2013 as against the sale of 2,307,291MT of cement in the previous year, registering a decrease of 8.91 per cent. In value terms, the company's sales for the year 2013 were RO52.42mn, which was 7.47 per cent lower compared with RO56.65mn in the previous year.
The company said that its sales on lower production due to an unexpected breakdown at one of its cement mills in 2013.
The company, however, is confident on continued demand for cement in the country.
Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.