Dangote Signs $800 Million Mega Deal with Chinese Firm to Double Ogun Cement Plant Capacity

Africa’s richest businessman, Aliko Dangote, has signed a landmark agreement worth more than $800 million with Chinese engineering giant Sinoma International Engineering Co. Ltd. to double the production capacity of the Dangote Cement plant in Itori, Ogun State.

The Memorandum of Understanding (MoU), signed by Dangote, President of Dangote Industries Limited, and Lin Zhong, Chairman of Sinoma International, marks one of the largest private-sector industrial investments announced in Nigeria this year.

The agreement, confirmed by multiple industry sources and Nigerian media on August 2–3, 2026, will expand the Itori cement plant’s annual production capacity from 6 million metric tonnes to 12 million metric tonnes, significantly increasing Dangote Cement’s manufacturing capabilities.

The ambitious expansion is expected to strengthen Nigeria’s cement industry, create new employment opportunities, increase export capacity, and generate additional foreign exchange earnings for the country.

Speaking during the signing ceremony, Dangote described the investment as another major milestone in the company’s commitment to Nigeria’s industrial development.

According to him, the expansion aligns with the Federal Government’s renewed focus on infrastructure development, particularly the construction of durable concrete roads across the country.

He noted that the increased production capacity would not only satisfy rising domestic demand but also enable Dangote Cement to export more cement to African countries experiencing supply shortages, further positioning Nigeria as a manufacturing hub under the African Continental Free Trade Area (AfCFTA).

“This investment represents another bold step in our commitment to strengthening Nigeria’s industrial base and reinforcing our leadership in Africa’s cement industry,” Dangote said.

The project also forms a key part of Dangote Cement’s Vision 2030 strategy, which aims to significantly increase production capacity across Africa while expanding the company’s footprint in international markets.

Chairman of Sinoma International Engineering, Lin Zhong, expressed confidence in the partnership, stating that the Chinese engineering firm would deploy its advanced technology and extensive global experience to ensure the successful execution of the expansion project.

He described the agreement as a reflection of growing international confidence in Nigeria’s industrial and manufacturing sectors despite prevailing global economic uncertainties.

Industry analysts believe the expansion will further consolidate Nigeria’s status as one of Africa’s leading cement-producing nations while improving the country’s competitiveness under the African Continental Free Trade Area.

The deal also builds on an earlier multi-project partnership between Dangote Industries and Sinoma International valued at approximately $1 billion, which was signed in March 2026 to support additional industrial development projects.

Experts say the latest investment demonstrates continued confidence by both local and foreign investors in Nigeria’s manufacturing sector and could stimulate economic activities through increased employment, infrastructure development, and higher export revenues.

Once completed, the upgraded Itori facility is expected to become one of the largest cement manufacturing plants in Africa, reinforcing Dangote Cement’s dominance in the regional market and supporting Nigeria’s long-term industrialisation agenda.