Arabian Cement Company (ARCC) announced that the recent Egypt decision of raising prices of natural gas supplied to cement producers would have a limited impact on it in the short term, according to a statement.
The decision will also weigh on the company’s need for hard currency to ensure securing sources of energy over the medium and long terms, Arabian Cement added.
Moreover, the company noted that it was expecting such a decision months ago, hence, it is ready to prevent any disruptions to production in the short term with abundant storage of coal and petroleum coke.
The medium-term impact will be based on the directions of international markets, in which energy prices increase in the meantime, the company said.
On October 10th, Egyptian Prime Minister Mostafa Madbouly issued a decree setting the sale price of natural gas supplied to the cement industry to $12 per million British thermal units (MBTU).
Arabian Cement is an Egypt-based company engaged in the manufacture of cement and concrete. Its products include clinker and ready-mix concrete, in addition to, Al Mosalah, Al Tahrir, and El Sadd cement.