Sinoma of China is set to start work on the SR2.2 billion ($578 million) expansion of the Saudi Cement Company’s (SCC) Hofuf plant, believed to be one of the largest cement projects in the world.

Under the expansion, two new production lines with an annual output capacity of 6.6 million tonnes will be added, increasing production by around 160 per cent.
The new plant will help to relieve chronic cement shortages and price hikes experienced in the kingdom over the last year. 
With construction activity advancing in the kingdom and the high demand for cement both locally and regionally, the SCC decided to increase its production capacity and also exploit its good reputation for various types of cements — ordinary portland cement (low alkali), sulphate resisting cement, and oil well cement.
Spiralling demand in Saudi Arabia during 2004 and 2005 meant that most of the cement supply was consumed by the local market. The company also exports cement to other GCC countries, including Bahrain, Kuwait and Qatar.
SCC operates two factories, in Hofuf and Ain Dar, approximately 35 km apart and about 130 km from King Abdulaziz Seaport in Dammam. 
The company has 10 cement kilns with a total clinker capacity of 13,825 tonnes per day or 4.15 million tonnes per year. Both factories also operate nine cement mills.
Cement and clinker are transported from both factories to the terminal by railway.
Established in 1955 as a public share-holding company, SCC has been a major supplier of cement and cement products throughout the kingdom’s infrastructure-building phase - for airports, seaports, flyovers, roads, power stations, factories and public housing projects. The company has also participated in various construction projects financed by public funds such as the Real Estate Fund and the Saudi Industrial Development Fund.