Domicem

completed

The project is to construct and operate a greenfield, integrated, dry process cement plant of 800,000 tons per year (tpy) clinker capacity, and 900,000 tpy cement capacity, at an estimated cost of $113.5 million (cost estimate revised on March 16, 2005). The plant will be set up at a site 40 Km from the capital Santo Domingo, 26 Km from the international port of Haina, and 2 Km from the village of Sabana Grande de Palenque. The project will use locally available raw materials. The proposed limestone and shale quarries would be in the immediate vicinity of the plant. The project will also include a 25 MW captive power generation plant to eliminate reliance on the national electricity grid. The project will become operational by the late 2005. The project company, Domicem, will sell 90% in the domestic market and 10% in the export market.The project sponsors are the following:- Colacem, a reputed Italian cement industry player; and - a group of Dominican investors with knowledge of the local cement market and implementation experience. IFC has been asked to assume the entire debt financing by providing an A loan of $ 21 million to Domicen and sindicate a B loan of $21 million.