Business
Afghanistan signs $67 million contract for cement production in Samangan
The Ministry of Mines and Petroleum said the plant will have a production capacity of 1,200 tons of cement per day.
Afghanistan’s Ministry of Mines and Petroleum has signed a contract for the development of the Aibak Cement Project in Feroz Nakhchir district of Samangan province, marking a significant investment in the country’s industrial sector.
The agreement, valued at $67 million, was signed on Thursday between Hedayatullah Badri, Minister of Mines and Petroleum, and Aibak Cement Company, according to a statement issued by the ministry.
Under the terms of the contract, the company will pay a royalty of 200 Afghanis to the government for every ton of cement produced. The project has been awarded for a period of 30 years, subject to the company’s compliance with Afghanistan’s mining laws, regulations and contractual obligations.
Speaking at the signing ceremony, Badri said the project is expected to create employment opportunities for around 600 Afghans and contribute to the country’s economic development.
He added that the company has committed to investing approximately $1 million in social development initiatives during the contract period.
The Ministry of Mines and Petroleum said the plant will have a production capacity of 1,200 tons of cement per day.
The project is part of broader efforts to attract investment into Afghanistan’s mining and industrial industries and expand local production capacity.