Cement firm Eagle Cement Corp. is set to break ground for its new $300-million Davao plant in October.
In a statement on Wednesday, businessman Ramon Ang said this is in line with the San Miguel group’s plan to build five cement plants with an aggregate capacity of 10 million tons yearly, costing over $1 billion and are expected to all come online by 2017.
He said the new Davao plant is Eagle’s contribution to support the country’s economic growth while strengthening its position in the cement and construction industry.
Ang owns Eagle Cement, and also the president and chief operating officer of conglomerate San Miguel Corp. (SMC).
The company will break ground for the Davao plant on October 20, after which construction will stretch for the rest of 2016 and is expected to be completed in 2017.
Ang earlier said the plant will cost $300 million to build, which is seen to produce 2 million tons or 50 million bags of cement yearly.
The Davao plant is seen to supply the increasing cement demand from robust infrastructure activities in Mindanao.
Ang had identified Davao as a key growth area for the Philippines, citing the groundbreaking ceremonies of the group’s power subsidiary San Miguel Global Power Holdings Inc. in 2013 for a 300-megawatt power plant in Malita, Davao.
Aside from Eagle’s Davao plant, the other cement plants under San Miguel group’s pipeline are located in Bulacan, Cebu, Pangasinan and Quezon.