The Tanzanian government has moved to solve poor power supply to Dangote Cement Company in the southeastern town of Mtwara by offering land to the Nigerian company to mine coal for its operations.
The Ministry of Energy and Minerals on Saturday handed a 10-square-kilometre plot of land to the $500 million cement factory.
The action, approved by President John Magufuli will allow the company to get a reliable supply of coal to run its machines.
Dangote Cement runs on expensive diesel generators and requested Tanzanian government last year to supply natural gas ti its factory.
Dangote, Africa’s biggest cement producer, is seeking to double Tanzania’s annual output of cement to 6 million tonnes.
