Business
Price Of Cement May Drop As BUA Unveils Plan To Generate Own Electricity
The BUA Group Plc has announced plans to begin generating its own electricity to power its production plants, particularly its cement factories.
The firm said the move is aimed at reducing operating costs and ultimately lowering the market price of cement.
Chairman of BUA Group, Abdul Samad Rabiu, disclosed the decision on Tuesday at the company’s Annual General Meeting (AGM) held at the Transcorp Hilton Hotel, Abuja.
“We are spending too much of our income on power generation in a country that is still battling epileptic power supply,” Rabiu said.
The move, he explained, forms part of BUA’s strategy to tackle the rising cost of production, largely driven by energy expenditure, and deliver better value to shareholders and customers.
The company has signed a 70MW power agreement with Wartsila OY of Finland to power BUA Cement’s Sokoto Line 4 and another 20MW gas-based power project with Green Power International.
These partnerships are expected to improve the group’s energy independence and operational efficiency.
“That’s why we decided to set up our new energy, so that we can be able to produce our energy using our own gas. Because there is a lot of money on gas,” Rabiu added.
The company also broke ground on a new greenfield plant in Ososo, Edo State, with a capacity of 3 million metric tonnes per annum. Upon completion by Q1 2027, BUA’s total installed capacity is projected to hit 20 million metric tonnes per annum.
“This expansion increased our installed capacity from 11 million to 17 million metric tonnes per annum, further solidifying our position as a dynamic player in Nigeria’s cement industry,” the chairman said.
Shareholders at the AGM unanimously approved a dividend payout of ₦2.05 per ordinary share, as BUA Cement posted impressive results in its 2024 Annual Report titled “Beyond Limits.”
According to the report, the company’s revenue rose by 90.54 per cent to ₦876.47 billion, driven by increased production capacity and strong market demand.
Profit before tax jumped by 48.2 per cent to ₦99.63 billion, while profit after tax grew more modestly by 6.41 per cent, attributed to higher tax liabilities.
However, cash and cash equivalents dropped by 62.35 per cent, largely due to increased capital expenditure and repayment of existing debts. Shareholders’ equity also saw a slight increase of 0.86 per cent.
Devaluation Blamed for Cement Price Hike
Rabiu justified the controversial cement pricing, blaming the devaluation of the Naira for driving up operational costs.
“We need to make a little bit of money. We have staff, we have shareholders. And we invested a lot. So, I don’t think the price of cement at ₦10,000 for an investment of billions of dollars is that bad. And at ₦10,000, that is the kind of money we’re making,” he noted.
He expressed hope that the Naira would regain strength in the near future, which could positively impact production and reduce consumer prices.
Speaking, the Managing Director/CEO of BUA Cement, Yusuf Binji, said the company’s 2024 results demonstrate its resilience and strategic foresight.
“The results reflect not only the strength of our operational execution but also the effectiveness of our forward-looking strategies in navigating the complex market conditions,” Binji said.
He added that BUA remains committed to corporate governance, ensuring transparency, accountability, and fairness in all areas of its operations.
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Business
Nigerian Kobo and Naira Coins (1991–1993 Series): A Glimpse into Monetary Heritage (PHOTOS)
The Kobo and Naira coin series issued between 1991 and 1993 represent a significant era in Nigeria’s economic history. These coins, now largely out of circulation, once played a vital role in daily commerce and offer a fascinating insight into the country’s rich cultural and economic symbols.
Denominations and Design
The coin set featured the following denominations:
1 Kobo
10 Kobo
25 Kobo
50 Kobo
1 Naira
Each coin was designed to reflect Nigeria’s national identity, featuring notable figures, agricultural symbols, and industrial elements.
1 Kobo
Smallest denomination.
Featured ears of corn, symbolizing Nigeria’s agricultural roots.
10 Kobo
Featured oil palms, a nod to one of the country’s major cash crops.
25 Kobo
Showed groundnuts, once a key export commodity of Northern Nigeria.
50 Kobo
Displayed an oil derrick, representing the petroleum industry which has been central to Nigeria’s economy.
1 Naira
Featured the portrait of Herbert Macaulay, a pioneer Nigerian nationalist and key figure in the country’s path to independence.
Historical Context
The Naira (₦) and Kobo (₦1 = 100 Kobo) were introduced on January 1, 1973, replacing the Nigerian Pound in a major currency decimalization initiative. This made Nigeria the first African country to adopt a decimal currency system, marking a shift from colonial-era monetary practices.
The 1991–1993 coin series was a continuation of efforts to modernize Nigeria’s currency with updated designs and more durable materials.
Circulation and Decline
At their peak, these coins were widely used for everyday transactions, particularly for small purchases in markets, transportation, and shops. However, due to persistent inflation, many of these coins—especially the 1 Kobo and 10 Kobo—lost their purchasing power and gradually disappeared from use.
Today, most of these denominations are no longer accepted in commercial transactions. The 1 Kobo coin is now virtually extinct in circulation and exists primarily as a collector’s item or historical artifact.
Legacy and Collectible Value
While no longer functional in modern commerce, the 1991–1993 coin series remains an important symbol of Nigeria’s economic evolution. For collectors, historians, and educators, these coins offer a tangible way to explore Nigeria’s post-independence financial heritage and the changing face of its economy.
These coins are not just currency—they’re time capsules, preserving stories of Nigeria’s industries, agricultural wealth, and nationalist pride.
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US President Donald Trump has ordered the firing of the country’s commissioner of labor statistics, Erika McEntarfer, after the Labor Department reported weak hiring last month and revisions showed a quarter-million fewer hirings in the prior two months.
Trump said he ordered the immediate firing of Erika McEntarfer, the commissioner of the Bureau of Labor Statistics, asserting the July report misrepresents what he claims is a “booming” economy powered by his policies.
The US added 73,000 nonfarm jobs in July, the Labor Department reported early Friday, down by about a third from economists’ expectations. More importantly, gains for the prior two months were revised lower by a combined 258,000 jobs.
Revisions to the employment report are routine, but the BLS said the revisions for May and June were “larger than normal.”
McEntarfer, a labor economist, was nominated by former President Joe Biden in July 2023 and confirmed by the Senate as commissioner of labor statistics in January 2024, according to the Bureau of Labor Statistics website. She previously served as a senior economist on the White House Council of Economic Advisors, where she advised on the recovery from Covid-19.
Labor Secretary Lori Chavez-DeRemer, a Trump appointee, said on her social media site that she supported the “President’s decision to replace Biden’s Commissioner.” She said during the search for a replacement, Deputy Commissioner William Wiatrowski will serve as acting commissioner.
“Important numbers like this must be fair and accurate; they can’t be manipulated for political purposes,” Trump said, without providing evidence the data was manipulated. “McEntarfer said there were only 73,000 Jobs added (a shock!) but, more importantly, that a major mistake was made by them, 258,000 Jobs downward, in the prior two months.”
Trump added: “The Economy is BOOMING under “TRUMP” despite a Fed that also plays games, this time with Interest Rates, where they lowered them twice, and substantially, just before the Presidential Election,” late last year, Trump said, renewing his attacks on Fed chair Jerome Powell, who has repeatedly ignored Trump’s calls for him to lower rates. The Fed this week held its target rate unchanged for a fifth time this year, saying it needed to assess the impacts of tariffs and other Trump policies.
“Too Late” Powell should also be put “out to pasture,” Trump said.
Powell’s term in office expires in May next year and he can only be fired from the independent body for cause.
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Nigeria’s Dangote Refinery has appointed the former head of Oman’s Duqm refinery, David Bird, as chief executive officer of its petroleum and petrochemicals business.
This was disclosed by S & P Global Commodity Insights on Friday.
Bird’s appointment takes effect from July 2025.
The move is aimed at overcoming production challenges and advancing the $20 billion refinery to its next phase of expansion.
Meanwhile, the refinery’s founder, Aliko Dangote, will remain chairman of the refining business.
The development comes as the 650,000-barrel-per-day refinery finalises plans to roll out premium motor spirit and automotive gas oil distribution nationwide from August 2025, a move opposed by the country’s petroleum products marketers.
The refinery officially commenced fuel rollout in September last year and has since continued to ramp up production capacity.
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