Cementos Pacasmayo will put into operation the expansion of its Pacasmayo plant in 2023, which will add an estimated capacity of 600,000 metric tons of clinker per year.

It also announced that it expects to spend approximately $25 million per year over the next three years on recurring capital expenditures necessary to maintain its plant and equipment.

The company expects to finance these investments with its current and future cash flows.

Cementos Pascamayo is a leading Peruvian cement company and the only cement producer in the northern region of Peru.

With more than 64 years of operating history, the company produces, distributes and sells cement and cement-related materials, such as precast products and ready-mix concrete.

Above all, its products are used in construction, which has been one of the fastest growing segments of the Peruvian economy in recent years.

It also produces and sells quicklime for use in mining operations, although it represents a very small percentage of its total income.

Cementos Pacasmayo

In 2021, the company’s cement shipments were approximately 3.6 million metric tons, representing an estimated 26.8% share of Peru’s total cement shipments.

With this, cement volumes in 2021 increased 40.4% compared to 2020, setting a new historical record.

Despite the halt of its operations for more than two months, the company’s volumes only decreased slightly in 2020.

Even when compared to 2019, which was already a record year, volumes are up 39.6% in 2021.

The company believes that the construction sector has significant potential to grow with the ongoing infrastructure deficit and persistent housing deficit in the country, as well as the reconstruction of northern Peru following the impact of El Niño weather conditions in the first four months of 2017.

However, Cementos Pacasmayo is aware that the exponential growth experienced in 2021 will be difficult to replicate and considers that maintaining current volumes will be a challenging goal for 2022.

The company completed an expansion of its Rioja plant in April 2013. It more than doubled the cement production capacity of its Rioja plant by installing a new production line with 240,000 metric tons of installed annual cement production capacity.

It then finished the construction of its plant in Piura in 2015. This plant has an annual production capacity of 1.6 million metric tons of cement. In September 2015, we started cement production and in January 2016 clinker production started.