Saudi Ceramic Company has revealed that steady progress is being made on its new porcelain tile factory, with more than 40% of the work completed.
The new facility will have a capacity of 8.25 million square meters and a total investment of $66.4 million, with financing provided by internal accruals and additional borrowings.
The company stated that it expected to begin commercial operations at the plant in the fourth quarter of 2021, but that it was delayed owing to technical challenges. As a result, the plant’s trial and commercial production will begin in Q1 2024.
The new facility will have a capacity of 8.25 million square meters
The delay was caused mostly by legal proceedings from authorities, as well as changes in the supply schedule of machines and equipment owing to external circumstances affecting suppliers, according to the company’s filing with Saudi bourse Tadawul.
Saudi Ceramic Company also stated that because there has been no change in the project scope, there will be no change in the project’s costs.