10% increase in production costs on fuel price changes: Northern Cement

Logo of Northern Region Cement Co.

Northern Region Cement Co. announced that the direct financial impact as a result of the adjustment of fuel product prices by Saudi Aramco is estimated to be an approximately 10% increase in production costs.

In a statement to Tadawul today, Jan. 16, the company said it will work in the coming period to explore ways to mitigate the financial impact of this price adjustment, pointing to its ongoing plans to reduce costs and enhance production and operational efficiency.

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The company also highlighted its participation in the Industrial Sector Competitiveness Program starting from 2024, which is expected to help reduce this financial impact and improve energy consumption efficiency.

According to data available with Argaam, Northern Cement earlier received a notice from Saudi Aramco regarding the adjustment of fuel product prices used in cement production, effective from Jan. 1.