Dangote Industries Cement division has signed a multimillion dollar contract with Germany-based Siemens AG's international turbomachinery unit for the production and supply of three gas turbines to power the Ibese Cement plant in Ogun State.

The three gas turbines are expected to generate 102 megawatts of electricity for the cement plant.

Construction of the plant, which began late 2009, is expected to be completed by January 2011. The plant is estimated to produce five million metric tonnes of cement annually.

President and Chief Executive of the Dangote Group, Aliko Dangote said: "We are pleased to partner with Siemens, a globally recognised company in power plant construction. This contract is a signpost to our desire and determination to meet our target of completing the Ibese plant in record time, and achieving the 20 million metric tonnes annual production target our cement division has set this year.

"We have made a pledge to ensure that the price of cement in Nigeria comes down, but that can only be possible if the product is available in the market through increased supply. We intend to keep this pledge.

"Our cement division is expanding in various countries within Africa, and we hope that Siemens will cherish this relationship and meet our expectation, so that our partnership would be strengthened," Dangote said.