Corona and Cementos Molins Sign Agreement with OHL to Build a Large Cement Plant in Colombia
Baker McKenzie acted as legal counsel to OHL Industrial S.L. and OHL Industrial Colombia S.A.S. in the negotiation of an EPC agreement with the multinational Colombian firm, Corona, and the Spanish cement group, Cementos Molins (via its subsidiary in Colombia, ECOCEMENTOS S.A.S.), to build a new cement plant near Sonsón (Colombia). The contractors are a division of the OHL Group that is specialised in the engineering and construction of large-scale industrial facilities through this type of contracting.
The deal, amounting to EUR 238 million, was closed on 20 October 2016 and just recently made public. The new plant will have a productive capacity of 1,350,000 tonnes of cement per year and is expected to be operational in mid 2019. It is calculated that its construction will generate around 800 jobs, then 220 direct jobs and 250 indirect jobs once it is operating.