It is 4 days since the Northern Region Cement Company (NRCC), a Saudi listed company, has been "forced to shutdown," because the road leading to the company plant is closed, thus halting the production cycle and blocking the traffic of trucks to and from the plant.
The decision to close the road leading to the company plant was taken by a committee drawn up from representatives from the Governorate of Northern Border, the Ministry of Transportation, and the Department of the Police in the area.
Sources at the northern border division of the MoT told Al-Eqtisadiah that the reason behind the closure of the road is NRCC's failure to construct an upper bridge road connecting the plant with the international highway.
NRCC was required to construct the bridge road by the authorities in order to safeguard lives of the people driving in the area.
An official of NRCC told Al-Eqtisadiah that the bridge cannot be constructed as It would cost SR 18 million, and that requires approval through a meeting of the general assembly.
The official said his company is also following up on the matter with the relevant authorities, advising them of the adverse impact of the decision to close the road. In addition, the company has informed the Capital Market Authority, he said.
The official called for the formation of a committee to inspect the area because, he believes, this will prove that the present situation poses no danger to the users.
He said he expected the local market would very soon start to feel the effects of the plant shutdown.
Cement plant hit by road closure
