IFC Strengthens Partnership with CIMAT/CIMAF to Support Green Energy and Low-Carbon Cement Production in Burkina Faso, Chad, and Mali

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Marrakech, Morocco, October 10, 2023 —A partnership announced today between IFC and four subsidiaries of Omnium des Industries et de la Promotion (OIP), a leading African cement producer, will increase the availability of lower-carbon cement in three Sahel countries, Burkina Faso, Chad, and Mali, supporting the region's infrastructure and housing development.

OIP is the holding company of both Ciments de l'Atlas (CIMAT) in Morocco and the various Ciments de l'Afrique (CIMAF) subsidiaries in West Africa.

IFC is providing a green loan of up to €45 million, of which €32.4 million will support the construction of a calcined clay production facility for OIP subsidiary CIMAF Bobo Dioulasso in Burkina Faso. €12.6 million of the funding will help finance solar photovoltaic (PV) projects for three CIMAF subsidiaries in the Sahel region. A green loan is a form of financing that provides funds for eligible green projects that contribute to environmental objectives such as climate change mitigation or climate change adaptation.

"IFC's green loan provides essential long-term financing for our projects in Africa. Through the green loan structure, we are bringing the best practices in financing decarbonization initiatives in the region. We look forward to reducing our carbon footprint and replicating these best practices in our African operations," said Anas Sefrioui, CEO of CIMAT/CIMAF.

"Africa requires a lot of infrastructure and housing, and housing and infrastructure require a lot of cement," said Makhtar Diop, IFC Managing Director. "If we are to meet our climate change ambitions, we need that cement to be low-carbon. This is why we are pleased to partner once again with CIMAT/CIMAF. This project will strengthen the trend of sustainable production of cement and construction materials in West Africa, contribute to developing the green building agenda, and serve as an example to follow for other companies in the value chain seeking to green their operations."

The calcined clay project in Burkina Faso will reduce the use of clinker (a key raw material for cement), leading to energy and fuel efficiency and a significant reduction in greenhouse gas emissions. CIMAF will use the calcined clay to produce limestone calcined clay cement (LC3), a high-quality, low-carbon, and cost-efficient class of cement. The solar (PV) projects in Burkina Faso, Chad, and Mali will help CIMAF reduce its reliance on fossil fuels for power generation.

IFC's investment supports the OIP group's decarbonization roadmap for its sub-Saharan Africa operations, which aims to cut carbon emissions and increase the share of renewable energy to 40 percent across all operations and increase the share of alternative fuels to 50 percent across integrated plants. The roadmap includes multiple initiatives, including energy efficiency, solar PV, alternative fuels, and LC3 projects.

Beyond this project, IFC is considering additional financing to further support the implementation of the OIP group's overall decarbonization roadmap, including for its Morocco-based operations.

IFC previously financed several CIMAF subsidiaries in 2021 to help the company boost its production of cement in West Africa to meet the growing demand for housing and infrastructure in the region.

About IFC

IFC — a member of the World Bank Group — is the largest global development institution focused on the private sector in emerging markets. We work in more than 100 countries, using our capital, expertise, and influence to create markets and opportunities in developing countries. In fiscal year 2023, IFC committed a record $43.7 billion to private companies and financial institutions in developing countries, leveraging the power of the private sector to end extreme poverty and boost shared prosperity as economies grapple with the impacts of global compounding crises. For more information, visit www.ifc.org.

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About CIMAT/CIMAF

Industriel responsable de référence, CIMAT/CIMAF est un groupe marocain qui produit et développe des ciments et des bétons prêts à l'emploi, reconnus pour leur qualité.

Dès le démarrage des 2 cimenteries au Maroc, le groupe a tracé l'ambition de devenir un acteur inconditionnellement impliqué dans le développement économique, social et humain de l'Afrique. Dans cette optique dès 2011, le groupe a décidé d'étendre ses activités dans 12 pays en Afrique pour atteindre une capacité annuelle de production de plus de 16 millions de tonnes. Pour en savoir plus visitez www.cimaf.com or www.cimat.ma

A responsible industrialist of reference, CIMAT/CIMAF is a Moroccan group that produces and

develops cements and ready-mixed concrete, recognized for their quality.

Since the start-up of two cement plants in Morocco, the group set out the ambition to become an unconditionally involved player in the economic, social and human development of Africa. In this context, since 2011, the group decided to expand its activities through 12 countries in Africa to reach an annual production capacity of more than 16 million tons.

For more information, visit www.cimaf.com or www.cimat.ma