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Introduction CHAIRMAN’S STATEMENT In addition, in the second half of 2016 we began exporting cement from Nigeria to Ghana, reducing our need to import Far Eastern cement and generating useful foreign currency sales. By the end of the year we had exported 0.2Mt of cement to Ghana, out of total sales there of 1.1Mt. We sold large quantities of cement into other export markets and through our efforts, we believe Nigeria became a net exporter of cement. As the year closed we were completing building work on our 0.7Mta import facility in Sierra Leone and a 1.5Mta integrated plant in Mfila, Congo. I look forward to their contribution to the business in 2017. Given the currency restrictions we now face in Nigeria, our Pan-African operations will provide useful sources of foreign currency to fund our expansion across Africa, albeit at a more measured pace than we outlined in last year’s Annual Report. I hope you will appreciate our robust response to challenges we have faced from the devaluation and associated currency restrictions. I am confident these actions will support our progress to be a global force in cement production and the strongest producer in Africa. Compared to other African cement producers, we have a strong balance sheet to support significant strategic and operational advantages in the African cement market, which I still consider to have the highest growth potential of any in the coming years. Indeed, in its latest report on Africa, Lions on the move II: Realizing the potential of Africa’s economies,the McKinsey Global Institute believes that despite recent challenges, growth will accelerate across Africa. Driving growth will be four factors: rapid urbanisation, a growing workforce, technological advances and abundant natural resources, including fertile land. Urbanisation needs housing and infrastructure, workers need factories, offices and shops, and natural resources need to be extracted and transported to markets. Supporting all of these activities will require millions of tonnes of cement in the coming decades. Turning now to governance, we continued to make good progress improving the quality of our business. Annual Report 2016 11 I am delighted to welcome Dorothy Ufot as our first female Director, following the recognition by our Board that we needed to improve our efforts on gender diversity. Dorothy is one of Nigeria’s leading commercial lawyers and adds formidable legal expertise to our Board. I have no doubt she will make a substantial contribution to our business in the coming years. In the area of Sustainability, we are working hard to prepare Dangote Cement to comply with new requirements for Nigerian companies to report on the impact they are having on the environment and on local people. In this Annual Report, we outline the steps we are taking to ensure that regard for Sustainability is part of our way of doing business. I know this is becoming increasingly important to investors and am happy that Dangote Cement is taking the issue seriously. In summary, 2016 was a year in which we were tested by economic and other forces well beyond our control, not just in Nigeria but across Africa as well. But I am pleased to say that thanks to the hard work and dedication of our staff, and the long-term strategies we have been pursuing, Dangote Cement has proved itself to be robust. As others have struggled in these times, I believe we have demonstrated the resilience and determination to achieve our very high ambitions. Looking ahead to the coming years, we remain focused upon improving and expanding our business to create even more shareholder value. In doing so we will help to build a strong and successful Africa. I thank you, our shareholders, for your support and I hope you will continue to share in our success. Aliko Dangote Chairman

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