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Concern growing over cement supply

Construction bosses responsible for ongoing projects worth hundreds of millions of dollars are anxiously seeking word from Government that the cement plant at Dockyard will remain operational beyond the end of this month.

Almost a week after the last scheduled cement supply ship delivered to the Island there is growing concern that no further shipment is on order.

Demand for ready mix concrete is so high on the Island that the cement silos at the West End must be replenished on a monthly basis.

Alex DeCouto, president of the Construction Association of Bermuda, said he and others continue to seek reassurance from Government that cement supply ships will continue to arrive in Bermuda, and that some way will be found to keep the plant in operation once the Bermuda Cement Company closes its business and removes its equipment — something due to take place before December 31 when the company's site lease expires.

"We still have no answers and the clock is ticking," said Mr. DeCouto. He added that another worry is the logistics that will need to be in place for the preparing of orders, billing and such like with any switch over.

"Even if Government takes over, how are they going to set about things? There are quite specific questions. Maybe there is another ship coming with cement. I don't know. As a company (Greymane Contracting) we have a $40 million project on the line and you just have to look around town to see what else is under construction."

Mr. DeCouto said it would be wrong for anyone to assume that because Bermuda has managed to overcome supply interruptions in the past, through using bagged cement, that in 2007 it would be able to do the same.

He pointed to the daily requirement of major projects to have ready mix concrete which would be impractical to achieve through using bagged cement.

The Bermuda Cement Company is currently up for sale and intends to close down on December 21 and hand back the Dockyard site ten days later.

Government quango the West End Development Corporation, which owns the property, decided not to grant a further lease extension to the cement company after a breakdown in protracted negotiations to build a new facility nearby.