LAFARGE AFRICA PLC

1 NIGERIA. LAFARGE AFRICA PLC. 2021 ANNUAL REPORT & ACCOUNTS. for Sustainable Growth Driving Innovation Building a landscape of History and Heritage across Nigeria The Company has a wide range of cement solutions designed to meet all building and construction needs, from small projects like individual home buildings to major construction projects. CEMENT Our Cement Product Portfolio includes 5 brands: Elephant Cement, a multi-purpose product suitable for a variety of building applications; Supaset, a fast setting and rapid strength gaining cement specifically designed for the needs of block-makers; Powermax;. a high strength cement for the sophisticated contractor segment; Etex, a cement product designed to specification for manufacturing roof tiles and SRC, a sulphate resistant cement for coastal construction.

2 Leveraging the Group's over 50 years of global experience in the readymix business, LAFARGE AFRICA produces quality and innovative concrete and aggregates solutions for small and large construction projects. READYMIX. LAFARGE Ready Mix operates currently in Lagos, Ogun, Abuja and Port-Harcourt, as a project enabler, driving quality and innovation as well as promoting a sustainable environment for generations to come. We have a product line for special building mortar-based solutions, specifically the Supafix Tile Adhesive. The first of its kind in the Nigerian market, LAFARGE Supafix is a cementitious MORTAR tile adhesive made of cement, aggregates, as well as organic and inorganic additives.

3 The solution is designed specifically for tiling and has proven to be particularly efficient for floor and wall applications. Through our Geocycle business, we collect waste directly from municipals and industries, pre-process it in platforms and co-process it in our cement plants. Through co-processing (the complete destruction of waste in our cement kilns) we recover energy and recycle GEOCYCLE materials from different types of waste, ranging from household plastics to industrial chemicals. The activities of Geocycle have strong environmental benefits for communities;. as it helps to reduce the volume of landfilled waste, save public funds and create a cleaner living environment.

4 Contents Corporate Profile Our Operations 4. Our Core Values 6. Business Review Financial Highlights 8. Notice of Annual General Meeting 9. Chairman's Statement 11. Governance Corporate Information 14. Contact Details & Locations 15. Board of Directors and Company Secretary's Profiles 16. Leadership Team 21. Directors' Report 22. Corporate Governance Report 26. Report of the External Consultant on the Performance of the Board of Directors 37. Sustainability Performance Report 38. Financial Statements Statement of Directors' Responsibilities 45. Audit Committee's Report 46. Statement of Corporate Responsibility for the Financial Statements 47. Report of the Independent Auditor 48.

5 Consolidated and Separate Statements of Profit or Loss and Other Comprehensive Income 53. Consolidated and Separate Statements of Financial Position 54. Consolidated and Separate Statements of Changes in Equity - Group 55. Consolidated and Separate Statements of Changes in Equity - Company 56. Consolidated and Separate Statements of Cash Flows 57. Notes to the Consolidated and Separate Financial Statements 58. Consolidated and Separate Statements of Value Added 145. Five Year Financial Summary - Group 146. Five Year Financial Summary - Company 147. Shareholding and Other Information Share Capital History 149. Complaints Management Policy 152. Corporate Events 154.

6 E-Dividend Mandate Activation Form 161. Proxy Form 163. List of Distributors 165. LAFARGE AFRICA Plc 2021 Annual Report and Accounts 3. Corporate Profile Corporate Profile LAFARGE AFRICA Plc is a member of Holcim Group the global leader in innovative and sustainable building solutions. LAFARGE AFRICA is a publicly quoted company on the Premium Board of The Nigerian Exchange Group and serves Nigeria with a wide range of building and construction solutions designed to meet housing and construction needs from small projects like individual home buildings to major construction and infrastructure projects. With four plants in Nigeria, spread across Sagamu and Ewekoro (South-West), Ashaka (North) and Mfamosing (South), LAFARGE AFRICA Plc currently has an installed cement production capacity of million tons per annum.

7 South-West Operations We have two plants located in Sagamu and Ewekoro, both Investment Limited (NNIL) and the government of the then in Ogun State, with a combined production capacity of North-Eastern State (now Adamawa, Bauchi, Borno, Gombe, million metric ton per annum (MTPA). The Geocycle and Taraba and Yobe States). The current annual installed Mortar plants are also located in the South-West. cement production capacity of the plant is 1 MTPA, with plans for expansion. Our product portfolio includes five brands - Elephant Cement, a general purpose cement and multi-use product - AshakaCem was fully integrated into Holcim Group in July a multi-use product suitable for majority of the applications: 2002 after the acquisition of Blue Circle Industries, UK.

8 Supaset, a fast-setting and rapid strength gaining cement Consequently, AshakaCem became a subsidiary of LAFARGE specifically designed for the needs of the block-makers; AFRICA Plc. Powermax, a high strength cement for the sophisticated contractor segment; Etex, a high performance cement Ashaka Cement produces the (a multi-purpose product). designed to specification for the manufacturing of roof and (a high strength cement for the sophisticated tiles; and SRC, a sulphate resistant cement for contractor) types of cement which stands out for coastal construction. consistent high quality. Northern Nigeria Operations South-East Operations Ashaka Cement plant in the North-East Our Southern Nigeria operations comprise region focuses on providing creative and of a cement plant in Mfamosing, Cross qualitative solutions to meet the needs River State.

9 The Mfamosing plant is a of both small, medium and large-scale modern facility with an annual cement projects. In the last four decades, Ashaka production capacity of 5 MTPA. It was Cement plant has contributed immensely originally established in 2002 as United to the economic growth and development Cement Company Nigeria (UNICEM) Limited, of North-Eastern Nigeria and is well positioned to after the acquisition of the assets of moribund Calabar continue to impact the ecosystem of the region. Cement Company (CalCemCo). Ashaka Cement was incorporated in August 1974 and In 2012, the plant's product portfolio was expanded to commenced production in 1979 as a cement manufacturing offer customers two cement products catering for general and marketing company under the name Ashaka Cement purpose and specialized applications.

10 An additional Plc. The company was founded by the defunct Nigerian manufacturing line with a production capacity of Industrial Development Bank (NIDB) Limited, the Nigerian was commissioned in 2016 to bring the total production Bank for Commerce and industry (NBCI), Northern Nigeria capacity of the plant to 5 MTPA and is now the single largest cement production site for LAFARGE AFRICA . Mortar Operations The Mortar Operations started in 2019 with the The partnership with relevant associations establishment of a new plant in Sagamu Factory. ensures the implementation of skills With the commencement of Mortar Operations development, job creation, brand it was important to develop unique products, awareness and youth empowerment.