Statement re New Cement Plant

RNS Number:8040N
Lafarge
22 July 2003



                 Lafarge to build new cement plant in Mexico

Lafarge announced today its decision to build a new cement plant in Mexico close
to its existing site in Hidalgo State, new Mexico City.  This new, competitive
plant will have an annual production capacity of 600 000 tonnes.  It will
replace the existing high cost operation which has a capacity of 350 000 tonnes
per year.  By the time production commences in 2006, the total investment cost
including additional reserves will be approximately $120 million. The project is
expected to create value very quickly due to cost reduction and market growth.

With this modern, low cost, strategically located plant, Lafarge will actively
participate in the future growth of the Mexican market.  Mexico is the second
largest cement market in Latin America, consuming more than 30 million tonnes
per year.

Commenting on this development, Bernard Kasriel, Chief Executive Officer of
Lafarge, said: "This project further demonstrates our strategy to enhance
profitability and strengthen our position in growing markets."

Lafarge is the world leader in building materials and employs 77,000 people in
75 countries.  The Group holds top-ranking positions in all four of its
Divisions: Cement, Aggregates & Concrete, Roofing and Gypsum.  Lafarge posted
sales of Euro14.6 billion in 2002.  More information is available on:
www.lafarge.com

PRESS CONTACT:                               INVESTOR RELATIONS

Veronique Doux:  ([phone]         James Palmer:  33 1 44 34 11 26
[e-mail]                   [e-mail]

Brunswick:                                   Daniele Daouphars: 33 1 44 34 11 51
Stephanie Tessier ([phone]        [e-mail]
[e-mail]



    






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