Al Jouf Cement Company [3091.SE] has signed a contract with the Saudi Industrial Export Company (SIEC) to export 72k tonnes of cement annually to Jordon. The financial impact of the deal will only be announced in 1Q18. 
 
We view the news positively, as it will help diversify the company’s revenue stream from the currently severe competitive scenario in the Saudi Arabian market (especially in the northern region, where Al Jouf is located). However, the announced export volume will only make up less than 2% of its capacity (and less than 5% of 2017e cement sales volume).

(Tadawul, Sameer Kattiparambil)
 
Al Jouf Cement: SAR7.67 as of 26 Nov. 2017, Rating: Neutral, TP: SAR7.28/share, MCap: USD292mn, JOUF AB/3091.SE