22 September 2014
Grupo Cementos de Chihuahua appoints new US division CEO 22 September 2014
US: The board of directors of Grupo Cementos de Chihuahua (GCC) has announced that Enrique Escalante will become the CEO of its American division effective from 1 January 2015. The current CEO, Manual Milan, has announced that he will retire at the end of 2014.
"It's a privilege to be selected to lead GCC and I look forward to continuing to grow the organisation," said Escalante. "We remain committed to delivering high value and meeting our customers' needs through leading-edge technology."
Escalante has served as president of GCC of America since 2000. He joined the company in 1999 as president of its Mexican division. Prior to joining GCC, Escalante had more than 20 years experience in management and sales positions in heavy industry and construction materials.
With this change, Ron Henley, vice president of ready-mix and aggregates for GCC of America, will succeed Escalante as president of the company's US division. Henley started with GCC of America in 2012 as vice president of its logistics / supply chain department. In 2013, he assumed his current role. Prior to coming to GCC, Henley was president of Boral Construction Materials.
Under Milan's leadership GCC grew from six to 116 ready-mix concrete plants and from two to six cement plants, achieved an important expansion into the US market and developed a solid distribution network that transformed it into a major supplier in the cement and ready-mix markets it serves. After the 2008 completion of the new plant in Pueblo, Colorado, GCC has now reached an installed a cement capacity of 4.4Mt/yr of cement: 2.4Mt/yr output from the three plants in the US and 2Mt/yr from three plants in Mexico.
Saudi Cement keeps Hofuf kilns closed due to weak demand 22 September 2014
Saudi Arabia: Saudi Cement Co has announced that it will not restart cement production after refurbishment work on two kilns at its Hofuf, Eastern Province plant due to high inventory levels and weak demand. The company has reported falling year-on-year profits in the first half of 2014. Between January and August 2014, sales fell by 14% year-on-year because of increased volumes being produced by Saudi cement firms and stagnant demand.
"The feasibility of operating the two kilns shall be reconsidered whenever market conditions warrants it," said Saudi Cement. The company expects to record annual depreciation charges of about US$2m related to the kilns from the fourth quarter of 2014 onwards.
Eight dead at site of Cementos Progreso’s cement plant 22 September 2014
Guatemala: Eight local inhabitants have died after a clash that saw residents turn guns on their neighbours over plans to build a road and a cement plant. Interior minister Mauricio Lopez said that the authorities were working to determine what actions would be taken after the clashes that began on 20 September 2014 and continued into 21 September 2014 in San Juan, Suchitepéquez Department. Several homes and five vehicles were burned.
"We need a greater security presence in the area to regain control," said Lopez, noting that about 600 policemen were deployed in the area where the incident took place. The conflict escalated because some of the local community are being forced to leave their homes due to the construction, while others have been in favour of the cement plant and sold land for the road. According to farming community leader Daniel Pascual, gunmen had fired on villagers opposed to the project. He stated that some of the attackers were employees of the cement company.
In July 2013 Cementos Progreso began to construct a cement plant in San Gabriel, Suchitepéquez for US$720m. It is expected to begin operations in 2017. However, the project has divided the local population between those who support the company and those who oppose the construction due to fears it will damage groundwater sources and cause other environmental damage.
Lafarge to sell 53% Mexican joint venture stake to Elementia 22 September 2014
Mexico: Lafarge has announced plans to sell its 47% stake in its Mexican cement business to Mexico's Elementia SA de CV for US$225m in cash. Lafarge and Elementia operate three cement plants in Mexico, with the former owning 53% of their joint venture. The transaction is pending regulatory clearance and has to fulfil a number of customary closing conditions. Lafarge said that the proceeds from the sale would be used to reduce the company's net debt.