22 July 2015
Soboce's profit down 48.76% in 2015 22 July 2015
Bolivia: Sociedad Boliviana de Cemento (Soboce) has posted a profit of US$16.1m in the year that ended on 31 March 2015, down by 48.76% from US$31.5m in its 2014 financial year, according to Esmerk Latin American News. The fall was attributed to an increase in costs, rainy weather and a US$7.41m fine it had to pay in 2015, according to Esmerk Latin American News. The company is 98% owned by Consorcio Cementero del Sur, part of Gloria group.
Cement shortages in San Juan blamed on Holcim 22 July 2015
Argentina: There is a shortage of cement in the San Juan Province of Argentina of around 20% of the normal volumes, according to Esmerk Latin America News. The shortage is blamed on Holcim, which supplies 38% of the cement needed there. Loma Negra and Avellaneda supply 52% and 10% of the material needed in the Argentine district, according to data from the Argentine Construction Chamber. Local ironmongers' believe the problem might be solved shortly.
Bolu Cimento completes Ankara plant upgrade 22 July 2015
Turkey: Bolu Cimento Sanayii AS has completed the conversion of its Ankara grinding facility to a fully-integrated cement plant, according to Reuters. The plant will start operations in July 2015.
LafargeHolcim’s Aggregate Industries takes ownership of two Lafarge cement plants in the UK 22 July 2015
UK: Leicestershire-based Aggregate Industries, now part of the LafargeHolcim group, has taken ownership of Lafarge cement plants in Cauldon, Staffordshire and Cookstown, County Tyrone, Northern Ireland.
The transfer of ownership of the two plants, along with a quarry at Cauldon Low and a cement terminal at Belfast Docks, was finalised on 20 July 2015 and also involves the transfer of 250 employees from the existing operations to Aggregate Industries. Originally owned by Holcim, Aggregate Industries said that becoming a cement producer and supplier 'is the final piece in the jigsaw,' providing a full range of construction materials to its customers.
"These are exciting times for Aggregate Industries. Along with the wider benefits of being part of the new LafargeHolcim group, the integration of cement production represents a significant strategic opportunity for us. We're now able to offer our customers the full range of construction materials and solutions, while maintaining our high levels of customer service," said Pat Ward, Aggregate Industries CEO. The business will continue with the Lafarge cement brand for its bulk cement products, although some of the bagged products will be renamed in due course.
BaselCement boosts cement and clinker output by 4% 22 July 2015
Russia: BaselCement produced 1Mt of cement and clinker in the first half of 2015, 4% more than in the same period of 2014, according to Interfax.
"Significant growth in production was achieved at Serebryansk Cement Plant. The enterprise produced almost 650,000t of cement in the first half of 2015. Shipments to the construction market in Moscow and Moscow region rose by 15% year-on-year. The plant's share of the Moscow region's cement market rose to 9%," said BaselCement in a press release.
Achinsk Cement shipped 64,000t of cement to customers in the Siberian Federal District in the first half of 2015, double the amount in the same period of 2014. "This was the result of the Euro2.56m investment project aimed at increasing capacity to produce the given grades," said BaselCement. The Siberian enterprise also increased shipments of commercial clinker by more than 150% on higher demand. Its share of the construction materials market in the Siberian FD was about 10%.
LafargeHolcim prepare for Indonesian merger 22 July 2015
Indonesia: PT Holcim Indonesia Tbk is preparing to merge with PT Lafarge Cement Indonesia after the finalisation of the LafargeHolcim merger.
Deputy corporate secretary Andika Lukman said in statement that the new holding company has started the strategic transformation process, focusing on revenues, capital allocation, commercial transformation and integration of the new holding. "The LafargeHolcim merger could raise revenues up to US$1.53bn in three years after the merger," said Lukman.
Holcim entered Indonesia by acquiring PT Semen Cibinong Tbk shares in 2001 for US$340m in the wake of a monetary crisis. The company was found by Hashim Djojohadikusumo, younger brother of Indonesia's 2014 presidential candidate Prabowo Subianto. Semen Cibinong's name was later changed to PT Holcim Indonesia. Meanwile, Lafarge entered the Indonesian market by acquiring shares of PT Semen Andalas Indonesia, which operates cement plant in Aceh, Sumatera in 1994. Semen Andalas' name was later changed to PT Lafarge Cement Indonesia.
Vicem Cement’s sales volumes fall by 0.5% 22 July 2015
Vietnam: Vietnam Cement Industry Corporation (Vicem) has said that its cement and clinker sales fell by 0.5% to 10.7Mt in the first half of 2015, according to Vietnam News Brief Service.
Some 9.58Mt was sold to the domestic market, up 7.1% year-on-year, while 1.15Mt was exported, down by 37.7%. In the first half of this year, Vicem produced 8.36Mt of clinker and 9.2Mt of cement, rising by 5% and 6.1% year-on-year, respectively. As of 30 June 2015, Vicem had 1.75Mt of cement and clinker inventory, including 1.41Mt of clinker, equivalent to 28 days of production.
Vicem aims to produce 4.26Mt of clinker and 5.21Mt of cement in the third quarter of 2015. It also aims to sell 5.97Mt of cement in the third quarter, raising the full-year target to 13.1Mt. In 2014, Vicem's clinker production grew by 0.7% year-on-year to 16.5Mt while its cement output rose by 10.3% to 18.5Mt.
Suez Cement’s consolidated profit falls to US$15.2m 22 July 2015
Egypt: Suez Cement's consolidated net profit fell to US$15.2m in the first half of 2015 compared to US$39.9m in the same period of 2014, according to Arab Finance. Its standalone net profit fell to US$44.6m from US$53.2m in the 2014 period.
TCL to be delisted from three stock exchanges 22 July 2015
Trinidad and Tobago: Trinidad Cement Ltd (TCL) will delist from the Barbados Stock Exchange (BSE), the Guyana Association of Securities Companies and the Eastern Caribbean Securities Exchange. TCL chairman Wilfred Espinet made the announcement on 20 July 2015 at the company's annual general meeting (AGM).
Before asking the AGM for approval to delist the company, Espinet said little or no trading of the company's shares takes place on those exchanges, yet the company still incurs listing costs. TCL remains listed on the Trinidad and Tobago Stock Exchange (TTSE) and the Jamaica Stock Exchange.
TCL's revenue rose by 11% year-on-year and its cement sales grew by 8% quarter-on-quarter in the second quarter of 2015. According to its interim consolidated financial results for the six months that ended on 30 June 2015, the company made a US$573m profit.
At the AGM, new TCL CEO Jose Luis Seijo shared his plans for the company and refuted statements that TCL 'Would not make it.' He said that most difficult part of restructuring the company was now behind it. TCL completed its debt restructuring in May 2015, after the company missed its debt service payments in September 2014. Debt restructuring included an 11% debt prepayment discount and a US$15m cash prepayment, which reduced the company's outstanding debt to US$245m in May 2015 from about US$292m at the end of 2014.
"How are we planning to repay the loan? By working very hard," said Seijo. The CEO said that he was focusing on the basics of increasing revenue, reducing costs and strengthening the company's financial position. TCL will also expand beyond cement manufacturing to offer, oil well cement, concrete roads, social housing solutions and synergies with customers. Seijo said that he wants to bring efficiencies to the highest level. "We have been underperforming for the longest time." He added that he sees TCL pushing for alternative fuels and being very disciplined controlling costs.
Re-elected to the new TCL board during the AGM were chairman Espinet, Christopher Dehring, Nigel Edwards and Francisco Aguilera. New directors elected were former senate president Timothy Hamel-Smith, Ruben McSween, Jose Bavaro and Bryan Ramsumair.