Displaying items by tag: Plant
UAE: Everest Industries' new US$16m plant is now expected to be operational by December 2015 or January 2016. The plant will produce cement boards and panel products and is Everest Industries' first overseas venture. The products will cater to the company's exports in West Asian and African nations.
"We are hopeful of making the overseas unit operational by December 2015 or January 2016. It will give us better access to the Middle Eastern and African markets," said Rahul Chopra senior vice president and head roofing business. According to Chopra, the Ras Al-Khaimah unit might bring down export costs. Currently, exports contribute around US$32m towards Everest Industries' turnover.
With three of its recent facilities coming on-stream in the last two years, Chopra said that Everest Industries is now planning to ramp up and consolidate domestic manufacturing across its various segments and improve its distribution network via the addition of a 'retail touch point' in all centres with a population of 5000 - 10,000.
Sri Lanka: Tokyo Cement Company (Lanka) plans to invest US$50m on 1Mt/yr of additional production capacity to meet local demand.
The extra capacity will be via a new plant under a new subsidiary, Tokyo Eastern Cement. The project is expected to be implemented in the next two years. It will receive a five-year tax holiday and a tax rate of 12%. The project will be funded through internal funds and loans.
In its 2014 financial year, Tokyo Cement's revenue grew by 6% year-on-year, while its operating profit rose by 65%. Its current market share in Sri Lanka is 35%.
Zambia: The chief executive officer of Zambezi Portland Cement (ZPC), Peter Kanaganayagam, has fled Zambia following a High Court decision relating to the contested ownership of the US$160m company.
Kanaganayagam, who was appointed to run the company following the controversial takeover by the financier Rajan Mahtani, announced to staff at the company that he would be 'seeking medical treatment' in Australia 'for at least four months.' However, Kanaganayagam's decision to flee Zambia comes within hours of a High Court decision reversing the illegal deportations of ZPC executives Daniele Ventriglia and Valerio Ventriglia and restoring their residency permits as well as those of Antonio Ventriglia and Claudio Ventriglia.
Despite obtaining court injunctions against the deportations, the two company directors were forced to leave their country of birth with only four hours notice in November 2012. In the new ruling by High Court Judge Mubanga Kondolo SC, it was found that the immigration authorities failed to give requisite notice of at least 48 hours for the applicants to make representations and as such as the revocation of their residency permits was 'void and had no effect.'
"It is declared that the applicants were and are entitled to continue enjoying their status as permanent residents in Zambia as they did prior to the said decision being communicated to them," said the judge.
The court's decision may have an important impact on the struggle for control of ZPC. Following the deportations on 22 December 2012, Mahtani convened an illegal board meeting in the absence of the company's management and unlawfully appointed Andrew Kamanga as CEO, who was later followed by Kanaganayagam. Now that the court has found that the Ventriglias can return to Zambia and reclaim their ownership of ZPC, there are concerns that all the illegal appointments by Mahtani could be reversed, which is why many employees believe that Kanaganayagam chose to flee.
The dispute regarding the alleged theft of Zambezi Portland Cement by Mahtani has been fraught with disclosures of forgeries, fraud, corruption and even criminal charges.
India: JSW Cement plans to shelve its plans to set up a 3Mt/yr clinker plant at Chittapur in Gulbarga temporarily as the company's short-term goal is to ensure that its Andhra Pradesh plant reaches full capacity, according to a company spokesperson.
In 2014 JSW Cement announced plans to pump around US$400 – 480m into its Gulbarga plant. JSW Cement currently runs three plants; the¬ 4.8Mt/yr Nandyal plant in Andhra Pradesh, the 0.7Mt/yr Vijayanagar plant in Karnataka and the 0.7Mt/yr Dolvi plant in Maharashtra. While its Vijayanagar and Dolvi plants are running at 100% capacity utilisation, its Nandyal plant is stuck at 50% capacity utilisation due to low cement demand.
"There is 50% capacity utilisation at our Nandyal plant. Since we already have around 2.5Mt/yr of unused capacity, we need to convert it into utilised capacity," said JSW Cement director and CEO Anil Kumar Pillai. "For that to happen, it will take another one to one and a half years. Until such time, there is no point in expanding," JSW Cement director and chief executive officer Anil Kumar Pillai told TOI. Pillai." He added the company will be firming up its plans to improve capacity as it has an internal target of producing 20Mt/yr by 2020."So we will be finalising our plans by September - October 2015. By that time we will have a picture of if we will be going ahead with Gulbarga or something else," said Pillai.
To reach its target of producing 20Mt/yr, JSW Cement is also open to taking the inorganic growth path and is evaluating various options, according to Pillai. He added that the company would prefer to acquire assets in the south of India.
Pillai said that, overall, the cement sector has seen no growth recently as the government has launched any big infrastructure expenditure. However, with some major announcements made in the Union budget towards pushing infrastructure growth, the second half of the next fiscal year could be a turning point for the cement industry.
India: Rajasthan-based Wonder cement, part of the RK Marble Group, plans to double its cement production by the end of 2015. The company will increase the capacity of its cement plant in Chittorgarh, Rajasthan from 3.25Mt/yr to 6.75Mt/yr by investing US$256m in the project. The plant, which currently runs at full capacity, sells 180,000bags/day of cement.
Nepal: Two private companies have signed an agreement of joint venture investment worth US$300m for cement production in Nepal. The investment, one of the biggest in Nepal's cement sector, has a 7:3 equity structure between Hongshi Holdings Limited of China and Nepal's Shiva Cement.
"This project will adopt a dry process with the use of 95% domestic raw materials," Xu Youyuan, Executive Vice President of the Chinese company said at the signing ceremony. He added that Hongshi had been attracted to Nepal's market by its booming cement industry in 2012.
Addressing the ceremony, Finance Minister of Nepal, Ram Sharan Mahat, said that the signing of this project was a landmark between the economic ties of the two neighbours and that he was happy to see that Chinese investors had shown confidence in Nepal. He even suggested that Nepal might become a net exporter of cement in the coming years.
India: UltraTech Cement has commissioned its third clinker line at Aditya Cement (AC), Shambhupura in Rajasthan. The plant, which has a 6000t/day kiln and a clinker capacity of 2Mt/yr, can use a wide variety of fuels.
Meanwhile, its greenfield grinding plant in Jhajjar, Haryana is likely to be commissioned in 2016. "With this commissioning, UltraTech Cement will further increase its capacity in the north region," said UltraTech in a statement. "Further, the new grinding plant coming up in Jhajjar will assist us in capturing the growing demand for cement in this region with timely and effective supplies to the customers."
Bangladesh: MI Cement Factory Ltd plans to install new production unit soon to cater the growing demand for cement in the country.
"We have decided to set up another packing unit and a 1500t capacity cement silo to enhance the delivery capacity of our cement (Crown Cement)," said Mohammed Jahangir Alam, chairman of MI Cement. "This will also help maintain the quality of our cement and thus keep the pace of increasing revenue."
Bangladesh is preparing for development in public infrastructure, communication and housing facilities, said Alam. "The cement industry in Bangladesh is headed for a revolution," he said. High population densities in cities, unplanned urbanisation and rapid economic development are likely to expand cities vertically rather than horizontally to achieve maximum utilisation of available space and ensure future food security by not urbanising fertile land, he added.
Quoting a recent study, Alam said that the per capita cement consumption in Bangladesh was still low at 107kg, compared to 210kg in India, 265kg in Pakistan, 310kg in Sri Lanka and 570kg in Korea, indicating future growth of Bangladeshi cement consumption.
At present, MI Cement's total production capacity is 1.74Mt/yr. Alam said that in the fiscal year 2013 - 2014, the political unrest hampered MI Cement's day-to-day business activities and reduced its cement delivery to lower than expected. However, the company increased its revenue by 17% year-on-year to US$102m despite the political unrest. MI Cement sold US$86m of goods in the 2014 fiscal year, up from US$73.2m in 2013 in the previous fiscal year.
Kazakhstan: The Semey cement plant has been expanded to 1Mt/yr of cement production capacity. In the frame of the Nurly Zhol programme, the most of the cement will be utilised for road construction. The contracts for cement delivery have been already signed.
Iraq/Pakistan: The Economic Coordination Committee (ECC) has approved Attock Cement Pakistan Limited's (ACPL) request to establish a cement production unit in Iraq.
The ECC meeting, chaired by finance minister Ishaq Dar, approved the proposal to allow Attock Cement Pakistan Limited (ACPL) to remit US$24m for the establishment of a grinding plant in Basra, starting from March 2015 onwards. The proposed investment venture is expected to bring foreign exchange through dividends repatriation and growth in clinker exports. As ACPL intends to hire 50% of its labour force from outside Iraq, the venture is expected to create employment opportunities for Pakistanis.