04 December 2020
UltraTech Cement targets 12.8Mt/yr additional cement capacity 04 December 2020
India: The board of directors of Aditya Birla subsidiary UltraTech Cement has approved a planned increase in cement production capacity of 12.87Mt/yr. This will increase its capacity to 136Mt/yr from 123Mt/yr, at a cost of US$743m. The company says that the expansion will consist of new plants and upgrades to existing plants in the ‘fast-growing markets of the east, central and north regions of the country.’ This includes the upcoming Pali integrated cement plant in Rajasthan and capacity expansions at plants in Bihar, Odisha, Uttar Pradesh and West Bengal, that are due for completion in the 2022 financial year (1 April 2021 - 31 March 2022).
The producer said, “Given the company’s history of setting up capacities in record time, commercial production from the new capacities is expected to go on stream in a phased manner, by early 2023. This capacity addition will not impact the on-going deleveraging programme, which is on track to make UltraTech debt-free by the time the expansion program is completed.”
Aditya Birla group chair Kumar Mangalam Birla said, “This significant investment in a core infrastructure sector will accelerate the wheels of economic activity and aid the kick-start of the private investment cycle. The capital outlay, given the current economic backdrop, is aligned with the government’s Atmanirbhar Bharat programme. It is also a marker of UltraTech’s ascent from being India’s No.1 cement player to a national champion. The cement industry has been witnessing healthy volumes post-relaxation of lockdown, on the back of the government’s thrust on infrastructure, underlying demand from the rural economy and individual home builders. Given its pan-India presence, which will be further strengthened by the capacity expansion, UltraTech will be well-positioned to support the rising demand for cement in the country.”
Birla Corporation to raise US$20m through debentures 04 December 2020
India: Birla Corporation plans to raise US$20m through redeemable non-convertible debentures (NCD). It has allotted 1500 NCDs with a value of around US$13,500 on a private placement basis. The producer announced plans in August 2020 for an upgrade to its Durgapur grinding plant in West Bengal.
Orient Cement to acquire 26% stake in AMPSolar Systems 04 December 2020
India: Orient Cement has entered into a share purchase, subscription and shareholder’s agreement with AMPTechnology and AMPSolar Systems. It will acquire a 26% stake in the latter for around US$0.6m. The Press Trust of India has reported that AMPSolar Systems is establishing a 13.5MW solar power plant in Maharashtra, where Orient Cement operates an integrated cement plant.
Saurya Cement quarry blasts injure five 04 December 2020
Nepal: Four explosions at Saurya Cement’s Udayapur quarry in Province No. 1 have injured five workers. The Republica newspaper has reported that the cause was allegedly a bombing campaign by an unidentified group, which also destroyed two vehicles. Police described the conditions of the victims, who are receiving treatment in Katari Hospital, as ’normal.’ The incident follows a similar event at the Tapli rural municipality office in the district in November 2020.
Indian police confiscate 1000 bags of counterfeit cement 04 December 2020
India: Police have made arrests in Ujjain, Madhya Pradesh where cement was being bagged in falsely branded UltraTech Cement bags. The Free Press Journal has reported that the authorities confiscated over 1000 bags in the raid. They believe that the plant has been operative since 2018. Investigations continue, including a manhunt for suspected ringleader Jitendra Singh.
Argentinian cement shipments boom in November 2020 04 December 2020
Argentina: Cement producers in Argentina shipped 1.13Mt of cement in November 2020, up by 28% year-on-year from 0.88Mt in November 2019 and by 4% month-on-month from 1.09Mt in October 2020. The Economista newspaper has reported that the figure is a high-water mark for monthly production since September 2017. Consumption also rose to 1.09Mt, up by 25% year-on-year from 0.87Mt and 2% month-on-month from 1.07Mt.