04 August 2021

Italy: Buzzi Unicem’s net sales grew by 5.8% year-on-year to Euro1.61bn in the first half of 2021 from Euro1.52bn in the same period of 2020. Its sales volumes of cement and clinker rose by 10.9% to 14.8Mt from 13.4Mt. Earnings before interest, taxation, depreciation and amortisation (EBITDA) increased by 12.3% to Euro352m from Euro314m. The group reported cement sales volumes growth in all territories with the exception of Poland, and Germany to a lesser extent. It also noted growth in ready-mixed concrete sales volumes of 7% to 5.8Mm3 with development in Italy, Poland and Ukraine more than compensating for ‘unfavourable’ changes in the US, Germany and the Czech Republic.

Indonesia: Semen Indonesia’s revenue grew by 1.2% to US$1.13bn in the first half of 2021 from US$1.12bn in the same period in 2020. Its sales volumes of clinker and cement rose by 5.7% to 19.2Mt from 18.1Mt. Earnings before interest, taxation, depreciation and amortisation (EBITDA) increased by 2.1% to US$247m from US$242m. The state-owned cement producer said that sales volumes were supported by growing domestic sales volumes and improving exports. It added that the national cement production capacity utilisation rate had fallen to 56% in 2020 from a high of 82% in 2014 due to new cement plants being built and a drop in domestic demand growth due to the coronavirus pandemic in 2020.

Saudi Arabia: Najran Cement’s revenue grew by 13.7% year-on-year to US$82.3m in the first half of 2021 from US$74.1m in the same period in 2020. Its net profit after zakat and tax increase by 27.9% to US$24.9m from US$19.5m. It reported lower sales and profit in the second quarter of 2021 due to Ramadan and Eid al-Fitr.

Iran: Alireza Razm Hosseini, the Minister of Industry, Mine and Trade, says that the government will prioritise electricity supplies to the cement and steel sectors. He admitted that recent power rationing to industrial users had reduced production levels but that demand had not changed, according to the Islamic Republic News Agency (IRNA). The ministry is currently working with the Ministry of Energy to resolve the problem. Cement and steel producers were previously ordered in early July 2021 to stop production for up to three weeks due to insufficient electricity supplies.

Mexico/UK: Cemex Ventures has become an investor in Carbon Clean. It joins existing investors Equinor Ventures, ICOS Capital and WAVE Equity Partners. The companies have invested US$8m in Carbon Clean extending its US$22m series B investment round, previously announced in July 2020, to US$30m in total. Cemex’s investment is part of its strategy to achieve its new climate action goals, including being net carbon neutral in concrete by 2050, under its Future in Action programme.

Carbon Clean has developed a modular CO₂ capture and separation technology that it calls CycloneCC. As well as reducing the size of installation and construction time, it is aiming to reduce operating expenditures to around US$30/t of CO₂ at an industrial scale. In 2020, the subsidiary of Cemex signed an agreement with Carbon Clean, which allowed the companies to outline a roadmap for jointly developing and implementing carbon capture technologies across cement operations.