Displaying items by tag: Adbri

Australia: Adbri is part of a consortium of eight Australian industrial manufacturers, developers and port operators collaborating with AGL Energy on a feasibility study for a green hydrogen plant at the site of the latter’s Torrens Island power plant in South Australia. AFR Online News has reported that any future hydrogen plant established by the partners would rely on solar and wind power, which has large potential in the region.

The South Australian government previously launched its first US$414m green hydrogen project in Whyalla in March 2022.

Australia: Adbri’s chief executive officer Nick Miller has told investors at the Macquarie Australia Conference that his company is interested in buying parts of BGC, according to the Australian newspaper. Market analysts speculate that Adbri is interested in acquiring BGC’s cement, concrete and aggregate operations. However, Adbri is likely to face opposition from the Australian Competition & Consumer Commission with regards to any attempted offer for BGC’s cement business.

BGC reportedly started its latest attempt to sell the company in April 2022. An indicative bidding round is planned for June 2022.

Australia: Adbri has committed to reduce its cement's CO₂ emissions by 20%/t by 2030. WA Today News has reported that the company also aims to offset 100% of CO₂ emissions from its electricity consumption by 2030. It aims to achieve net zero carbon cement production by 2050. Adbri says that it is Australia's only cement producer not to use coal, relying instead on a combination of gas and refuse derived fuel (RDF).

CEO Nick Miller said "This net-zero emissions roadmap builds on our strong decarbonisation progress to date and establishes clear targets and actions we will advance as we strive to achieve net zero emissions by 2050."

Australia: AdBri’s consolidated revenues reached US$1.13bn in 2021, corresponding to a 7.6% year-on-year rise from US$1.05bn. Cement sales constituted 39% of the group’s revenues and rose by 12% year-on-year. Earnings before interest and tax (EBIT) were US$128m, down by 0.4% from US$129m. The company recorded a net profit after tax of US$85.7m, up by 3.1% from US$83.2m in 2020.

Chair Raymond Barro said “The many challenges of 2021 revealed the strength of our people and the depth of their skills, capabilities and experience. On behalf of the board, I would like to commend (managing director and CEO) Nick Miller, his executive leadership team and all our people for their commitment, dedication and resolve as they have continued to deliver for our stakeholders.”

Australia: Aluminium company Alcoa of Australia has extended its contract for the supply of lime from AdBri subsidiary Cockburn Cement until January 2023. Business News Western Australia has reported the value of the extension as US$18m – 25.3m. Alcoa of Australia switched to using imported lime at its Kwinana, Pinjarra and Wagerup refineries in Western Australia in June 2020. Prior to this, it had bought a total of US$50.5m-worth of lime from Cockburn Cement.

Adbri’s managing director Nick Miller said "The extension reinforces our position as a reliable and high quality supplier of lime through our local manufacturing and distribution network across Western Australia, supporting local manufacturing jobs, the resources sector and the broader Western Australia economy."

Australia: Cockburn Cement has begun a US$152m upgrade of its Kwinana grinding plant. Business News has reported that the project will consolidate the company’s Kwinana and Munster grinding operations at a single 1.5Mt/yr plant. The company says that this will increase its production capacity by 36% and reduce its cement’s CO₂ emissions by 20%.

The company will manage operations at the plant directly. Managing director Nick Miller said "We've all seen through the Covid-19 outbreak that domestic manufacture of essential products such as cement and industrial lime becomes critically important. Reliability of supply has become a very important driver for decision makers." He added "We have turned away from a turnkey contract to a self-delivery model. Part of the self-delivery model is to access small to medium sub-contractors in the market, where we have seen better value in what is a very heated market."

Australia: AdBri has appointed its chief executive officer (CEO) Nick Miller to its board of directors by making him managing director and CEO. The company said that the move “reaffirms a unified strategic direction set by the board.” It added that, following the appointment in early October 2021, the board would no longer comprise a majority of independent directors as contemplated by the Board Charter or the Board Governance Framework introduced in March 2019, which included an updated Board Protocol – Potential Conflicts and Interests. However, AdBri said that it remained committed to a majority independent board and was looking for an additional independent non-executive director to restore the former makeup of the board.

Miller became the CEO of AdBri in 2019. In 2020 the Australian Competition and Consumer Commission (ACCC) approved Barro Group to buy a 43% stake in AdBri.

Australia: AdBri and Barro Group have signed an agreement to acquire Metro Quarry Group’s sand operations. The business consists oftwo quarries, the Lang Lang quarry and the Nyora quarry, in Victoria. The quarries command a total of 50Mt of sand reserves. AdBri will pay US$21.6m to the companies’ joint venture for the purpose of the acquisition and to supplement the business’ working capital. The partners expect to conclude the deal in November 2021.

Australia: A South Australian court has found former Adbri (formerly called Adelaide Brighton) accounts manager Glenda Burgess guilty of nine counts of deception and nine counts of dishonest dealing between 2009 and 2017. The Australian Broadcasting Corporation has reported that Burgess increased AdBri’s customer Concrete Supply’s credit limits, concealed its debts and created ‘large’ manual entries in her employer’s accounts to benefit it. The company only paid around US$14.5m for cement worth US$23m during the period under investigation. However, the prosecution said that Concrete Supply was not complicit in the alleged crime. Sentencing for the case is due to take place later in 2021.

Australia: Adbri’s first-half sales in 2021 were US$545m, up by 7% year-on-year from US$508m in the first half of 2020. The group’s cement and clinker volumes increased by 11%. It said that this was due to a rise in demand in the eastern states of Australia and the recommencement of regular supply to a customer in South Australia. The group increased its earnings before interest and tax (EBIT) to US$64.0m, up by 81% from US$35.3m. Its net profit increased by 95% to US$41.1m from US$21.1m.

CEO Nick Miller said “Adbri delivered a robust first half financial performance for 2021 recording solid growth in revenue and profits with improving margins as demand for construction materials rebounded, supported by increased residential housing activity and infrastructure spending.” He added that full-year 2021 earnings would increase less sharply year-on-year than first-half earnings have, due partly to the anticipated impacts of the opening of a rival cement terminal in New South Wales in the second half of the year.