Displaying items by tag: Alternative Fuels

Portugal: The first batch of clinker has been manufactured on the new upgraded production line at Secil’s Outão plant. Construction and start-up teams from ThyssenKrupp Polysius reached the milestone in mid-April 2023 after a heating period of 72 hours. Germany-based ThyssenKrupp Industrial Solutions was appointed by Secil to work on the Clean Cement Line project in 2020. It said it was going to modify the existing rotary kiln and preheater tower, install a new calciner and add a new grate cooler. Once finished it will produce Portland limestone cement (PLC). It is scheduled for commissioning in mid-2023.

Italy-based CTP Team was contracted in mid-2020 to supply and install a 29MW waste heat recovery (WHR) unit for the project. It planned to use an organic rankine cycle (ORC) unit using a 7.2MW turbine supplied by Turboden.

Italy-based Bedeschi also revealed in early April 2023 that it was in the cold commissioning phase for a new pipe conveyor at the plant to handle different kinds of alternative fuels. The conveyor has a diameter of 250mm and conveying length of 350m and will transport alternative fuels at a rate of 300m³/hr.

Philippines: Cemex Philippines (CHP) says it has reduced the CO₂ emissions from its subsidiaries, Solid Cement Corporation and APO Cement Corporation, by 50% between 1990 and 2022. From 2020 to 2022 CHP reduced its net CO₂ emissions by 18%. The company claims this is the highest CO₂ emissions reduction in the sector based on publicly released information.

Luis Franco, the president and chief executive officer of CHP, said "This milestone CO₂ reduction was possible because of our team's high commitment to achieve net zero. We are on track to meet our ambition of less than 430kg of net CO₂ per tonne of cement by 2030 and deliver net-zero CO₂ concrete by 2050." He added that the company is confident it can reach a 67% reduction by 2030 through the continued used of alternative fuels and decarbonated raw materials.

Huaxin Cement completed its acquisition of a majority stake in Oman Cement this week. The China-based company estimated that the purchase price was around US$193m. Following the transaction with a subsidiary of the Oman Investment Authority, the country’s sovereign wealth fund, the cement producer now controls just under a 60% share in Oman Cement.

A key part of the deal includes Oman Cement’s integrated plant at Ruwi in the north of the country. The three-line unit has clinker and cement production capacities of 2.6Mt/yr and 3.6Mt/yr respectively. With the partial ownership share of 60% taken into account, this places the capacity purchase price at around US$124/t, a lower figure for capacity compared to other international acquisitions.

Oman Cement has a couple of new projects in the pipeline that have been mentioned on and off previously over the last year or so. These include the construction of a new 10,000t/day fourth production line, an upgrade to line 3 to 4000t/day from 3000t/day at present and plans for a new plant at the Special Economic Zone (SEZ) at Duqm. The company said it was looking for a contractor to carry out the upgrades at the Ruwi plant. However, Rashid bin Sultan al Hashmi, the chair of Oman Cement, said in the company’s annual results for 2022 that the Duqm project, operating under the name Al Sahawa Cement, had run into problems with the supply of gas for the proposed unit. Another recent development was the signing of a deal between Omani Environment Services Holding Company (Be’ah) and Oman Cement for the supply of refuse-derived fuel (RDF). As an aside, that last one may also have received a boost this week with the news that the local Environment Authority has suspended licenses for the export of used tyres from the country.

How these existing projects will fare under the new ownership remains to be seen, but Huaxin Cement has a track record for developing new cement production capacity outside of China. The cement producer describes itself as de-facto controlled by Switzerland-based Holcim although Holcim said in its annual report for 2022 that Huaxin Cement is a joint-venture. It currently operates plants in Cambodia, Kyrgyzstan, Malawi, Nepal, Tajikistan, Tanzania, Uzbekistan and Zambia and says that it has 10 additional projects in Africa, the Middle East and elsewhere in preparation for future business expansion. In 2022 it started operating a 3000t/day production line at Nepal Narayani and commenced the second stage of a project to build a 4000t/day clinker line at Maweni in Tanzania. Plus, as mentioned in our recent roundup of China-based producers, 13% of the group’s operating revenue derived from business outside of China in 2022 compared to 8% in 2021.

Other producers from outside of Oman have also been active locally in 2023. In late January 2023 India-based UltraTech Cement agreed a deal to buy a 70% stake in Duqm Cement Project International from Seven Seas for US$2.25m. The agreement covered a limestone mining lease that UltraTech Cement said was important for “raw material security.”

The other big development in the Oman cement market since we last covered the country in September 2021 was an intervention by the Capital Market Authority (CMA) on Raysut Cement. The chief financial officer resigned in November 2022 before the CMA questioned the company’s financial results for the second quarter of 2022. The CMA then replaced the board of Raysut Cement in December 2022 saying it had detected ‘material misrepresentation’ in the company’s third quarter results.

The last four months or so have marked a turning point for the local cement sector with a change in leadership for the two largest producers. Oman Cement reported strong growth in 2022 although it warned of “low priced cement being supplied by competitors.” Raysut Cement, unsurprisingly, recorded a loss in 2022. The construction market in the country is expected to grow as the economy leaves the coronavirus period behind, mounting energy prices boost national revenue and potentially some of this heads into infrastructure development. This puts the new management at both producers in a good position going forward.

Switzerland: Holcim has published its Climate Report 2023, detailing the company’s progress towards meeting its sustainability commitments up to the end of 2022. The cement producer recorded net specific CO₂ emissions per tonne of product of 562kg/t, down by 1.7% year-on-year from 572kg/t in 2021. In line with its 1.5°C climate change-aligned targets, Holcim is committed to 420kg/t specific CO₂ emissions by 2030 and net zero by 2050.

Overall, the group’s Scope 1 CO₂ emissions from cement production fell by 2.5% to 77Mt from 79Mt, while its Scope 2 emissions remained at 5Mt and its Scope 3 emissions fell by 11% to 47Mt from 53Mt. Its cement had an average clinker factor of 73%, down from 73.6% in 2021. Holcim processed 6.8Mt of construction and demolition waste, up by 3% from 6.6Mt. Meanwhile, its thermal substitution rate of alternative fuel (AF) rose to 28% from 26%.

CEO Jan Jenisch and chief sustainability officer Magali Anderson said “With our successful transformation, we reduced our CO₂ per net sales by 21% in 2022, and commit to reducing it by over 10% in 2023. Accelerating the shift to net-zero cities requires deep partnerships across our value chain. In 2022 we engaged with public authorities to evolve building standards, with cities to scale up green demand in their projects, and with architects and engineers to specify sustainable solutions in their designs. We did this as a key partner for our customers, bringing solutions that help them achieve their sustainability goals.”

Brazil: Votorantim Cimentos recorded specific CO₂ emissions per tonne of cement of 579kg/t in 2022, down by 3% year-on-year from 2021 levels and by 24% from its 1990 baseline.

The group achieved an alternative fuel (AF) thermal substitution rate of 27% in 2022, compared with 22% in 2021, marking strong progress towards its 2030 target of 53%. Meanwhile, its cement’s clinker factor fell to 74% from 75%, against a 2030 target of 68%.

Votorantim Cimentos’ global director of sustainability, institutional relations, product development, engineering and energy, Álvaro Lorenz, said “Fighting the negative effects of climate change is at the heart of our strategy and aligns with our focus on competitiveness and on creating a positive legacy for society. We continue to work to optimise our product portfolio, explore opportunities in the circular economy and develop new technologies. The improvements in our performance in 2022 reinforce our commitment and ongoing efforts to support the carbon neutral agenda.”

Mexico: Cemex has reviewed its global sustainability and financial performance during 2022 in its Integrated Report 2022. During the year, the group reduced its specific CO₂ emissions by 9% from 2020 levels and by 30% from 1990 levels. It achieved a target of US$1bn-worth of investment in strategic projects over a period begun in 2020. Projects included the execution of water optimisation plans at 20% of Cemex sites in high-water stress areas. Cemex co-processed 27Mt of waste as alternative fuel (AF) in its global cement production - 67 times greater than its own non-recyclable waste footprint - and achieved an AF substitution rate of 35%. Meanwhile, the group also reduced its cement's clinker factor to 74%. Its Vertua reduced-CO₂ concrete range accounted for 33% of its concrete sales. During the year, Cemex launched the world's first net zero, fully electric heavy concrete mixer truck.

In 2022, Cemex recorded sales of US$15.6bn, down by 12% year-on-year, and reduced its debt to US$408m.

US: Heidelberg Materials subsidiary Mason City Cement plans to invest US$4 - 5m in upgrades to its kiln line by 2026. Upon completion, the work will enable the plant to achieve an alternative fuel (AF) substitution rate of 50%.

Heidelberg Materials' North America regional vice president of government affairs and communications David Perkins said "We want to be proactive as a company and really try to lower our carbon footprint and energy intensity, while recognising we have to be competitive." He added "We're a long-term industry on the cement side because of the investment that's required to produce it."

Philippines: Holcim Philippines recorded sales of US$490m during 2022, down by 1% year-on-year from US$499m. Sales rose by 9% year-on-year to US$266m during the second half of the year, 53% of the full-year figure. Throughout the year, the producer increased its alternative fuel (AF) substitution rate by 20% year-on-year and processed 1Mt of waste from industrial partners and local government bodies. Digitisation initiatives and alternative raw materials substitution helped the producer to reduce its specific CO₂ emissions by 7%. The Business Mirror newspaper has reported that the year also brought 'surging' energy and fuel costs for the producer.

President and CEO Horia Adrian said "In the face of extraordinary challenges, our company and people displayed tremendous resilience that enabled us to deliver positive financial performance and contribute to building progress in the country. Alongside a strong sales rebound in the second half and expansion of our customer base, we accelerated the decarbonisation of our operations."

Brazil: Secil Supremo Cimentos has appointed FLSmidth to carry out a pyro process upgrade at its Adrianópolis cement plant in Paraná. The Denmark-based supplier says that it plans to carry out modifications on the plant's preheater, cooler and related auxiliary equipment. It says the new equipment will expand the plant's capacity to 3900t/day, corresponding to an annual production capacity of 1.42Mt/yr. It will also enable it to increase its alternative fuel (AF) substitution rate to 40%. Secil Supremo Cimentos' AF mix consists of shredded tyres, wood and other refuse-derived fuels.

FLSmidth's head of capital sales, Jens Jonas Skov Larsen, said “We are grateful for our continued partnership with Supremo, which has consistently invested in the latest technology. As the plant was already operating an ILC five-stage preheater from FLSmidth, it was well positioned to use AF.”

US: Continental Cement will hold a ribbon-cutting ceremony for the new 114,000t-capacity cement storage dome at its Davenport cement plant in Iowa on 20 March 2023. The dome will replace existing winter storage facilities at the plant, resulting in a safer and more efficient operation, according to the subsidiary of Summit Materials.

The company’s president, David Loomes, said "The investment by Summit Materials of US$30m in the largest cement storage dome in North America represents a strong vote of confidence in Continental Cement and a commitment to sustained operations and investment in the State of Iowa."

Continental Cement plans to invest an additional US$32m in an expansion to its Green America Recycling programme, whereby it expects to achieve an alternative fuel (AF) substitution rate of 55%.