Displaying items by tag: China National Building Material
CNBM’s cement production drops due to poor demand and environmental regulations in first half of 2018
28 August 2018China: China National Building Material’s (CNBM) cement production volume fell by 5% year-on-year to 143Mt in the first half of 2018 from 150Mt in the same period in 2017. It has attributed this decrease to ‘flat’ demand, increased pressure on environmental protection and rising costs of fuel and raw materials. As part of its ‘Price – Cost – Profit’ (PCP) initiative the group has focused on reducing production capacity and output, implementing peak shifting production and eliminating old production facilities.
Despite the headwinds, the group’s sales revenue from its cement division rose by 22% to US$7.41bn from US$6.06bn. Its adjusted earnings before interest, taxation, depreciation and amortisation (EBITDA) increased by 38% to US$2.08bn from US$1.51bn. Average cement prices also rose year-on-year. External sales from its engineering companies increased by 13% to US$2.18bn from US$1.92bn. Overall, group sales revenue rose by 22% to US$14bn from US$11.5bn.
CNBM completed its merger with China National Materials Company (Sinoma) on 2 May 2018. Its cement producing subsidiaries include China Untied, South Cement, North Cement, Southwest Cement, Sinoma Cement, Tianshan Cement, Ningxia Building Materials and Qilianshan. Its engineering subsidiaries include Sinoma International, China Triumph and Sinoma Milling.
Sino-Zimbabwe Cement gains ISO certification
28 August 2018Zimbabwe: Sino-Zimbabwe Cement (SZC) has been granted certification by the International Organisation for Standardisation (ISO). The company says that ISO certification will make its products attractive to compete on the international market, according to the Herald newspaper. SCZ produces three types of cement: MC 22.5 X, PC 32.5 N and 42.5N. Most of the cement is consumed by the Zimbabwean market, with a small amount exported to neighbouring countries. The company plans to produce PC 42.5R later in 2018 to target local infrastructure projects.
The cement producer’s 0.3Mt/yr Gweru plant was built in the 1990s in a joint-venture between China National Building Material Company (CNBM) and the Industrial Development Corporation of Zimbabwe.
China: Sinoma International Engineering’s sales revenue rose by 14% year-on-year to US$1.47bn in the first half of 2018 from US$1.29bn in the same period in 2017. Its net profit increased by 45% to US$94.6m from US$65.1m. The subsidiary of China National Building Material (CNBM) said that signed new contracts in the cement sector with a value of US$1.26bn in the reporting period, including seven cement production lines and two grinding units.
China: Peng Shou has been appointed as the president of China National Building Materials (CNBM). Other new appointments announced in the wake of the company’s annual general meeting include the assignment of Chang Zhangli as a non-executive director and Yu Kaijun as secretary to the board.
Peng Shou, aged 57 years, holds has over 30 years of experience in business and management in the building material industry with various senior roles at both CNBM and Triumph International Engineering. Peng holds a bachelor’s degree in engineering from Wuhan Institute of Building material industry (now Wuhan University of Technology) and a master’s degree in management from Wuhan Polytechnic University (now Wuhan University of Technology).
Chang Zhangli, age 47 years, has held a variety of senior management roles at companies including CNBM, Jushi Group, Southwest Cement, China Triumph International Engineering, China United Cement, China Composites Group, North Cement and Beijing New Building Materials.
Yu Kaijun, aged 55 years, is a vice president of CNBM. He holds over 35 years of experience in financial management and corporate governance with positions at Sinoma, BBMG, Xinjiang Tianshan Cement, Ningxia Building Materials Group. Notably he was the chief financial officer of Sinoma from 2010 to 2018 and Sinoma International Engineering from 2001 to 2011. He holds a masters degree in accounting from the Hong Kong Polytechnic University.
China: China National Building Materials' operating revenue rose by 40% year-on-year to US$394m in the first quarter of 2018 from US$281m in the same period of 2017. Its net profit more than doubled to US$77.4m from US$23.6m.
China National Building Material’s cement sales up in 2017 despite production overcapacity
26 March 2018China: China National Building Material’s (CNBM) revenue from its cement operations rose by 22% year-on-year to US$12.4bn in 2017 from US$10.1bn in 2016. Its adjusted earnings before interest, taxation, depreciation and amortisation (EBTIDA) rose by 27% to US$2.94bn from US$2.32bn.
Cement production volumes from the group’s four main divisions – China United, South Cement, North Cement and Southwest Cement – remained stagnant at 258Mt in 2017. However, the group’s cement production capacity for the four divisions was 411Mt/yr giving it a capacity utilisation rate of 63%. Overall the group said it had a cement production capacity of 525Mt/yr.
As well as following government-mandated structural reforms, including environmental changes and production peak shifting, CNBM said that China United started production at a new plant in Mongolia. North Cement completed a merger between its Harbin and Longbei subsidiaries. Southwest Cement completed a merger between Southwest Sichuan Cement and Chongqing Southwest Cement to form Chuanyu Southwest Cement.
ETHRB Group orders integrated cement plant from FLSmidth for Algeria
28 February 2018Algeria: ETHRB Group has ordered an integrated cement plant from FLSmidth for a site at Relizane. The order has a cost of over Euro100m and it includes engineering, equipment supply, construction supervision, commissioning, and training. The deal comes from a partnership between FLSmidth and Beijing Triumph International Engineering Company, a subsidiary of China National Building Material Group Corporation, which will be responsible for the construction of the cement plant. The plant will mainly supply cement to the North African market. Once completed, the cement plant will have a capacity of 12,000t/day. Commissioning is scheduled for late 2020.
“This order underlines FLSmidth's strength as the leading supplier of the most productivity-enhancing solutions and energy-efficient equipment and technology available in the market today. It marks the culmination of a close collaboration between the customer and FLSmidth and demonstrates our ability to work with contractors from anywhere in the world based on our experience and competencies from the cement industry, our global presence, and the know-how of our 12,000 employees," said Per Mejnert Kristensen, Group Executive Vice President, Cement Division.
The scope of supply includes: two EV 200x300 Hammer Impact Crushers; one additive crusher; two circular storages; one longitudinal storage; two ATOX raw mills; two CF-silos (Ø18m x 52m); two preheaters (two string ILC, five stages); two kilns (5.25m x 62m); two Cross-Bar coolers (16m x 50m); a clinker silo (Ø 60m x 46 m); three OK61-4 cement mills; four cement silos (ø22x52 m); and six packing lines.
Africa: FLSmidth says that a contract for a cement plant valued at more than Euro100m in an unspecified location in North Africa is now effective. The change in the project’s status follows the completion of carious conditions, including the receipt of a down payment for the work.
The order is in part a result of the partnership between FLSmidth and Beijing Triumph International Engineering Company, a company under the China National Building Material Group Corporation (CNBM Group), which will be responsible for the construction of the cement plant. The plant will mainly supply cement to the North African market. Once completed, the cement plant will have a capacity of 12,000t/day. The includes engineering, equipment supply, construction supervision, commissioning and training.
Delays announced to new mills at Arabian Cement Company
23 October 2017Saudi Arabia: The Arabian Cement Company (ACC) says that the construction of new cement mills at its Rabigh plant has been delayed to the third quarter of 2018 from the fourth quarter of 2017. The delay has been blamed on, “…the contractor's failure to comply with the timetable.” The second-phase of the project, to build a new clinker production line, is under review. The cement mill order was placed with China National Building Material (CNBM) in 2015.
China National Building Materials’ sales revenue rises by 26% to US$13.3bn so far in 2017
23 October 2017China: China National Building Materials’ (CNDM) operating revenue rose by 26% year-on-year to US$13.3bn for the first nine months of 2017 from US$10.6bn in the same period in 2016. Its net profit more than doubled to US$588m from US$175m. CNBM and China National Materials Company (Sinoma) formerly entered into a merger agreement in September 2017.