
Displaying items by tag: Egypt
Hazemag wins order for El Arish cement plant
03 August 2016Egypt: The government of Egypt has ordered crushers and apron feeders from Hazemag for its El Arish cement plant. The agreement includes six HAF 22116 apron feeders with spillage conveyor and six HPI 2025 primary impact crushers for each 1200t/hour of limestone with a feed size of up to 1500mm. This plant crushes the limestone to D95 < 75mm.
In addition Hazemag will supply six HAF 1480 apron feeders with spillage conveyor and six HRC 0816 double roll crushers each for crushing 400t/hour of clay with a feed size of up to 500mm to D95 < 75mm, as well as three HGI 1420 gypsum impact crusher for crushing 350t/hour of gypsum with a feed size of up to 800 mm to D90 < 40mm.
The cement plant has six new 6000t/day cement lines supplied by Chengdu Design & Research Institute of Building Materials Industry. The plant is expected to be completed in mid-2017.
One Chinese cement giant, one massive order
15 June 2016A Sinoma subsidiary was raking in the big bucks this week with the announcement that it had booked a Euro1.05bn order with the Egyptian government. The order was for six 6000t/day cement production lines plus assorted maintenance contracts from Chengdu Design and Research Institute of Building Materials Industry (CDI).
The order caps a busy month for Sinoma. At the start of June, another subsidiary, CBMI, said that it had picked up deals to build two new lines in Algeria for Groupe des Ciments d’Algérie. Around the same time another project in the country, a joint venture between Lafarge Algeria and Souakri Group, revealed that it had started commissioning its mill. Other assorted cement projects announced so far in 2016 include a waste heat recovery unit for Thai Pride Cement in Thailand, a conversion to coal burning at South Valley Cement in Egypt and various orders for mills via Loesche for Sinoma projects in Vietnam.
The scale of that latest Egyptian order becomes apparent when one looks at Sinoma, or China National Materials Group Corporation’s, annual results. It reported revenue of US$8.08bn in 2015, a slight decrease from US$8.38bn in 2014. Those six lines represent 13% of the group’s entire turnover in 2015. That’s one humongous order. The last time Sinoma signed a cement deal on this magnitude was in August 2015 when Nigerai’s Dangote placed an order at a value of US$1.49bn.
Elsewhere on the balance sheet for 2015, its profit fell markedly by 25% year-on-year to US$150m from US$200m. However, its new order intake grew by 14% to US$5.1bn. Overseas orders accounted for over three quarters of this or US$4.32bn, its highest level on record. This compares to its rival FLSmidth’s new order intake of US$2.8bn in 2015. It declared that it would continue to seek business outside of China in line with the country’s ‘One belt, one road’ policy focusing on Central Asia and South America.
This growth by Chinese engineering companies on the world stage may have been stymied in 2015. The Verband Deutscher Maschinen- und Anlagenbau (VDMA) in Germany reported in April 2016 that the members of its Industrial Plant Manufacturers’ Group (AGAB) had booked orders of Euro19.5bn in 2015, a similar figure to its orders in 2014. This compared to a drop of 63% of large plant orders (not just cement) in 2014 from Euro5.29bn in 2013. AGAB saw opportunity in service industries for its German members as markets stalled in Russia and Brazil, and China’s property market faced its own problems. Research by UBS Evidence Lab, as reported by the Financial Times in May 2016, has taken a different view, suggesting that Chinese construction quarry equipment manufacturers such as Sany, Zoomlion and XCMG were likely to expand their market share outside of China to 15% by 2025. At present the research pegged them at 7%.
Expansion comes with its risks though. In late May 2016 Sinoma International Engineering reported details of a tax dispute it was suffering in Saudi Arabia. The Saudi subsidiary of the company was levelled with a request for unpaid back taxes from 2006 and 2008. At the time it was appealing against a bill of US$18m. In a changing global marketplace some things never change. Global success it seems is taxed.
Egypt: Chengdu Design & Research Institute of Building Materials Industry, a subsidiary of Sinoma, has been awarded a Euro1.05bn order to build six 6000t/day cement plants from the Equipment Bureau of the Ministry of Defence. The scope of the turkey contract includes construction of six new integrated cement production lines, operation and maintenance of two 5775t/day cement production lines of Phase II of GOE ARISH and the six Beni Suef cement production lines under the contract for three years. The order represents around 15% of Sinoma’s turnover in 2015.
Industrial Development Authority receives eight requests for cement licences after deadline ends
02 June 2016Egypt: The Industrial Development Authority (IDA) has received eight requests from local and international companies for Ordinary Portland Cement (OPC) licences after the deadline for applications closed on 31 May 2016. IDA Chairperson Ismail Gaber said the authority would start studying submissions in accordance with the rules and regulations approved by the terms of reference and verify their match to requirements within 60 days.
The technical qualification committee decides on the qualified companies to join the bid for obtaining licences. The IDA has completed the delivery of terms of reference on 14 new licences for the launch of OPC projects in nine governorates, with a total production capacity of 28Mt. The applicants are responsible for the management of its energy needs, where 35 local and foreign companies bought 37 terms of reference.
The IDA had previously extended the application period to 31 May 2016 according to Daily News Egypt.
Egypt: Helwan Cement has ordered a vertical roller mill from Gebr. Pfeiffer to grind coal at one of its cement plants in Egypt. Delivery of the coal mill is scheduled for the end of 2016. The order was placed by Beijing Triumph International Engineering.
The type MPS 3350 BK coal mill will have an installed gearbox power of 1050kW. It is designed to grind 80t.hr of coal to a product fineness of 12% residue on 90μm and 60t/hr of pet coke to a product fineness of 6% residue on 90μm. Gebr. Pfeifer’s personnel will also supervise erection and commissioning.
Suez Cement denies it plans to exist Egyptian market
08 March 2016Egypt: Suez Cement has denied that it is planning to leave the Egyptian market. The announcement comes in response to media speculation following the cement producer’s admission that it has been unable to repatriate profits of Euro50m from the country for about a year. Suez Cement is 55% owned by Italian cement producer Italcementi.
Suez Cement’s Managing Director Bruno Carre blamed the problem on a foreign currency crisis in Egypt. The country’s central bank has introduced measures to reduce non-essential imports to save hard currency. Subsequently, businesses are unable to access US Dollars for imports and goods are piling up at ports.
Arabian Cement launches Al Nasr Cement
19 February 2016Egypt: Arabian Cement Company (ACC) has launched Al Nasr branded Ordinary Portland Cement. The new branded cement is intended to penetrate new segments of the market. It has been launched in Cairo, Giza and Qlayoubia. ACC will continue to produce Al Mosalah branded cement in the other Delta markets.
"We are extremely pleased to announce launching our new cement brand in Egypt, which reinforces our position as one of the largest cement producers in the market," said Jose Maria Magrina, ACC Chief Executive Officer.
ACC also recently announced that is has renewed its plant operation agreement with NLSupervision (NLS). The agreement commenced on 1 February 2016 and run until 31 January 2021. NLSupervision is fully owned by FLSmidth, and will be operating both production lines at ACC's plant located in Suez Governorate.
37 cement companies apply for coal licences
15 February 2016Egypt: 37 companies have applied for licences to use coal at cement plants, according to the Industrial Development Authority (IDA). IDA Head Ismail Gaber said that the new licenses aim to increase investments in the cement industry to meet local consumption.
Minister of Industry Tarek Qabil announced in January 2016 that licences would be issued to establish 14 new coal-fired cement factories in nine governorates in Beni Suef, Minya, Qena, Sohag, Aswan, New Valley, Suez, Marsa Matruh and South Sinai. Together these plants will have a cement production capacity of 28Mt/yr. The deadline for receiving offers from companies is 10 May 2016.
Egypt: Suez Cement plans to spend US$77m to convert its Helwan and Torah cement plants to use coal and refuse derived fuel (RDF), according to local media. The Kattameya and Suez cement plants were converted in 2015.
The company intends to start the conversion process in February 2016 at Helwan and July 2016 at Torah. The upgrade is expected to take 12 - 18 months. Subsequently both plants would use 70% coal for their energy. Helwan Cement will supplement this with 20 – 25% RDF and 5% natural gas. Torah Cement will use 30% heavy fuel oil. These conversions are expected to reduce the company's operating costs.
Egypt: Denmark's FLSmidth has signed a contract with Arabian Cement Company (ACC) for operation and maintenance of the production lines at their cement plant near Suez. The contact covers five years of operation and maintenance of two production lines with a capacity of 6000t/day each. FLSmidth has been operating and maintaining the two lines since 2008 and 2010, respectively. Both lines were built by FLSmidth.
The scope of supply includes operation and maintenance of two clinker production lines, one coal mill, two alternative fuel handling and dosing installations, four cement mills and six packing lines. The operation and maintenance of the mills and packing lines is an addition to the current scope.
"Arabian Cement Company was our first operation and maintenance customer and we have supplied operation and maintenance services at their plant since 2008. The demonstrated performance over the past nearly eight years was the main motive for ACC to expand and continue the cooperation with us. The prolongation of the operation and maintenance contract illustrates the strength of our productivity enhancing 'Design-Build-Operate'-model, where we offer to design, build and operate customers' plants," said Group Executive Vice President, Cement Division, Per Mejnert Kristensen.
No value for the deal was disclosed. The contract will contribute beneficially to FLSmidth's earnings until the contract expires in early 2021.