Displaying items by tag: GCW380

India: The Supreme Court has upheld a decision by the National Company Law Appellate Tribunal (NCLAT) to approve a revised US$1.11bn bid for Binani Cement. The court rejected a challenge by Rajputana Properties, a subsidiary of rival bidder Dalmia Bharat group, according to the Hindu newspaper. UltraTech Cement made a direct bid for the bankrupt Binani Cement following an auction in March 2018 that was originally won by Dalmia Bharat. Dalmia Bharat disputed UltraTech Cement’s offer and the two companies have conducted legal campaigns to reinforce their respective claims.

Mozambique: The National Inspectorate of Economic Activities (INAE) says that all cement producers must include an expiry date on cement packaging. The decision follows a study looking at the production, labelling, sale and transport of cement, according to the Mozambique News Agency. The ruling applies to both locally produced and imported cement.

INAE has requested that any cement should be sold at least three weeks prior to its expiry date. It is intended to give consumers consistent information about the date of production, the type of cement, the quality and the price. The central government agency is also hosting talks with local government to help provide warehouse space to distributors and retailers selling cement. It aims to stop the sale of cement on the street.

New Zealand: Fletcher Building says that its Golden Bay Cement plant in Auckland was forced stop its cement mill for four weeks in September 2018. It said it had insurance to cover this but that its earnings for its 2019 financial year are likely to be impacted by up to US$8m. Generally, the building materials producer reported that, until the end of October 2018, its business in New Zealand had been flat. In Australia it is facing ‘challenging’ conditions with growing input prices and a slowing residential sector.

Philippines: Cemex Philippines is facing legal action in relation to the quarry operations of its subsidiary in Naga following a landslide that killed nearly 80 people in September 2018. It said that it had received a summons order for the class suit along with its subsidiary APO Cement, according to the BusinessWorld newspaper. The defendants also include APO Land & Quarry, the Mines and Geosciences Bureau Regional Office VII, the City Government of Naga and the Province of Cebu. The lawsuit is attempting to seek damages of up to US$80m on environmental grounds on relation to the quarry.

Pakistan: The Peshawar High Court has temporarily ordered Sui Northern Gas Pipelines (SNGP) not to charge Lucky Cement a higher price for gas. The cement producer took legal action against the supplier, the Oil and Gas Regulatory Authority (OGRA) and the Ministry of Energy following a price increase of 142% in October 2018, according to the Dawn newspaper. The court has asked OGRA to respond to questions about the price rise. Lawyers on behalf of the Lucky Cement argue that the increase in the cost of gas was taken without following the normal legal requirements.

Chile: Cementos Melon has completed a US$25m upgrade to its Puerto Montt grinding plant. The expansion has doubled its production capacity to 0.6Mt/yr from 0.3Mt/yr, according to the Diario Financiero. The project is intended to meet growing demand for cement in the south of the country.

Canada: Quebec's Ministry of Economy and Innovation has confirmed that it has received a request from the shareholders of McInnis Cement to swap the debt the province holds in the venture for equity. A request has been made to the ministry and to Investissement Québec, the provincial government's investment arm, to convert almost US$200m of debt into shares in the cement producer, according to the Globe and Mail newspaper. The newspaper speculates that an arrangement of this kind could be part of a potential deal with creditors to reduce the company’s liabilities and enable it to continue to operate.

McInnis Cement’s plant at Port-Daniel–Gascons was inaugurated in mid-2017. Construction at the site started in mid-2014. However, cost overruns saw the government-backed project delayed and then taken over by an investor, the Caisse de dépôt et placement du Québec (CDPQ), a pension and insurance fund manager. The CDPQ was reportedly considering options including selling the plant or securing more investment in early 2018. Three bids were made for the cement producer but were rejected as being too low, according to reporting by the Globe and Mail. Interested parties in the company included Germany’s HeidelbergCement.

El Salvador: Holcim El Salvador has received a ‘Special Mention’ from the Ministry of Environment and Natural Resources as part of the 2018 National Environment Awards, according to the El Mundo newspaper. It won the recognition for its environmental strategy, including efforts to recover and manage eco-systems around its quarries in Metapan.

Kenya: Edward Ouko, the Auditor-General, has described the East Africa Portland Cement Company (EAPCC) as insolvent because it cannot pay its debts. The cement producer made an operating loss of US$34m in its financial year that ended on 30 June 2018, according to the Standard newspaper. Its revenue fell by 25% year-on-year to US$50m. The company said it devised a new strategy to focus distribution on it own depots and to compete on pricing to counteract a lack of distribution of its products in common retail stores.

Nigeria: The Federal Government says it is investigating complaints from residents at Akinbo village near to the quarry of Lafarge Africa’s Ewekoro cement plant in Ogun State. Local residents have complained about breeches of local environmental legislation at the site, according to the Vanguard newspaper. Adegboyega Salam, the Director of Mines Environmental Compliance Department from the Federal Ministry of Mines and Steel Development, said that the issue was related to relocation of the community. He added that he had asked Lafarge Africa for comment. The dispute relates to an agreement between the cement producer and the local community in 2012.