Displaying items by tag: GCW421

Malaysia: Cahya Mata Sarawak (CMS)’s cement division has reported a net profit of US$19.5m in the six months to 30 June 2019, down by 37.1% from US$31.0m in the same period of 2018. The company’s total first half revenue rose by 8.9% to US$194m from US$178m in 2018.

In its financial statement, CMS blamed the cement profit slump on rising clinker import prices and the cost of fuel for its coal-fired cement plants. CEO Datuk Isaac Lugun has expressed hope for the group’s longer-term prospects due to its competitive power pricing and strong global presence.

Vietnam: Vietnam’s August 2019 cement output has been estimated at 7.9Mt, up by 8.7% from August 2018. This would give an eight-month figure of 63.1Mt, up by 7.6% year-on-year. Data from government’s General Statistics Office placed the country’s 2018 output at 90.2Mt, a figure likely to be exceeded by early December 2019.

In the first half of 2019, Vietnam exported 31.3% of its cement, supplying 68% of China’s imports of cement and clinker over that period. Global Cement has previously reported that Vietnamese companies were seven of the top ten importers of cement to the Philippines from 2013 to 2018.

South Africa: PPC has reported an increase in it earnings before interest, tax, and depreciation (EBITDA) of 5 - 10% for the four-month period to 30 July 2019 compared to a year ago.

Against a backdrop of subdued domestic demand and competitive pricing by importers (whose imports increased 22.0% year-on-year to 0.64Mt in the first half of 2019), the group has held gross debt at a similar level to that reported in March 2019, implementing its US$4.56/t saving initiative and a focus on its most profitable market segments, with sales reduced by 10-15% in the four months to 30 July 2019 compared with 2018.

PPC’s financial report states that South African cement producers have engaged the relevant authorities for a cement standards check.

Pakistan: Fauji Cement has installed a 12.5MW solar power plant at its Jhang Bahtar plant, near Islamabad. Business Recorder reports that Fauji’s is the world’s largest solar power station devoted to a cement plant, with 37,905 panels delivering an estimated annual total of 19,750MWh of energy.

Fauji has additionally installed two waste heat recovery plants of 12 and 9MW and two large reservoirs for water recycling and rainwater harvesting. Fauji is leading Pakistans’s Clean and Green initiative, having planted 25,000 trees and donated a further 40,000 plants to local government and nearby villages.

US: LafargeHolcim’s plans for a solar power station for its Hagerstown cement plant have stalled, after Washington County denied its contractor Greenbacker Renewable Energy Corp the expected tax break for the project.

A break from personal property tax levied on equipment, of the sort granted to other solar energy projects, would have resulted in taxes of approximately US$1.6m instead of US$2.9m over its 25 years in effect, CommsMEA has reported. The County’s decision hinged on debates over the number of long-term jobs created by the project. Greenbacker previously argued that the long-term job security of LafargeHolcim’s 108 Hagerstown employees was embellished by the move towards improved sustainability and the stabilisation of energy costs.

The motion, proposed by Commissioner Randy Wagner, failed for lack of a second. This followed after a commissioner recused himself from proceedings because, as a financial advisor, he stood to benefit from the project through the investments of his clients.

Nigeria: A laden Dangote Cement lorry suffered a brake failure and ran head-on into a bus in Ikorodu, Lagos State on 27 August 2019, killing the bus driver, a trainee bus driver and one passenger. All 69 other passengers were injured.

The Punch has reported that the Dangote vehicle was carrying 45t, significantly over its rated capacity. The company has commenced an investigation of the incident.

Zimbabwe: A blast at Lafarge Cement Zimbabwe’s Sternblick quarry on 15 August 2019 has killed one person and injured another.

Agence Ecofin has reported that two women were at home on Pangoula Farm, Harare, when debris from the quarry entered through the roof, striking 36-year-old Shupikai Chatsina, who lost her life instantly, on the head. She leaves behind a husband and five children. The second woman, Ms Chatsina’s aunt, is recovering in hospital.

LafargeHolcim’s contractor Afri Mining did not follow established blasting procedures. The disaster is under police investigation.