Displaying items by tag: GCW591

Germany: Heidelberg Materials has placed a Euro750m sustainability-linked bond as part of a Euro10bn medium-term note programme. Interest on the bond is linked to group CO₂ emissions reduction, according to key performance indicators up to 2026 and 2030. Heidelberg Materials is committed to reducing its emissions per tonne of cementitious product by 30% between 2021 and 2030, to 400kg/t.

Heidelberg Materials' chief financial officer René Aldach said "The placement reinforces our aspiration to achieve the most ambitious climate targets within the industry and to increase the share of sustainable financial instruments to over 70% by 2025. With the denomination of Euro1000, we are the only company on the capital market to date to also offer retail investors the opportunity to invest in sustainability-linked bonds."

Vietnam: New cement lines will raise Vietnamese cement production capacity by 4% year-on-year in 2023 to over 120Mt/yr. Vietnam News Summary has reported that upcoming new capacity scheduled to commence operations during the year include a 4.5Mt/yr line at a Xuan Tanh Cement plant and a 2.5Mt/yr line at a Long Son Cement plant.

Vietnamese cement demand was 65Mt in 2022. Several producers suspended cement lines during the second half of that year due to high costs and unfavourable market conditions.

India: Operators of limestone mines in Karnataka's Chamarajanagar District have suspended quarry operations indefinitely in protest against the Karnataka state government's increased licensing royalties and rules requiring drone surveillance. The companies also demand that the state government cease to implement new policies affecting them. The Times of India newspaper has reported that the strike has impacted a total of 10,000 jobs, both at quarries and downstream in the building materials and construction sectors.

Bolivia: The Bolivian National Institute of Statistics (INE) recorded total national cement production of 3.3Mt during the first 10 months of 2022, up by 12% year-on-year from 2.9Mt in the corresponding period of 2021. Meanwhile, cement sales rose by 5.6% year-on-year to 3Mt, from 2.84Mt. Compared to 2019 volumes, cement sales fell by 5.6% from 3.96Mt. Nonetheless, Bolivian Cement and Concrete Institute (IBCH) general manager Marcelo Alfaro said that the results 'consolidated the rebound' that began in 2021. Cement sales volumes previously dropped by 23% year-on-year to 3.03Mt in 2020, amid successive Covid-19 lockdowns.

Fábrica Nacional de Cemento (FANCESA) commercial manager Álvaro Cuéllar said "FANCESA is making the necessary efforts to meet its share of the domestic market." Cuéllar added "We are close to 9Mt/yr of capacity for a market that in 2019 approached 4Mt/yr. That is why we have many kilns stopped and the industry is working at half speed."

India: The government of Telangana has asked the Indian government for US$612m in funding for the planned reopening of state-owned Cement Corporation of India's Adilabad cement plant, alongside other projects. The Indian government will publish its 2023 - 2024 Union Budget in January 2023. The Times of India newspaper has reported that funding has been insufficient for the Telangana state government to realise its industrial growth plans over eight successive previous budgets.

China: China Resources Cement (CRC) recorded a 74 - 78% year-on-year net profit drop in 2022. As such, its full-year net profit was US$255 - 302m. Reuters has reported that the group attributed the drop to subdued demand from construction, increased production costs and low cement and clinker prices in the regions where it operates.

Despite the slow situation in the construction market, CRC's property development arm recorded a rise in its rental income throughout 2022.

Kazakhstan: Steppe Cement's full-year sales were US$86.5m during 2022, up by 11% year-on-year from 2021 levels. This came about despite a 1.2% year-on-year drop in its cement volumes. The producer also overcame high inflation, which reached 20% year-on-year in Kazakhstan in December 2022.

Steppe Cement said "We continue our capital expenditure programme to increase our production capacity of clinker and cement by mid-2023, as well as to reduce power and coal consumption."

US: Mexico-based GCC must pay US$36.1m in compensation to Bolivia-based Compañia de Inversiones Mercantiles (CIMSA) in their dispute over deal concerning shares in Sociedad Boliviana de Cemento (SOBOCE). A US court issued the latest ruling after refusing to recognise an earlier judgment by a Bolivian court on 10 January 2023.

Milenio News has reported that GCC is expected to appeal the US court's decision.

Zimbabwe: Lafarge Cement Zimbabwe has secured a suspension on trading in its shares on the Zimbabwe Stock Exchange until April 2023. Chronicle News has reported that the Holcim subsidiary requested the suspension, in which to 'address in-house challenges.'

The producer assured the market that this latest development 'will not in any way affect business, amid consideration of various courses of action, with a view to protecting the business and the interests of all stakeholders.'

India: Shree Cement has commissioned captive solar power plants with a total capacity of 40MW in Bihar and Jharkhand. A Shree Cement facility in Banka, Bihar, hosts a 30MW solar power installation, while another in Seraikela Kharsawan, Jharkhand hosts a 10MW installation. Press Trust India News has reported that Oriana Clean Energy carried out design, engineering, procurement and construction on both projects.