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News Hongshi

Displaying items by tag: Hongshi

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Hongshi Group to inject US$125m into Dang Cement

29 November 2021

Nepal: China-based Hongshi Group has received clearance from the Nepal Rastra Bank to invest US$125m into Dang Cement. Hongshi Group owns an 85% stake in the cement producer, according to the Republica newspaper. The remaining 15% stake is owned by Shivam Cement. The investment will be used to build a 6000t/day production line at Dang Cement’s plant in Dang region. The project was previously approved by the Investment Board Nepal in late 2020 for commissioning in late 2023.

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Anhui Panjing Cement order upgrade to production line from KHD and AVIC

20 October 2021

China: Anhui Panjing Cement has ordered an upgrade to its production line from KHD and AVIC. The project includes: installing new triple cyclones in conjunction with existing preheater top stage twin cyclones; a partial modification of downcomer duct; installing a new preheater fan; adding optimised and larger dip tubes for the existing cyclones; installing a new Pyrobox type calciner firing system; adding new raw meal pipes for the two lowest cyclone stages; making calciner modification within the existing preheater building; and installing a new kiln drive system. Where possible the project plans to use reuse existing equipment. It is scheduled for completion by January 2022. It follows a previous upgrade at the plant in 2020 – 2021.

Other recent orders that KHD has announced with China-based cement companies include an upgrade to a production line at Hongshi Group’s Lanzhou plant in Gansu province and the installation of NOx-reducing modifications on a 5000t/day clinker production line operated by China United Cement Baoding.

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Shivam Cement approved to launch initial public offering

22 June 2018

Nepal: Shivam Cement has received approval from the Securities Board of Nepal (SEBON) to launch an initial public offering. It will be the first cement producer in the country to become public, according to the Republica newspaper. Shivam Cement operates a 1250t/day plant and it has a captive limestone mine. The company also holds a 30% share in Hongshi-Shivam Cement, a Nepalese-Chinese joint venture that has started trial production at the Hongshi Cement near Dumkibaas in Nawalparasi district.

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Hongshi-Shivam Cement starts trial production at Dumkibaas plant

21 May 2018

Nepal: Hongshi-Shivam Cement has started trial production at its new plant near Dumkibaas in Nawalparasi district. The joint venture between Nepal’s Shivam Holdings and Hong Kong Red Lion Cement No 3, a subsidiary of China’s Hongshi Group, plans to start commercial production by the end of June 2018, according to the Kathmandu Post. The Chinese company owns a 70% stake in the joint venture. The unit has a production capacity of 6000t/day.

In September 2017, the Investment Board of Nepal had signed a US$359m project investment agreement with Hongshi-Shivam Cement to build the plant. A 10km road was built to connect the site to the main local highway and another 22km road was built to link up a limestone quarry at Palpa. The company plans to double the unit’s production capacity to 12,000t/day by 2020.

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Nepalese investment body signs deals with Hongshi-Shivam Cement

04 September 2017

Nepal: The Investment Board of Nepal (IBN) has signed a project investment agreement worth US$359m with China’s Hongshi-Shivam Cement in connection with a cement plant being built at Nawalparasi. The agreement is the first of its kind signed by the IBN with a private sector company and it will last 15 years, according to the Kathmandu Post newspaper. The investment deal is the biggest made by a foreign company in the country’s manufacturing sector.

Hongshi-Shivam Cement is a joint venture between Nepal’s Shivam Holdings, which also produces Shivam brand of cement, and Hong Kong Red Lion Cement No 3, a subsidiary of China’s Hongshi Group. The Chinese company owns a 70% stake in the joint venture. Commercial production of cement is planned to start at the plant in 2018.

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Hongshi-Shivam Cement building road to project site in Nepal

22 September 2016

Nepal: Hongshi-Shivam Cement is building a 36km road between Nawalparasi and Palpa to connect limestone reserves to a plant it is building. The China-Nepal joint venture is building a 6000t/day cement plant in Sardi, Nawalparasil that will be completed in 2017, according to the Kathmandu Post. The company plans to double the plant’s production capacity to 12,000t/day in the next four years. Limestone reserves at Palpa are expected to last 300 years.

Hongshi Cement has invested US$360m in the project which is the largest Chinese investment in the country’s cement industry. Investment Board Nepal (IBN) approved Hongshi's proposal in July 2015.

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Nepalese cement producers braced for foreign competitors to start operation

21 June 2016

Nepal: Cement producers in Nepal are upgrading their plants in preparation for the start of operation by a number of foreign owned cement companies. Dhruba Thapa, the president of the Cement Manufacturers' Association of Nepal (CMAN), said that the imminent ‘invasion’ by foreign cement producers has led to unease amongst local producers, in comments to the Kathmandu Post

Dangote Cement from Nigeria, Hongshi and Huaxin from China and Reliance Cement from India have all been granted clearance to start operations in Nepal. Their combined foreign direct investment amounts to US$1.45bn and their proposed output stands at 22,000t/day.

Local projects include Cosmos Cement’s plan to build its first clinker plant. It is expected to start production in the second half of 2016. At present the cement producer operates two cement grinding plants with a combined capacity of 800t/day. It is also upgrading the capacity of these plants to a total of 2000t/day.

Arghakhanchi Cement has announced that it will nearly triple its capacity to 3000t/day by the end of 2017. At present the plant has a production capacity of 1200t/day. Agni Cement Industry has planned to set up a new plant with a daily capacity of 1200t/day. Currently, its capacity is 300t/day.

Domestic demand for cement is 5.5Mt/yr and production is 4.6Mt/yr according to CMAN. Domestic cement manufacturers claim that they have become able to meet 80% of the country's requirement with a capacity utilisation of 50 – 60%. However, foreign investors have said that there is unexplored potential demand for cement in Nepal as infrastructure development grows. Local producers have countered this claim, saying that foreign direct investment has been promoted by offering foreign investors more tax incentives than what domestic producers receive.

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New Chinese-led cement plant coming to Nepal

18 March 2015

Nepal: Two private companies have signed an agreement of joint venture investment worth US$300m for cement production in Nepal. The investment, one of the biggest in Nepal's cement sector, has a 7:3 equity structure between Hongshi Holdings Limited of China and Nepal's Shiva Cement.

"This project will adopt a dry process with the use of 95% domestic raw materials," Xu Youyuan, Executive Vice President of the Chinese company said at the signing ceremony. He added that Hongshi had been attracted to Nepal's market by its booming cement industry in 2012.

Addressing the ceremony, Finance Minister of Nepal, Ram Sharan Mahat, said that the signing of this project was a landmark between the economic ties of the two neighbours and that he was happy to see that Chinese investors had shown confidence in Nepal. He even suggested that Nepal might become a net exporter of cement in the coming years.

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Chinese top 10 cement producers comprise 817Mt capacity in new data

01 July 2011

Capacity Market Share of TOP 20 Cement Producers in China 2010

China: CNBM was China's biggest cement producer in 2010 followed by Anhui Conch and Jidong according to newly-released data from OneStone Research.

In China the top 10 cement producers comprised 817.4Mt/yr (34%) of a cement capacity of 2.41Bnt/yr. The market leader with a capacity of 200Mt/yr (8.3%) was CNBM, followed by Anhui Conch with 150Mt/yr (6.2%) and Jidong with 89Mt/yr (3.7%). Next places in the ranking were taken by Sinoma Cement, Shanshui, Huaxin, CRC, Tianrui, TCC (China) and Hongshi.

Companies in the top 11 – 20 rankings included BBMG, Jinyu Group, Lafarge, Yatai and Asia Cement, combining about 9.5% of China's cement capacity. In total the top 20 companies comprised 43.5% of the national capacity.

The only foreign producer within the top 10 besides Holcim (which hold a 39.9% participation in Huaxin) was Taiwan Cement Corp. (TCC) Other major foreign cement producers in China include Lafarge, CRH, HeidelbergCement, Asia Cement Corp., Taiheiyo, Italcementi, Cimpor and Cemex.

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