Displaying items by tag: Kenya

Kenya: East African Portland Cement (EAPCC) has recommenced operations at its Athi River cement plant after a one-month shutdown for renovations and maintenance. The plant has undergone a US$3m upgrade to expand its capacity in order to meet the increasing regional demand for cement, anticipating an annual production of 1Mt/yr within the next two years. Before the upgrade, the plant’s capacity was 310,000t/yr.

Board chairperson Richard Mbithi said critical components used in cement production processes such as filter bags and refractory bricks were replaced during the upgrade. EAPCC also refurbished its grate cooler system, enabling the company to increase its production targets.

Mbithi said “With the finalisation of the plant refurbishment and the resultant improved production and efficiency, we are confident that the company will accomplish the production and revenue targets.”

The company undertook the first phase of maintenance two years ago and it involved the replacement of the kiln shell which was completed in September 2022. This led to improved clinker and cement production and resulted in a 38% increase in revenues, according to the Star Kenya.

Kenya: Savannah Cement’s creditors voted in favour of administrator Peter Kahi’s debt reduction plan for the company on 16 April 2024. Kahi’s plan involves leasing out the site of the company’s Kitui plant, while also seeking a buyer for it.

Business Daily has reported that the Office of the Attorney General has declared Kahi's reappointment as administrator of Savannah Cement on 24 January 2024 as invalid.

Kenya: President William Ruto has commissioned a Cemtech clinker plant in Sebit, West Pokot, valued at US$345m. Construction of the plant began in 2010 and it will produce 6000t/day of clinker with a cement capacity of 2Mt/yr. After production, the clinker will be transported to a grinding plant in Eldoret.

Mining Principal Secretary Elijah Mwangi said "The production is enough feed for all cement plants in the country. The demand for this critical material will now be met with the excess available for export." The opening of this plant is a ‘major relief’ for cement companies in Kenya, which have historically had to import 60% of their clinker. Currently, National Cement and Mombasa Cement manufacture clinker, while Bamburi Cement, Savannah Cement, Rai Cement, and Ndovu Cement import it.

Located at the Sebit limestone mines in Kipkomo subcounty, the plant has generated over 2000 job opportunities.

Kenya: East African Portland Cement (EAPCC) has closed its Athi River plant for a US$3m upgrade to boost production capacity.

Oliver Kirubai, EAPCC's managing director, said "We are doing the second phase of our machines upgrade, which is basically targeting to increase our output. Our target is that by June 2026 we should be able to produce 1Mt/yr of cement." He added "Seven local contractors are spearheading the upgrade of this plant. They will work with us during the 25-day closure of this facility." The current production capacity of the plant is 310,000t/yr.

EAPCC recorded a loss of US$9.8m for the financial year ending June 2023, despite making a profit of US$4m in the previous year. This shift was due to increased costs elevating the firm's cost of sales to US$29.4m from US$29.9m, despite a 37% increase in revenues to US$21.9m from US$15.9 in the previous year.

Uganda: Kenya-based Bamburi Cement has completed its US$84m sale of its subsidiary Hima Cement to a consortium comprising Sarrai Group and Rwimi Holding. The transaction completed in early March 2024 following regulatory and shareholder approval, according to the Business Daily newspaper. Bamburi Cement’s intention to sell Hima Cement was first announced in November 2023. Holcim held a 70% share and Cementia Holding held a 30% share in Hima Cement. Both companies have sold their full stakes to the new owners.

Kenya: Mashujaa Cement plans to build a US$77.4m integrated cement plant at Chasimba, Kilifi South. The Standard newspaper has reported that environmental group Nature Kenya claims that Mashujaa Cement’s environmental and social impact assessment (ESIA) for the upcoming plant ‘lacked comprehensive assessments’ of its possible impacts. These include a possible threat to 31 critically endangered local plant species, including Kenya’s endemic African violets, growing on outcrops of the local Kambe Limestone Belt.

Nature Kenya said “The ESIA indicates scientific unfamiliarity as it contains carelessly worded generic statements such as ‘species will be relocated to Arabuko Sokoke forest’, ‘the site is devoid of any eco-sensitive area’ and ‘impact on biodiversity and wildlife is minimal’.”

Uganda: The Uganda Revenue Authority (URA) has augmented its operations on the country’s eastern border with Kenya to prevent the smuggling of cement. The Daily Monitor newspaper previously reported “cheap illegal cement” was being imported by both large and small-scale traders via multiple uncontrolled border points. Kenya and Uganda share land border over 800km in length

Ibrahim Bbosa, a spokesperson for the URA, said “While there is legal trade with significant amounts of Kenyan cement entering Uganda through official customs points, there has been a worrying increase in the smuggling of brands such as Simba and Bamburi.” He added that smugglers were often using bicycles and motorcycles to move cement across the border before consolidating the shipments by truck within the country for further distribution.

Kenya: Frontier Energy subsidiary Momnai Energy has begun building two solar power plants at sites belonging to Bamburi Cement. One 14.5MW plant will be situated at the producer’s 1.1Mt/yr Mombasa cement plant, while another 5MW plant will be situated at its Nairobi grinding plant. When commissioned, they will cover 30% of the producer’s energy consumption. Momnai Energy will finance, manage and maintain the solar power plants on the basis of a power purchase agreement (PPA) signed between the parties in 2021.

Bamburi Cement chief executive officer Mohit Kapoor said that the project ‘represents one of Kenya's most substantial commercial solar endeavours undertaken by a cement company, and a first for Holcim in Sub-Saharan Africa.’ He added that it will lead to cost savings, reduced vulnerability to load shedding and ‘substantial’ progress towards achieving net zero CO₂ emissions.

Kenya: East African Portland Cement Company (EAPCC) has announced plans to build a new clinker plant in Kajaido. The Nation newspaper has reported that it will cost US$200m to build. EAPCC plans to use local pozzolana, along with limestone and coral transported from Kenya’s Coast Province, in cement production at the plant. The producer says that it will clarify the timeframes of the project in 2024.

Kenya: Bamburi Cement reduced its Scope 1 CO₂ emissions by 3% year-on-year in 2022. Data from its Sustainability Report for 2022 shows that the subsidiary of Holcim also increased its alternative fuels substitution rate by 6%, according to the Standard newspaper. The company’s managing director Mohit Kapoor attributed the drop in emissions to the increased use of alternative fuels, using alternative raw materials to substitute for clinker, using renewable energy sources and optimisation of the cement manufacturing process. In line with Holcim Group the company has committed to becoming net zero by 2050.