Displaying items by tag: Loan

Denmark: Nordic Investment Bank (NIB) has granted a 150m loan to FLSmidth to support technological developments for the growth of sustainability in the cement and mining sectors. The supplier said that the loan tracks three core sustainability indicators: FLSmidth's ratio of partners with SBTi-certified science-based targets, FLSmidth’s own Scope 1 and 2 CO₂ emissions and its products' Scope 3 impacts.

Chief financial officer Roland Andersen said “With our MissionZero pledge, we are fully committed to developing technologies and solutions that will enable the mining and cement industries to move towards zero emissions by 2030. As sustainability is an integral part of everything we do, it is only natural for us to also link our financing to our sustainability ambitions. This is a first step in this direction, and we are very pleased with the long-term commitment provided by NIB."

Pakistan: Pakistani cement companies sold 9.61Mt of cement during the first quarter of the 2022 financial year, down by 25% year-on-year from 12.8Mt in the first quarter of the 2021 financial year. Exports declined by 34% to 1.01Mt of cement, from 1.55Mt. The All Pakistan Cement Manufacturers Association (APCMA) said that current economic conditions impacted both domestic and export sales.

Separately, the APCMA has expressed its concern over State Bank of Pakistan limits on the use of letters of credit by companies for the purchase of spare parts and other machinery. The association says that present restrictive conditions will create operational difficulties for the industry.

India: JSW Cement has taken a loan of US$48.9m with which to finance its planned 47% capacity growth to 25Mt/yr from 17Mt/yr. MUFG Bank India provided the loan subject to sustainability-linked criteria. Press Trust of India News has reported that the producer’s subsidiary Shiva Cement is in the process of establishing a US$183m 1.36Mt/yr clinker plant and 1Mt/yr grinding plant in Odisha’s Sundergarh District.

India: Ambuja Cements says that it has created a non-disposable undertaking (NDU) on more than half of its 50% stake in fellow Adani Group subsidiary ACC. The Telegraph newspaper has reported that the producer intends to use the NDU as collateral for its loans.

Philippines: Phinma Corporation subsidiary Philcement has taken a US$1.73m loan for an expansion and upgrades to its Mariveles cement terminal in Bataan. The Manila Times newspaper has reported that the company secured the loan using the proceeds from its bond issuance earlier in September 2022.

Tunisia: Carthage Cement recorded a 48% year-on-year drop in its sales in the first half of 2022, to US$52.1m from US$101m. The producer’s net income for the half was US$4.73m, down by 51% from US$9.74m. It carries forward accumulated losses of US$315m.

Carthage Cement attributed its continued losses to delays to its commissioning of its upcoming new cement plant, as well as additional costs on top of the initial investment. It relied on short-term credits for part of the project’s funding. The company has restructured its bank loans and increased its capital to US$52.9m, in addition to an issue premium of US$10.8m.

US: Argos USA has obtained a US$750m loan for the financing of its working capital and capital expenditure and refinancing of its debt. The loan is linked to environmental, social and governance (ESG) metrics. Bank of Nova Scotia, BNP Paribas, JP Morgan Chase Bank, SMBC and Bank of New York Mellon lent the funds, assisted by Cuatrecasas.

Parent company Cementos Argos said "With this credit agreement, around 44% of Cementos Argos' consolidated debt will be linked to ESG indicators, bringing it closer to the 50% target for 2022 previously announced to the market, and thus reaffirming the company's commitment to meeting ambitious goals in terms of sustainable growth."

UAE: Lafarge Emirates Cement plans to install an organic Rankine cycle (ORC) waste heat recovery (WHR) plant at its Fujairah cement plant. Gulf News has reported that the producer will fund the upgrade through a transition trade facility provided by UK-based bank Standard Chartered. The facility is part of the bank’s planned US$300bn-worth of green finance funding up to 2030.

Lafarge Emirates Cement general manager Olivier Milhaud said “This is one of the major milestones in our journey towards sustainability. The WHR project encourages the use of clean and environmentally friendly energy in our operations and also supports our global mission to build a Net Zero world.”

Burundi: The government of Burundi says that it is ready to sign a credit letter with Dangote Cement for the establishment of a cement plant in the country. In this way, the government hopes to provide a long-term solution to the on-going national cement shortage. In the meantime, the government urged Dangote Cement to devise ‘modalities for the supply of construction materials’ into the country.

Burundian delegates at a meeting with Dangote Cement on 8 July 2022 said that Northwest Burundi is endowed with abundant limestone reserves.

India: Punjab National Bank (PNB) has invited asset reconstruction companies' bids for US$6.31m-worth of outstanding loans owed by Burnpur Cement. Press Trust of India News has reported that account has a reserve price of US$2.52m.