Displaying items by tag: Plant
Zimbabwe: Chinese cement producer Mortal Investments Manufacturing Company is constructing a US$10 million plant in Redcliff with capacity to employ about 400 employees, while producing 1Mt/yr. Its arrival in Zimbabwe is expected to intensify competition in the market dominated by Lafarge Cement and Pretoria Portland Cement (PPC). It will be the second cement producer to invest in the Midlands Province, after Sino Zimbabwe Cement, which is located just outside Gweru.
For a town battling high unemployment levels following the closure of its major source of jobs - the Zimbabwe Iron and Steel Company (ZISCO) - the new project will add life to the town. Redcliff is strategically located for cement producers given its proximity to significant quantities of slag from ZISCO. Redcliff mayor, Freddy Kapuya, said the investment has brought hope to the town. "This will have a positive impact on the lives of the people in Redcliff. The Chinese company bought about 100,000m2 of land from us for about US$600,000 and they have since started constructing a cement plant after investing about US$10 million," he said.
Gift Mpofu, the past president of the Construction Industry Federation of Zimbabwe, welcomed the development, adding that the industry was looking forward to a better product. "As long as they don't produce a dubious or shoddy product, we will support them. This also means that cement manufacturing players will now compete in terms of prices," Mpofu said.
Mortal's interest in Zimbabwe comes a year after Nigerian billionaire; Aliko Dangote announced that Dangote Cement would set up a US$400 million plant in the country, as part of its Pan African expansion strategy. Dangote has already established an operation in Zambia, and his entry into Zimbabwe demonstrates that despite depressed demand, foreign investors are seeing a bright future in the country.
The entry of Mortal and Dangote in the cement industry has resulted in existing players taking steps to cement their dominance in their niche markets. PPC, the largest cement manufacturing company in Zimbabwe, has been working on expansion programmes, with a new plant expected in Harare to serve markets that include Mozambique.
The Zimbabwe unit of LafargeHolcim, is also increasing capacity. Lafarge, the second largest cement producer in the country, says it would continue to make innovations and introduce new products that meet customer needs. Lafarge has introduced a range of new packaging brands for its products.
Sino Zimbabwe has also invested US$2m to boost production at its plant near Gweru.
Cemex amends US asset sale to Grupo Cementos de Chihuahua
30 August 2016US: Cemex and Grupo Cementos de Chihuahua (GCC) have amended the terms of a sale of assets to GCC previously announced in early May 2016. The assets being sold by an affiliate of Cemex to an affiliate of GCC in the US have changed and mainly consist of Cemex’s cement plant in Odessa, Texas, two cement terminals and the building materials business in El Paso, Texas and Las Cruces, New Mexico. Cemex’s cement plant in Lyons, Colorado and cement terminal in Florence, Colorado are no longer part of the assets being sold to GCC. Upon closing of this transaction GCC will pay Cemex US$306m.
The sale is subject to customary closing conditions, including approval from the US competition authorities and GCC’s shareholders, as well as GCC obtaining financing to purchase the assets. The deal is expected to be completed before the end of 2016.
ACC to expand Jamul and Sindri plants
30 August 2016India: ACC plans to expand its plants at Jamul in Chhattisgarh and Sindri in Jharkhand as part of a US$447m capital project intended to increase the company's production capacity by 5Mt/yr to 35Mt/yr. The project will also include building a ‘couple of new plants’ according to comments made by KN Rao, Director - Energy and Environment, to the Hindu newspaper. Following the upgrades the Jmaul cement plant will have a clinker capacity of 2.79Mt/yr and a cement grinding capacity of 1.1Mt/yr. The Sindri unit will have a grinding capacity of 1.35Mt/yr.
KCP Cement to expand Muktyala plant
30 August 2016India: KCP Cement is set to build a new production line at its Muktyala cement plant in Andhra Pradesh. The company intends to invest US$60m towards increasing the unit's production capacity to 3.52Mt/yr from 1.86Mt/yr. The upgrade will be completed by the end of 2017, according to the Hindu newspaper. Other planned works include spending US$7.4m towards building railway sidings for the plant.
Saudi Arabia: Southern Province Cement has commenced trial operation at the second production line of its Bishah cement plant. The trial operation will continue until the plant reaches a contractual design capacity of 5000t/day of clinker. Once the trial is complete the plant's production capacity from its three lines will reach 33,000t/day of clinker. The company noted in a statement that there are neither expected costs nor financial impact for this trial operation. The date of full operation will be announced later.
Indonesia: SDIC Papua Cement Indonesia's new cement plant in Manokwari, West Papua is set to start operation later in 2016. The director general of chemical, textile and numerous industries, Achmad Sigit Dwiwahyono, West Papua vice governor Irene Manibuy and president director of PT SDIC Group Lin Bing officiated at the operation of the new kiln on 27 August 2016, according to the Indonesian News Agency. The 3200t/day plant has been built at a cost of US$500m. It is hoped that the plant will stabilise the price of cement in the province and support local infrastructure development.
ARM Cement seeks US$138m investment from CDC Group
26 August 2016Kenya: ARM Cement intends to use US$138m investment from the UK government-owned fund CDC Group to finance the construction of a new cement plant in Kitui County. The cement producer is Chief executive Pradeep Paunrana said that more details on the proposed 2.5Mt/yr plant would be released after shareholders’ approval of the development finance institution’s proposed investment in return for a 40.66% stake in the cement manufacturer, according to the Daily Nation newspaper. The project is planned to be completed by 2021. Nigerian company Dangote Cement is also building a cement plant in the same area.
Chzhungtsai Mohir Cement plant opens in Tajikistan
25 August 2016Tajikistan: The Government of Tajikistan and the Chzhungtsai Mohir Cement company have started operation at their joint-run 1.2Mt/yr cement plant in Yovon district of Khatlon district. The president of Tajikistan Emomali Rakhmon inaugurated the plant. It will be the first cement plant in Central Asia to produce ‘400’, ‘500’ and ‘600’ branded cement, according to Asia Plus. The plant cost US$121m to build with 35% of the cost procured from local investors and 65% from foreign investment.
BASF opens admixtures plant in Sri Lanka
23 August 2016Sri Lanka: BASF has opened its first production plant for admixtures at Sapugaskande near Colombo. The plant will produce standard and custom-made performance-based construction chemicals under the Master Builders Solutions brand. These include concrete admixtures product ranges such as MasterGlenium, MasterPolyheed, MasterRheobuild and MasterPozzolith. The site is supported by an office, warehouse and testing laboratory.
“Asia Pacific is one of the fastest growing markets globally and South Asia is a strategic growth engine of this market. With the new admixture plant in Colombo, we will now be able to rapidly supply our customers with admixtures for all cement and aggregate types, whether their construction projects are located in the capital or in remote areas,” said Himanshu Kapadia, Vice President, Market Management, Construction Chemicals Asia Pacific, BASF, at the inauguration of the new plant on 19 August 2016.
Gloria Group buys Cementos Otorongo from Votorantim
17 August 2016Peru: Consorcio Cementero del Sur (CCS), a subsidiary of Gloria Group, has signed a contract to buy all of Brazil’s Votorantim’s shares in Cementos Otorongo for US$4m and those of Votorantim’s subsidiary Corporación Noroeste. Cementos Otorongo is planning to build a cement plant in southern Peru for US$125m, according to the Gestión newspaper. Cementos Otorongo submitted an environmental impact study on the project in 2011 for proposed sites in La Joya, Arequipa and Mollendo, Islay. The planned plant will have a production capacity of 0.65Mt/yr.
This story was corrected on 18 August 2016 following clarification from Votorantim.