
Displaying items by tag: Solar power
India: Dalmia Cement (Bharat) will acquire a 19.2% stake in Amplus Kaveri Solar for US$1.94m. This transaction is subject to customary conditions and is expected to complete within eight to nine weeks.
Thailand: B.Grimm Power has partnered with Siam City Cement (SCCC) to establish a joint venture named ‘Insee B.Grimm Solar.’ This collaboration aims to develop a solar rooftop project and a ground-mounted solar photovoltaic (PV) project within SCCC’s plant located in Saraburi province.
This project is expected to contribute to Thailand’s clean energy goals by reducing reliance on fossil fuels and integrating renewable energy sources into industrial operations. Specific details regarding the project’s capacity and timeline are not yet available.
Update on Spain, May 2024
29 May 2024Cemex announced last week that it will stop producing clinker at its Lloseta plant in Mallorca. Grinding activity at the site will continue, along with the shipment of bagged and bulk cement products. The company has framed the closure as part of its decarbonisation plans. The dismantling of the two preheater towers at the plant is scheduled to take place by the end of 2030. Cemex said that it will take this long to allow the cement plant to continue operating, as well as a neighbouring hydrogen unit and other nearby industrial units. The status of the Lloseta plant has been in question before. It was closed in early 2019 due to reduced cement demand and mounting European CO2 emissions regulations. However, it reopened in 2021.
Readers may recall that Cemex España participated in the Power to Green Hydrogen Mallorca project. Land by the Lloseta cement plant was used to hold solar panels and a solar-powered hydrogen unit. Other partners in the project included energy suppliers Enagás and Redexis and renewable power and infrastructure company Acciona, among others. When the unit was commissioned in early 2022, it said it was the first solar power-to-green hydrogen plant in Spain. The link between Cemex and hydrogen is noteworthy given the cement company’s adoption of hydrogen injection as part of its alternative fuels strategy. Interestingly, Acciona planned to use a blockchain method to certify that hydrogen produced at the site was made using renewable energy sources. Heidelberg Materials also plans to use the same process to verify its evoZero brand of net-zero cement products in 2025. Another recent sustainability sector news story in Spain is the commissioning by Çimsa of a 7.2MW solar plant supporting its Buñol white cement plant in Valencia. The new installation is expected to supply about 18% of the plant’s energy needs.
On the corporate side of things, FCC revealed in mid-May 2024 that it was preparing to spin-off its cement and real estate subsidiaries into a new company called Inmocemento. The cement part of this is Spain-based Cementos Portland Valderrivas. The move is intended to bolster the values of the different parts of the business. The proposal will be put to FCC’s shareholders in late June 2024, with any resulting action taking place by the end of the year. The decision to separate FCC’s cement assets is reminiscent of the financial engineering Holcim has proposed with its US business. However, in this case the driver does not appear to be the disparity between the European and US stock markets.
Graph 1: Domestic consumption and exports of cement in Spain, 2013 - 2023. Source: Oficemen.
Market data was also out this week from Oficemen, the Spanish cement association. Domestic cement consumption grew year-on-year in April 2024 but the year so far is looking weaker with consumption from January to April 2024 down by 4.5% year-on-year to 4.65Mt. This is below Oficemen’s forecast for 2024 where it expected a stagnant situation. However, there are eight more months to go. In 2023 cement consumption fell by 3% to 14.5Mt and exports declined by 7.5% to 5.2Mt. The association blamed continued underinvestment in both the public and private sectors due to economic instability since the Covid-19 pandemic. Graph 1 above shows the wider situation in the Spanish cement market over the last decade. The share of exports has declined and local consumption rebounded after 2020 but has declined since then.
These news stories provide a snapshot of what’s been happening in Spain recently in the cement sector. Oficemen’s prediction for 2024 is gloomy but local consumption has risen over the past 10 years. Exports have fallen but the cement association has started to spin the country’s decarbonsiation drive as a potential positive for the industry’s competitiveness generally. It’s hard to discern right now but there might be an advantage for an export-focused country that conforms to European standards in the future if it can hold onto its capacity. Admittedly, that’s a big if. This thinking along sustainability lines could be seen earlier in May 2024 when Cementos Molins Group rebranded itself as Molins. It described the rebranding as a bid to represent the wider range of construction products it manufactures and sells beyond cement. Oficemen has also pointed out that the local market has room for development given the relatively low cement consumption per capita in Spain compared to its peers. So, whatever happens next, there is likely to be room for improvement in the cement market.
Thailand: Siam Cement Group (SCG) has begun construction of a commercial heat battery supplied by Rondo Energy at its cement plant in Saraburi Province. It will be the first heat battery in Southeast Asia and the first heat battery deployed at a cement plant, according to the company. The project is a collaboration between Rondo Energy and SCG Cleanergy, a wholly owned subsidiary of SCG. Rondo Heat Batteries capture intermittent electricity and store energy as high temperature heat in bricks, to deliver continuous industrial heat and power on demand. This installation will convert local solar power into continuous zero-carbon heat and power for cement production.
President of Rondo Energy, Eric Trusiewicz, said "Electrification of cement production requires a large-scale and low-cost energy storage solution, as renewables are not available 24/7 but cement production needs to be."
Spain: Çimsa has invested €4.2m in launching a solar photovoltaic power plant to power its white cement plant in Buñol, Valencia. The solar plant has a capacity of 7.2MW and will supply about 18% of the energy needs for the cement plant.
The facility features 11,000 solar panels spread over 100,000m2. This new solar power plant is expected to produce approximately 12GWh/yr of electricity, reducing CO₂ emissions by about 3000t/yr.
Holcim breaks ground on Go4Zero at Obourg
17 May 2024Belgium: Holcim kicked-off its Go4Zero project at its Obourg plant on 16 May 2024 in an event attended by the Belgian Prime Minister Alexander De Croo and the European Commissioner for Climate Action Wopke Hoekstra. The €500m Go4Zero project, supported with €230m of funding from the European Union, will enable the integrated plant to reduce its CO2 emissions by 30% by 2027 and to produce 2Mt/yr of CO2-free cement by 2029. When fully operational, the Obourg plant will capture 1.2Mt/yr of CO2.
The Go4Zero project incorporates a number of approaches to achieve net-zero CO2 cement. The centrepiece is an oxy-fuel combustion process to generate an easy-to-handle exhaust gas with up to 80% CO2. This will be coupled to a cryogenic purification unit to generate a >99%-pure CO2 stream .The project will also make use of waste heat recovery (WHR), new exhaust filtration equipment and Europe’s largest floating solar panel farm.
US: Cemex has entered an off-site renewable energy agreement for its Clinchfield Cement Plant with Georgia Power, securing about 25% of its power from solar facilities throughout the state, starting in 2025. The plant will offset roughly 10,000t/yr of indirect CO₂ emissions, contributing to a 58% reduction target in Scope 2 GHG emissions from its 2020 levels by 2030.
Senior Vice President of Cemex US Ernesto Felix said "Embracing solar power not only accelerates our own aggressive sustainability goals but also sets a powerful example for the entire industry. By integrating renewable energy solutions through Georgia Power, Cemex paves the way for a greener, more resilient future for generations to come."
India: Roofsol Energy has won a contract to supply solar power plants with a total capacity of 10.5MW for Shree Cement in Jharkhand and Uttarakhand, Saur Energy News has reported.
Roofsol Energy said “Shree Cement owns and operates cement grinding units in nine locations across India and owns production facilities in Rajasthan, Chhattisgarh and Karnataka and has operations in India and UAE. The company carries out power generation through waste heat recovery plants and now it is adopting solar plants as well.”
UltraTech to buy a minority stake in O2 Renewable Energy
28 March 2024India: UltraTech Cement plans to acquire a 26% stake in O2 Renewable Energy for around US$2m. It is making the purchase to support the energy requirements of its plants from renewable sources, according to the Times of India newspaper. O2 Renewable Energy is currently building a solar power plant in Karnataka that is expected to generate 35 – 48MW.
Yura to establish solar photovoltaic plant in Arequipa
22 March 2024Peru: Grupo Gloria subsidiary Yura plans to build a solar power plant in Yura, Arequipa. The plant will have a peak power of 31MWp and a nominal power of 27MW. The installation involves a 1.3km-long, 30kV transmission line. Gestión News has reported that the project is intended to reduce the costs associated with the company’s cement production.