Displaying items by tag: UK
UK: Lafarge Cement is celebrating 50 years of production at its Cookstown plant in Northern Ireland. The plant opened in 1968 and today it employs almost 100 staff both in Cookstown and at a cement terminal in Belfast. Lafarge Cement was later acquired by Aggregate Industries in 2015 as part of the merger between Lafarge and Holcim that created LafargeHolcim.
“Fifty years is a significant milestone and follows the successful 60th anniversary celebrations that took place at our sister cement plant in Cauldon in 2017,” said plant manager Russell Larmour. “The success at Cookstown is testament to the many generations of people here in County Tyrone who have helped shape the business today. As we now look to the future, and many more years of production, we are committed to maintaining our position as a leading, sustainable business partner at the heart of the UK’s construction industry.”
UK: The Global Cement and Concrete Association (GCCA) has appointed Claude Loréa as Cement Director. She will take up the role in early November 2018 and will be based at the association’s offices in London. Loréa joins the GCCA from European cement industry body, Cembureau where she is Deputy Chief Executive and Industrial Affairs Director. Loréa will report to incoming GCCA chief executive, Benjamin Sporton and will be a member of the executive team.
Loréa will lead all aspects of GCCA work related to cement, calling for a practical understanding of its chemistry, production, co-processing, data collection, standards as well as international climate policy, regulatory requirements and trends. With sustainability a key priority of the GCCA, she will also oversee the smooth transition of the activities of the Cement Sustainability Initiative to the GCCA.
Over her career Loréa has built up knowledge of the cement industry including the sector’s sustainability agenda where, among other achievements, she has led the development of the European Cement Industry Low Carbon Economy Roadmap. A Belgian national, she holds a degree in Civil Engineering from the University of Brussels and has worked as an environmental consultant and auditor. She gained her first hands-on experience of the cement industry as an environmental engineer with Cimenteries CBR in Belgium, in time moving to Cembureau where she was appointed technical director and subsequently deputy chief executive.
ARM Cement twisted in Kenya
22 August 2018It’s been a tough week for ARM Cement with the announcement that PricewaterhouseCoopers placed the company into administration on 18 August 2018. Given the performance of the company of late, this is not a surprise. It reported a growing net loss of US$55m in 2017 due to poor demand in Kenya and Tanzania.
First, the company made a series of personnel changes to the board of the company at the start of last week, according to Business Daily and other local press. This was led by the announcement on 13 August 2018 that Pradeep Paunrana would step down as the chief executive officer (CEO). This is significant since Paunrana’s father Harjivandas set up the company, previously known as Athi River Mining (ARM), in 1974. Paunrana was reported as owning 9% share in the company in late 2017 with his family controlling a further 14%. He will remain as a board member. Paunrana’s departure was also joined by Wilfred Murungi who stepped down as chairman following 24 years as a director of the firm and Surendra Bhatia, who will retire as deputy managing director. Although ARM Cement is yet to announce who its new CEO will be it has said that Linus Gitahi will become the new chairman and he has also been appointed as a non-executive independent director. Former Lafarge executive Thierry Metro has also been appointed as a non-executive independent director.
Then, over the weekend PricewaterhouseCoopers (PWC) announced in the local press that it had placed the beleaguered company into administration. Muniu Thoiti and George Weru have been appointed as the lead administrators tasked with the job of either rescuing the company or preserving the best possible value for its creditors. On 20 August 2018 the local stock exchange, the Nairobi Securities Exchange, suspended trading of ARM Cement for seven days.
ARM Cement blamed its woes in 2017 on elections in Kenya causing reduced cement demand, a coal import ban in Tanzania causing production issues at its Tanga cement plant and increased competition in both countries. Those last two reasons carried resonance this week with the news that the Petroleum Development Corporation and Dangote Industries Tanzania had signed a long-term gas deal. Dangote Cement has also had energy supply problems in the country, being forced to resort to diesel generators at its Mtwara plant. Due to this its 3Mt/yr cement plant only sold 0.2Mt of cement in the first half of 2018, a decrease of 48% year-on-year from the same period in 2017. The forced reliance on diesel also caused earning losses that negatively affected its wider Pan-African area margins.
The general consensus in the local press is that the CDC Group forced the latest changes in management. The UK government-backed investment company owns a 41% stake in ARM Cement. In June 2018 it replaced two of ARM’s board members and appointed a new executive director and a new company secretary following resignations. CDC Group injected US$140m into the firm in mid-2016 in return for a 40% stake in the business. When the Nairobi Securities Exchange suspended trading, ARM Cement shares were a tenth of the value CDC Group paid for its stake. Given that the share value of ARM has steadily fallen since 2016, the question that occurs is: why did CDC Group take so long before taking action?
Two thoughts occur at this point. One: whatever else emerges in the coming weeks and months about how ARM Cement has ended up in administration, it is unfortunate that a burgeoning multinational producer took a hit in more than one country at the same time in an area with such growth potential for construction. As has been proved, market potential and performance are not the same thing. Two: if this is any indication of how the UK government will act in the post-Brexit world generally, then investing in pound sterling assets before the end of March 2019 may be unwise.
Nairobi Securities Exchange suspends trading of ARM Cement
21 August 2018Kenya: The Nairobi Securities Exchange has suspended trading of ARM Cement following the company going into administration. The suspension took effect from 20 August 2018 and will last for seven days, according to Reuters. On 18 August 2018 PricewaterhouseCoopers said that the cement producer had been placed into administration following the resignation of its chief executive officer (CEO) Pradeep Paunrana. However, Paunrana intends to remain on the board of the company. PricewaterhouseCoopers has appointed Muniu Thoiti and George Weru as joint administrators.
In June 2017 ARM Cement reported that its net loss more than doubled to US$55m in 2017 due to poor demand in Kenya and Tanzania. UK-government investor CDC Group, which holds a 41% stake in the company, then forced the replacement of board members Ketso Gordhan and Pepe Meijer with Sofia Bianchi and Rohit Anand.
UK: Aggregate Industries has signed a Euro3.3m deal with Siemens for technology and training services.
The agreement positions Siemens as Aggregate Industries’ preferred technology supplier across the company’s 330 UK sites. The partnership is intended to improve efficiency, make maintenance savings, and reduce the company’s carbon footprint. Siemens technology solutions include inverter drives, gearboxes, motors and control panels.
Siemens will also provide access to training and education facilities for all Aggregate Industries apprentices at Stephenson College in Coalville, Leicestershire. The focus on training will be supported regionally with Siemens supplying safety panels, which are to be utilised for staff training sessions across Aggregate Industries’ regional site network.
“This agreement positions Siemens as our preferred UK technology supplier, ensuring that we benefit from enhanced operational efficiencies over the long-term. This will deliver cost savings and improve system reliability. The technology solutions we will install will also help us reach our sustainability goals, as we seek to reduce the impact we have on the environment,” said Gerard Cantwell, Head of Procurement Europe at Aggregate Industries.
UK: Refractory producer RHI Magnesita says that its cement and lime segment was ‘flat’ in the first half of 2018. It blamed this on on-going low capacity utilisation in China and Brazil and ‘some’ market share losses due to its prices. The adjusted sales revenue of its Industrial Division, including cement and lime, rose by 14.3% year-on-year to Euro413m in the first half of 2018 from Euro362m in the same period of 2017. Overall, the company reported a 24.6% increase in revenue to Euro1.51bn from Euro1.21bn.
In a separate release RHI Magnesita subsidiary Magnesita said that the company’s revenue rose by 81.6% to US$133m. This was attributed to sales to the cement business in North America and higher deliveries in Europe in 2018. However, Magnesita’s services business suffered from a poor cement market in Brazil.
Carrots could be used in low emission cement
16 August 2018UK: The Times has reported on preliminary tests at Lancaster University, Lancashire, UK, which indicate that adding nanoplatelets from carrots and/or sugar beets to concrete significantly enhances its strength.
Including nanoplatelets is reported to increase the concentration of calcium silicate hydrate, leading directly to stronger cement. The researcher reported that, when platelets are added, 40kg less cement is required to make a cubic metre of concrete with the same strength as a sample that does not contain nanoplatelets. This leads to lower CO2 emissions.
The team added that nanoplatelets performed better than other additives, such as graphene. The concrete made also had a denser microstructure, which helps to prevent corrosion, extending concrete life.
Global Cement and Concrete Association to take over work of Cement Sustainability Initiative
03 August 2018UK: The Global Cement and Concrete Association (GCCA) has formed a strategic partnership with the World Business Council for Sustainable Development (WBCSD) to facilitate sustainable development of the cement and concrete sectors. As part of the new agreement, the work carried out by the Cement Sustainability Initiative (CSI) will transfer from WBCSD to the GCCA on 1 January 2019 with activities managed out of the GCCA’s London offices. The new partnership will also create synergies between work programmes to benefit both the GCCA and WBCSD and their respective member companies.
“Transferring the activities of the CSI to the GCCA is a logical step and further underlines the cement and concrete sector’s commitment to advance sustainable development across the construction cycle. As the authoritative worldwide voice of the cement and concrete sector, the GCCA is ideally placed to take this work to the next level, building on the strong foundations established by WBCSD,” said Albert Manifold, chief executive officer (CEO) of CRH and GCCA President.
The CSI, which was established in 1999 and currently operates under the auspices of WBCSD, is a global effort by 24 major cement producers to advance sustainable development. Over its 19-year history, the CSI has focused on understanding, measuring, managing and minimising the impacts of cement production and use by addressing a range of issues including: climate change, fuel use, employee health and safety, airborne emissions, concrete recycling and quarry management.
Quinn Cement expands fleet with 14 trucks
26 July 2018Ireland/UK: Quinn Cement has expanded its fleet of trucks with 14 Mercedes mountain lorries. The lorries were delivered between July 2017 and May 2018. All 14 vehicles are now in use in Quinn’s Doon and Swanlinbar quarries, transporting rock to the Quinn Cement plant at Derrylin.
The receipt of the new lorries marks the latest phase of an on-going fleet replenishment programme. The new mountain lorries are more efficient than the vehicles they have replaced as they carry a bigger payload. All these trucks are rated to work at 50t gross weight giving them a payload of around 33t, depending on the body. Ten of the new lorries’ bodies were manufactured, fitted and painted by C-Tec Engineering of Magherafelt, Northern Ireland. The final four lorries which have recently arrived on site, have a body that was manufactured in Italy by Drago and transported in kit form to Ireland to be assembled, painted and fitted by Gleeson Steel & Engineering in Tipperary.
UK: Tarmac plans to restructure the distribution model for its cement and lime division. Following a strategic review it will move to a regional model for both bulk and packed cement distribution, which have previously operated on a national basis. Tarmac’s own fleet operations will handle around 50% of bulk cement and 20% of packed cement distribution, supported by five regional distribution providers selected through a procurement process.
“Our supply chain and logistics operations are crucial to maintaining Tarmac Cement and Lime’s position as the UK’s market leader. The new regional transport operating model will provide enhanced resilience, flexibility, service, cost and safety for our customers, who trust us to deliver the products they need to realise major projects,” said Mike Eberlin, managing director at Tarmac Cement and Lime.
Tarmac Cement and Lime’s regional distribution partners will be engaged on new five-year logistics contracts effective from December 2018. They are Abbey Logistics (bulk cement – Scotland), Pollocks (packed cement – Scotland & North), Lomas Distribution (bulk and packed cement – Central), Wincanton (bulk and packed cement – South West), Stobarts (bulk and packed cement – South East) and Proctors (packed cement – Barnstone).
Tarmac’s Lime & Powders operation will remain fully subcontracted on a national basis to Lomas Distribution (bulk lime and powders and lime tippers) and RR Andrews (powder tipper operations).
There will be no change to customer order arrangements.