Displaying items by tag: United Cement Group
Update on Kyrgyzstan, January 2024
03 January 2024Kyrgyzstan had a couple of prominent stories in the press towards the end of December 2023 with news of a new plant and continuing data showing that cement production has grown.
The Chüy project was first announced by the government in mid-2022 when it signed an investment agreement with a consortium comprising representatives from Terek-Tash and ZENIT. More information on the unit emerged this week when the Russian-Kyrgyz Development Fund revealed that it made a loan of US$45m towards the scheme based in the northern Chüy region of the country. The plan is to build a 1.7Mt/yr plant with a budget of US$160m. Equipment to build the plant is reportedly being sourced from companies in China and Russia. Special features of the project include a waste heat recovery unit and the use of ash from the Bishkek Thermal Power Plant in the production process. The plant is expected to be launched in 2024.
Graph 1: Cement production in Kyrgyzstan, 2018 - 2023. Source: National Statistical Committee of the Kyrgyz Republic.
One reason why the government might be keen to build a new plant is because cement production has mostly grown in each of the past five years, with the exception of 2020, when the Covid-19 pandemic began. In 2022 it increased by 7% year-on-year to 2.7Mt and the latest data from the National Statistical Committee indicates that it rose by 11% year-on-year to 2.6Mt in the 11 months to the end of November 2023. If this rate held in December 2023 then it looks likely that the country will have produced just under 3Mt in 2023. At the same time the country’s exports of cement have also been falling. In November 2023 the government of Kazakhstan’s Jambyl Region said that it had found investors to support construction of a railway line between the locale and Kyrgyzstan due to a ‘building boom’ in the latter country.
Earlier in 2023 the Eurasian Development Bank (EDB) said it had earmarked US$48m for the modernisation of equipment at the Kant Cement plant, operated by Kazakhstan-based United Cement Group (UCG), also in Chüy region. The plant is the biggest in Kyrgyzstan, running five wet process production lines, according to the Global Cement Directory 2023. The EDB linked its investment to a hydroelectric project in the country that it is also funding, pointing out that such structures require lots of cement and concrete. This follows a previous upgrade project by owner Kazakhstan-based United Cement Group (UCG) at the plant from 2021 to March 2023. This involved efficiency and environmental gains such as installing bag filters and converting a cement grinding mill to a closed circuit. China-based and CNBM subsidiary China Triumph International Engineering was the lead project partner. In early December 2023 UCG announced that it had signed another contract with China Triumph International Engineering over the summer to build a new dry production line at the site with a clinker capacity of 0.8Mt/yr. At the time of the announcement it said that preparation of the construction site had started and that work had begun on installing a pile foundation.
Finally, one more Kyrgyz news story of note in recent months was the announcement in October 2023 that the government had effectively nationalised the Kurmentinsky Cement plant in Issyk-Kul Region. The reason why it had done so was unusual because it said that a 93% share in the company running the plant had been transferred to the State Property Management Agency following the death of its former owner. The former owner was one Kamchybek Kolbaev, an organised crime boss who had been listed on the US Department of State Transnational Organized Crime Rewards Program and was reportedly killed by state security services in early October 2023. The remaining shares in the plant have been passed to its workers and the government further said that it intends to upgrade the site.
The cement sector in Kyrgyzstan is modest and in need of modernisation. It appears to be having a resurgence at the moment though with production mounting and at least two major plant projects underway. The country is in a compelling position economically and geopolitically given its membership of the Russia-backed Commonwealth of Independent States (CIS) and its proximity to China. Various projects backed by the latter’s Belt and Road Initiative, both underway and forthcoming, would certainly appear to benefit from more efficient local cement production and higher volumes.
Kyrgyzstan: Kant Cement has successfully transitioned Grinding Unit 8 of its Kant cement plant to closed cycle grinding operations. Business World News has reported that China-based CNBM Beijing Triumph carried out the work. The transition has increased the unit's production capacity by 30 - 40%.
Kant Cement's general director Pavel Dekhtyarev said "The mill previously produced 40t/hr of CEM II cement and 30t/hr of CEM I cement. Now it produces 58t/hr and 50t/hr, respectively. With this productivity, it was possible to reduce the specific energy consumption by 30% and reduce dust emissions. In addition, closed circuit grinding allows us to produce high grades of cement that could not be obtained with open circuit grinding systems."
United Cement Group implements environmental social governance standards in Uzbek cement operations
07 July 2023Uzbekistan: United Cement Group (UCG) has implemented environmental social governance (ESG) standards across its Uzbek cement operations. The new standards establish transparency on the company's legal compliance, working conditions and impacts on all stakeholders.
Business World Magazine has reported that general director Serik Ukanov said "Control of emissions of harmful substances and compliance with ESG norms is carried out by each enterprise under the supervision of the holding company. Each factory of the holding has a separate 'Targets' department, which is responsible for operations, repair and maintenance, as well as the adjustment of all the dedusting installations of raw materials and grinding mills and rotary kilns. We produce monthly and quarterly emissions reports and keep statistics on the carbon footprint per tonne of cement." He continued "UCG's next big step is a multi-phase project to reduce this carbon footprint. A contract was signed with KHD Humboldt Wedag to renovate two rotary kilns."
UCG subsidiary Qizilqumsement said that it was carrying out testing at its Qizilqum cement plant in partnership with Germany-based KHD Humboldt Wedag in May 2023. The company is in the process of expanding the plant's integrated capacity by 1.8Mt/yr through the construction of its upcoming Line 4.
Uzbekistan: United Cement Group (UCG) subsidiary Kuvasaycement is building a sixth grinding unit at its Quvasoy cement plant in Fergana. Business World Magazine has reported that China-based Sinoma International Engineering will supply the equipment for the expansion, consisting of a roller press and ball mill, equipped with a separator and pre-grinder.
Kuvasaycement general director Denis Nikitin said "In recent years, we have systematically replaced outdated equipment, renewed our car fleet, installed new filters to reduce cement dust emissions and modernised cement mills in accordance with the highest requirements to which UCG adheres. The cement market in Uzbekistan is rather saturated and, in order to increase production competitiveness, we decided to commission one more cement mill to 'cover' the capacity of the existing five mills. It is also connected with additional demand for products for the construction of bridges, roads and airports. This is state-of-the-art equipment with new grinding capabilities that we have been missing."
Bekabadcement to expand Bekabad cement plant
09 June 2023Uzbekistan: Bekabadcement is carrying out a 'large-scale' upgrade to its 0.7Mt/yr Bekabadcement plant in Tashkent Region. The producer said that the upgrade involves a 20% capacity expansion of the plant's production line to 2500t/day. Austria-based Unitherm CemCon supplied burners for the upgraded line, while China-based Beijing Triumph International Engineering supplied heat exchanger components and a KC 4.1-0955 cooler. The upgrade also involves the installation of new kiln lining, and will transition the plant's cement production from wet to dry process. Germany-based Christian Pfeiffer previously upgraded the Bekabad cement plant's grinding unit in April 2023.
General director Vasily Korobkin "We see that (parent company) United Cement Group (UCG) is interested in the modernisation and development of the enterprise. The group adheres to international standards, so all plans for the development of the plant are built accordingly." He concluded "We expect to become a modern and successful enterprise in Uzbekistan which is capable of becoming a major player in the cement industry of Central Asia.”
Uzbekistan: United Cement Group (UCG) has planted 3200 saplings in Navoi Region under the government's Green Land initiative. Uzbekistan Daily News has reported that the Green Land initiative seeks to plant 1bn new trees and shrubs across the country between 2022 and 2026.
UCG subsidiary Qizilqumsement's general director Sergey Melnikov said “UCG has been actively involved in the Green Land project in cooperation with local authorities, environmental organisations and residents of the region. Concern for the ecology of the territory where the production is located is a trend of the modern cement industry, which is fully consistent with our internal policy and high environmental and social responsibility." He added "All plants of the holding are being modernised with regard to green technologies.”
Kant Cement begins development of new limestone mine
18 July 2022Kyrgyzstan: Kant Cement has begun excavating the Severnaya Gryada limestone deposit near to its Kant cement plant. The producer says that the limestone has a higher purity than that from its existing Agalatas mine. It therefore expects the Kant plant to reduce its raw materials consumption and eliminate a part of its dust emissions. Kant Cement currently replaces a part of the limestone in the plant’s cement production with 65,000t/yr of fly ash.
Uzbekistan: QuvasoyCement has installed Denair Energy Saving Technology (Shanghai)’s DV 315 compressors at its Fergana cement plant. The cement producer says that the new compressors increase performance by 95% compared to previous equipment. It predicts cost savings of US$25,100/yr as a result of the upgrade.
Bekabadcement becomes infrastructure project partner
23 June 2022Uzbekistan/Kazakhstan: Uzbekistan-based Bekabadcement, part of United Cement Group (UGC) Holding, has become a partner in a key project to build a 350km international transport corridor connecting Uzbekistan and Kazakhstan, to be financed by the Asian Development Bank.
The company’s products are well known domestically for their use in the construction of major infrastructure facilities, such as the construction of transport corridors and modernisation of irrigation systems in Uzbekistan and Kyrgyzstan, as well as the rebuilding of the Baikonur Cosmodrome in Kazakhstan.
Kant Cement installs lining on kiln
17 June 2022Kyrgyzstan: United Cement Group (UCG) subsidiary Kant Cement has begun installation of a lining on its Kant cement plant’s rotary kiln in order to reduce losses and improve the efficiency of the plant. The producer expects the lining to raise its kiln’s temperatures by 100°C. It consists of wear-resistent RMAG–H2 bricks and HALBOR–400 refractory bricks.
UCG said “Energy efficiency and energy saving are among the most important factors for the successful implementation of ongoing economic and social reforms.”