Displaying items by tag: agreement

US: Vicat subsidiary National Cement Company of California has signed a cooperative agreement with the US Department of Energy (DOE) Office of Clean Energy Demonstrations to develop the Lebec Net Zero (LNZ) project at its Lebec cement plant in California.

The agreement commits up to US$500m, covering up to 50% of the Phase one cost. The project includes constructing a CO₂ sequestration facility with a 0.95Mt/yr capacity, enabling the plant to capture ‘almost all’ of the plant’s emissions. It will also increase alternative fuel use from locally sourced biomass and reduce the plant’s clinker factor by producing calcined clay-based cement. The plant will reportedly produce carbon-neutral cement.

The first step will be to conduct a preliminary engineering study and establish a community advisory body in charge of relations with local communities. Phase one will run through the first quarter of 2026.

Indonesia: Suvo Strategic Minerals has reached a non-binding agreement to form a joint venture (JV) with PT Huadi Bantaeng Industry Park (PT HBIP) to commercialise and manufacture low-carbon cement and concrete products that contains nickel slag and other byproducts. The JV will produce geopolymer cement and related products in Indonesia.

PT HBIP will supply nickel slag and other raw materials from its stockpiles at Bantaeng Industry Park and provide infrastructure, including land, port facilities and utilities like power and water. Suvo’s subsidiary, Climate Tech Cement, will deliver the low carbon cement formulations.

Aaron Banks, Suvo’s executive chair, said “The formation of this partnership is a key milestone for the company as it adds significant scale for potential future operations. The consumption of Portland cement within the broader region is around 300 - 400Mt/yr. Huadi, in alliance with other smelters, produce around 15Mt/yr of nickel slag. This partnership has the potential to lock in the necessary supply chains and give the company the best chance for success in delivering this low carbon cement to market.”

Banks also confirmed that Suvo has started preliminary offtake discussions for its low carbon cement product with ‘large users’ in Indonesia and Southeast Asia.

US: Quikrete has entered into a definitive agreement to buy Summit Materials for a total enterprise value of US$11.5bn. The deal will add Summit Materials’ aggregates, cement and ready-mixed concrete business to Quikrete’s concrete and cement-based products business to create a vertically integrated business in North America. Quikcrete’s acquisition offer was first revealed in late October 2024. The transaction is expected to close in the first half of 2025 subject to shareholder approval at Summit Materials, regulatory approvals and other customary conditions.

Will Magill, CEO of Quikcrete, said “We are thrilled to welcome Summit into the Quikrete family.” He added, “This acquisition represents a significant milestone in our journey to expand our capabilities and geographic presence.”

Colombia-based Cementos Argos is Summit Materials’ largest shareholder with a 31% stake. It has agreed to vote all of its shares in Summit’s common stock in favour of the transaction. Cementos Argos says will generate a cash value of around US$2.9bn from the sales of its shares.

Italy: Construction company Cobar has signed an expression of interest with Heidelberg Materials Italia to use its EvoZero net-zero carbon captured cement product. Cobar’s CEO Vito Matteo Barozzi signed the agreement with Heidelberg Materials Italia’s CEO Stefano Gallini. The subsidiary of Germany-based Heidelberg Materials describes Cobar as one of its main customers and said that the deal confirms the progress that low-carbon products are making in the construction market.

Heidelberg Materials launched its EvoZero cement product in late 2023 and its EvoBuild low-carbon and circular products range in early 2024. EvoZero cement will be available in two versions, depending on the customer location. EvoZero Carbon Captured Brevik will be manufactured at the Brevik cement plant in Norway, where the company has built a carbon capture unit. Elsewhere in Europe Heidelberg Materials will sell EvoZero Carbon Captured, where the cement will be manufactured at a local plant and sold with a verifiable carbon proof using mass-balancing and book-and-claim systems.

Belarus/Russia: Belarusian Cement Company has reached an agreement with the Republic of Khakassia for the delivery of regular coal shipments for its cement plants. The new agreement will ensure the weekly transport of approximately four trains loaded with coal from November 2024 - January 2025, meeting 100% of the demand of the Belarusian plants.

Brazil: China-based Sinoma Overseas has signed an engineering and supply contract for the Z02 cement grinding plant and a technical cooperation framework agreement with Votorantim Cimentos. The agreements were signed by Sinoma chair Zhu Linhe and Votorantim’s global projects director Alvaro Lorenz. This collaboration marks the third cement grinding plant project between the two companies and is part of Votorantim's ‘2028 Development Strategy.’ The contract encompasses the design, equipment supply, and technical services for a 150t/hr cement grinding plant.

Zhu Linhe said "Votorantim is the most valuable client for Sinoma Overseas, this contract and agreement strengthens the strategic partnership between the two companies. It is the strong commitment of Sinoma Overseas to support Votorantim in achieving its '2028 Development Strategy' with Sinoma’s extensive industry expertise, advanced technology and mature localised operations.”

Morocco: Heidelberg Materials has signed a strategic agreement to acquire Votorantim Cimentos' assets in Morocco, including a 63% share in cement and ready-mix concrete producer Asment de Témara and the entire stake in aggregates supplier Grabemaro through its subsidiary Ciments du Maroc. This acquisition positions Ciments du Maroc to expand its operations in Northern Morocco, adding a cement plant with a production capacity of 1.4Mt/yr, two aggregates sites and eight ready-mix concrete plants. The acquisition includes access to an alternative fuels platform enhancing the fuel rate at the newly acquired cement plant to 70% by 2027, reportedly contributing to reduced environmental impact and optimised production-related energy costs. The completion of the transaction awaits regulatory approval from Moroccan competition authorities, and financial details remain undisclosed.

Chair of the managing board of Heidelberg Materials Dominik von Achten said "Our latest investment marks an important step as part of our ongoing portfolio optimisation to strengthen our core markets. Expanding our presence in the attractive Moroccan market while increasing our use of alternative fuels will generate substantial financial synergies and thus help us accelerate our ambitious decarbonisation efforts throughout our sites in the country and grow our local offering of sustainable solutions."

Bangladesh: LafargeHolcim Bangladesh Limited (LHBL) has entered into a memorandum of understanding with conglomerate PRAN-RFL Group. The agreement focuses on the sustainable disposal of non-biodegradable and non-recyclable materials from PRAN-RFL's food products at LafargeHolcim's Chhatak cement plant in Sunamganj.

Corporate finance director Uzma Chowdhury noted its operation of three recycling plants capable of processing 40,000t/yr of discarded materials. He said "Some materials cannot be recycled. These often mix with soil and water, causing significant environmental harm. This is why we are partnering with LafargeHolcim to ensure that non-recyclable materials are managed in an effective and environmentally friendly manner. Now, non-biodegradable and non-recyclable food products produced by Pran-RFL Group will be managed in a sustainable manner at the LafargeHolcim plant."

CEO of LafargeHolcim Bangladesh Mohammad Iqbal Chowdhury said "LafargeHolcim has been working for a zero waste future though its Geocycle wing. Our Chhatak plant is the only integrated cement plant in Bangladesh that produces clinker. This enables us to manage different kinds of ‘waste’ sustainably."

India: Dalmia Bharat announced that its subsidiary, Dalmia Cement (Bharat), has entered into a share subscription and shareholders agreement to acquire a 26% stake in Truere Surya for US$5.3m. Truere Surya will establish a solar power project in Tamil Nadu, aligning with Dalmia Bharat’s goals to become carbon negative by 2040.

The solar project will have a capacity of 128MW. Completion of the transaction is anticipated within 4 - 6 months, pending customary conditions.

Philippines: First Gen will supply electricity from geothermal sources to Holcim Philippines plants in Mindanao. Under the agreement, First Gen subsidiary Energy Development will provide 22% of the energy needs for Holcim's manufacturing facilities in Bunawan, Davao City, and Lugait, Misamis Oriental. This partnership is enabled by the Mindanao introduction of the retail competition and open access programme, allowing significant power consumers to select their electricity suppliers. Earlier in August 2024, Holcim announced an electricity supply agreement with Alsons Power to supply 80% of the energy needs for the two facilities.

First Gen president and chief operating officer Francis Giles Puno said "We are pleased to partner with Holcim Philippines to grow viably while decarbonising. It's not an easy journey to decarbonise and provide for a regenerative future. This requires collaboration not just through supplying power, but also through solutions that maximise and optimise electricity requirements and working to find a pathway towards net zero."