Displaying items by tag: diesel

Russia: SibCem’s first vice president Gennady Rasskazov says that the local production cost of cement is expected to rise by 30% year-on-year in 2022 due to the new ‘economic circumstances’ the country faces. He added that, due to economic sanctions, the price of coal rose by 76 - 86%, goods and materials by 55%, diesel by 30%, oils and lubricants by 83% and transport and logistics costs by 14 - 24% in the first quarter of 2022. The average growth in worker pay at SibCem will rise by 30% in 2022 as the company has implemented indexed salaries. Rasskazov made the comments at a meeting with cement producers, consumers and local officials at the Novosibirsk State University of Architecture and Civil Engineering.

India: JK Lakshmi Cement’s full-year consolidated sales were US$697m in its 2022 financial year, up by 14.6% year-on-year from US$608m in the 2021 financial year. The group’s net profit was US$61.5m, up by 13.4% from US$54.2m.

The producer said "Despite unabated increases in petcoke and diesel prices, which are hovering at all-time high, JK Lakshmi Cement was able to achieve healthy profitability through continuous improvements in operational efficiencies, energy costs, better product mixes and higher volumes."

Australia: Boral has updated the market that ‘exceptional’ wet weather on the East coast of Australia ‘significantly’ disrupted its New South Wales and South East Queensland operations in February and early March 2022. The Australian newspaper has reported that CEO Zlatko Todorcevski has forecast that the disruption to cement production and deliveries will have a negative impact of US$17.1m on the producer’s earnings in the first quarter of 2022. Coal and diesel costs have also risen ‘sharply’ so far in the quarter, to partly offset which the company has raised its cement prices. It now forecasts full-year earnings from continuing operations, excluding property, of US$108 – 115m.

Nigeria: BUA Cement’s Sokoto cement plant has resumed operations following a fire that killed three workers. The Sun newspaper has reported that the fire began at a diesel storage tank depot near to the plant, where third-party contract workers were welding a diesel storage tank. The group said that it activated a swift response in order to prevent any escalation of the incident.

Vietnam: Cement producers have raised their prices due to mounting coal costs. In October 2021 Bim Son Cement increased the cost of its products by 6%, according to the Viet Nam News newspaper. Other manufacturers have done likewise. Data from the Vietnam Association of Construction Contractors shows that local coal prices have grown by 7 – 10% recently. Coal represents around 40 – 45% of the production cost of cement. Prices of diesel and additives have also risen.

Jordan: The country’s industrial chambers have made a statement saying that most cement plants are charging ‘average’ prices for cement despite recent rises in energy costs due to imported coal and diesel. In a joint statement the group’s said, that although some plants have increased the price of cement, it does not reflect the increase in real cost to producers, according to the Jordan News Agency. The price of cement has reportedly risen by 12% recently.

The industrial chambers noted that the sector is, “keen to stabilise commodity prices locally and maintain their sustainability." It added that it accomplished this in the interests of citizens during the Covid-19 crisis despite the high price of raw materials. The statement also noted that the country has a cement production capacity of 10Mt/yr but the local market only uses 3Mt/yr.

Bangladesh: Bashundhara Industrial Complex will supply up to 45,000t of cement for the construction of a dual fuel-fired combined cycle power station at Meghnaghat in Narayanganj. It has signed a deal with China Energy Engineering Group Northeast No 1 Electric Power (NEPC) for the project. The power plant will have a net generation capacity of 590MW using regasified liquid natural gas or 541MW using high-speed diesel.

Iraq: Al Shumookh Lucky Investments, a subsidiary of Pakistan’s Lucky Cement, has ordered a power pant from Finland’s Wärtsilä for its Najmat Al-Samawa cement plant. The equipment is scheduled for delivery towards the end of 2019, and the plant is expected to become fully operational during the third quarter of 2020. No price for the order has been disclosed.

The power plant will operate on two Wärtsilä 32 engines running on locally-available heavy fuel oil (HFO) with diesel as a back-up fuel. The engine is designed to operate with reduced fuel and water consumption in hot climates.

India: JK Lakshmi improved its fuel consumption to 702kCal/kg of clinker in the October – December 2018 quarter from 705kCal/kg of clinker in the same period in 2017. Its revenue rose by 3.5% year-on-year to US$380m in the nine months to 31 December 2018 from US$368m in the same period in 2017. Its earnings before interest, taxation, depreciation and amortisation (EBITDA) fell by 8% to US$45.4m from US$49.4m. The company said that it had been ‘facing pressure’ from increased petcoke and diesel prices. It also said that a 20MW thermal power plant and its Orissa grinding plant project were on schedule and are expected to be commissioned by March 2019.

India: Ramco Cements’ earnings before interest, taxation, depreciation and amortisation (EBITDA) fell by 14% to US$102m in the nine months of 31 December 2018 from US$119m in the same period in 2017. Its revenue rose by 15% to US$510m from US$445m. Sales volumes of cement increased by 19% to 7.83Mt from 6.58Mt. The cement producer said that sales had increased in southern and eastern markets. It blamed its falling earnings on rising diesel price that negatively affected transport costs for both raw and finished materials.