Democratic Republic of Congo: Provision data from the Banque Centrale du Congo (BCC) shows that local cement production grew by 24% year-on-year to 531,000t for the first half of 2018 from 428,000t in the same period in 2017. Consumption grew by 43% to 539,000t from 378,000t. The country currently has a cement import ban in place and no exports have been recorded by the BCC since mid-2015.
Gebr. Pfeiffer expands subsidiary in Egypt
Egypt: Germany’s Gebr. Pfeiffer is expanding its Gebr. Pfeiffer Egypt subsidiary. The local company was founded in 2015 after a sustained presence in the country. The engineering company has now decided to enlarge its subsidiary to meet current and anticipated customer demand. It intends to turn Gebr. Pfeiffer Egypt into a regional hub for Gebr. Pfeiffer customers from across the Middle East and African (MEA) area.
The local company is led by managing director Ahmed Essam. The services offered by the office team will now include sales, production and delivery, project management, supervision and aftersales and additional customer services.
Ambuja Cements approves extension to Marwar Mundwa plant project
India: The board of Ambuja Cements has approved an extension to its Marwar Mundwa integrated plant project in Rajasthan. The clinker production capacity of the plant has been increased to 3.1Mt/yr and an additional 1.8Mt/yr cement grinding capacity has been added. The total investment of the project has been increased to around US$326m. A waste heat recovery (WHR) unit has also been added to the project. Once completed the plant will increase the subsidiary of LafargeHolcim’s production capacity of 31.5Mt/yr.
YTL Cement orders emissions control upgrades from CTP Team
Malaysia: YTL Cement has awarded a turnkey project for air pollution control to Italy’s CTP Team. The project at the Perak-Hanjoong Simen cement plant in Pedang Rengas includes the conversion of an existing PL1 raw mill electrostatic precipitator (ESP) to a fabric filter and the upgrade of an existing exhaust fan.
The work includes converting an existing 740,000m3/hr ESP unit downstream of the kiln and raw mills of Line 1 to a bag filter. The conversion will abide to the current footprint on foundations with the minimum impact on steel structures, ducting and dust transport system. The new filter will reduce the emission limits below 10mg/Nm3 by June 2019. The intention is to meet new government regulations quickly. The unit will also be equipped with CTP’s SWAP technology for the cleaning of bags with low-pressure compressed air. CTP Team will work with local partner Shinco Industrial Equipment on the project. No value for the deal has been disclosed.
Philippines: Cemex Philippines has resumed operation of both kilns at its Barangay cement plant in Cebu. It also said that it would cancel the planned closure of its Davao terminal and a temporary layoff of workers, according to the Manila Standard newspaper. The cement producer said it made the decision to resume its Davao operations as it continued to cooperate with APO Land & Quarry, which is the company’s principal raw material provider, and the national and local authorities to address the situation in Naga City, Cebu. The company’s decision to scale back its operations in late November 2018 followed a suspension of APO Land and Quarry after a landslide.
Pakistan: The Sindh High Court has ordered the provincial government to take possession of around 1100 acres of land of Rohri Cement’s plant while a dispute concerning the lease of the land is decided. The Sindh government has argued that the lease of land was illegal was the cement producer’s representatives have asked the court to grant a grace period, according to the Dawn newspaper. The case continues.
Minister backs Hetauda Cement
Nepal: Matrika Yadav, the Minister for Industry, Commerce and Supplies, has offered support to Hetadua Cement at the inauguration of a work program at its plant. However, he said that any upgrades to the plant depending on other parties, according to the Republica newspaper. The state-owned company has made a profit in recent years after a period of decline.
Yara simplifies operating model
Sweden: Yara is simplifying its operating model to three segments from the start of 2019. The change follows its decision to focus its strategy on the crop nutrition market.
Its Sales & Marketing segment will comprise all of Yara's existing Crop Nutrition business units. Former industry segment divisions Base Chemicals, Industry Reagents and Animal Nutrition (excluding South Africa) will also be transferred to it. Its New Business segment will include businesses to establish commercial innovation within decarbonisation and the circular economy, a business for autonomous logistics operations including the Yara Birkeland autonomous electric ship project and a portfolio of businesses to cover Environmental Solutions, Mining Applications, Animal Nutrition South Africa and Industrial Nitrates.
"Earlier this year, we set out our strategy as the crop nutrition company for the future, and we are now adapting and simplifying our operating model accordingly. Following a period of substantial investments, our main focus going forward will be on operational excellence, innovation and growing scalable crop nutrition solutions," said Svein Tore Holsether, president and chief executive officer (CEO) of Yara International.
Yara's offerings to the cement industry include NOx emissions control products.
UK: The British Lime Association (BLA) has published its 2018 Sustainable Development Report. The UK lime sector has responded to improved conditions in the domestic market, and the increased demand from the iron and steel sector in 2017. Exports of lime by BLA Members have increased by 30% since 2006 and made up 26% of sales in 2017. Following the launch of the MPA Charter in 2017, the BLA Sustainable Development Report is now set out to align with the seven MPA strategic priorities.
Research from the Global Carbon Budget (GCB) this week forecasts that fossil CO2 emissions from the Indian cement industry will rise by 13.4% in 2018. This is in stark contrast to the smooth mood music from the Cement Sustainability Initiative (CSI) last week, which stated that the local industry was on track to meet its commitments towards decarbonisation. So what’s going on?
The situation is akin to the fable about the blind men and the elephant. Both the GCB and the CSI are approaching the emissions of the Indian cement industry from different directions. The GCB is using available data (including data from the CSI) to try and estimate what the CO2 emissions are. It takes cement production data using a method adapted from a paper published by Robbie M Andrew of Norway’s CICERO Center for International Climate Research in 2018 and then it takes into account the types of cement being produced and the clinker factor. This is then converted into an estimated clinker production figure and this is then converted into a CO2 figure.
However, the CSI meanwhile actually has direct data from its local members. At the moment these include ACC, Ambuja Cements, CRH, Dalmia Cement (Bharat), HeidelbergCement, Orient Cement, Shree Cement, UltraTech and Votorantim Cimentos. As part of the Getting the Numbers Right (GNR) database it collects production and sustainability related data from its members. However, for reasons of competition, it maintains a year gap before it reports its data. This means that the GCB can report its estimate ahead of the CSI data.
There is nothing to stop the CSI reporting its progress against its targets though. And this is exactly what it has done in India with the recent document outlining progress towards the 2030 targets from the low carbon technology roadmap (LCTR). The headline CSI metric was direct CO2 emission intensity. According to the CSI, this has fallen by 32kgCO2/t cement to 588kgCO2/t cement in 2017 mainly due to an increased uptake of alternative fuel and blended cement production, as well as a reduction in the clinker factor. This is bang on target with its aim of hitting 320kgCO2/t in 2050 (around 560 kgCO2/t in 2020, assuming a linear decrease).
The problem is that cement production growth in India suddenly sped up in 2018. Global Cement estimates that India’s cement production is set to rise by 7% year-on-year to 296Mt in 2018 from 280Mt in 2017. Data from the Ministry of Commerce & Industry shows that cement production rose by nearly 16% year-on-year to 244Mt in the first nine months of 2018 from 211Mt in the same period in 2017. Along these lines the Cement Manufacturers Association of India has forecast growth of 10% in the 2019 financial year to the end of March 2019. It reckons that this is the fastest growth in the sector since the industry slowed down in 2011.
India’s per capita cement consumption is low (222kg/capita) and its urban population is also low (around 30%). That’s a lot of cement that’s going to be used as it shifts to developed global rates and already it’s the globe’s second biggest cement market. The CSI was right to get in there eight years ago. Yet, the question now is can CO2 emissions decrease whilst the market grows? Research in the US suggests that the real reason for emission drops in the 2010s was the economic recession, not policy shifts or changes in the energy mix. If that holds in India then the cement industry will have a hard time reducing its carbon footprint irrespective of the work the CSI has done.