Ukraine: CRH has invested €465m in Ukraine since entering the country in 1999, €74.5m of it since the start of Russia’s invasion in February 2022. CRH Central and Eastern Europe president Guillaume Cavalier noted the double role of locally-produced cement in generating employment and state revenues.
Cavalier said "Investing in the expansion of production now is crucial to ensure the potential growth of the Ukrainian cement market following its integration into the EU."
Wärtsilä signs service contract for power plant at Mangal Industries cement plant in Nigeria
Nigeria: Finland-based Wärtsilä has signed a 10-year operations and maintenance (O&M) agreement for a captive power plant that provides the energy for Mangal Industries’ cement plant located in Kogi State. The cement plant has limited access to the local electricity grid and its power plant operates with five Wärtsilä 34DF dual-fuel engines delivering an output of 50MW. The O&M agreement is designed to ensure that the facility can reliably maintain its cement production target of 3Mt/yr.
The 10-year agreement starts immediately as the unit commences operations in the second quarter of 2024. It will run on liquid fuel initially but then switch to gas operation when a natural gas pipeline is commissioned. The power plant’s dual-fuel engines can be operated both on liquid fuel and natural gas. They could also be potentially converted to operate with low- or zero-carbon fuels in the future subject to availability.
Patrick Borstner, Director, Operations Africa at Wärtsilä Energy said, “Wärtsilä now has more than 400MW of installed capacity for the cement industry in Nigeria, and we are operating three captive power plants in three different states. This successful track record clearly indicates our capabilities and highlights the added value we can deliver to our customers through our experience and expertise in supporting their operations.”
Mangal Industries signed a contract with China-based Sinoma International Engineering in 2021 for the construction of a 3Mt/yr new integrated cement plant. Construction at the site commenced in mid-2022.
Zambia: Chilanga Cement has started lime production at its Ndola plant. The new lime unit at the plant has a production capacity of 108,000t/yr, according to the Times of Zambia newspaper. The project had an investment of US$5m. The subsidiary of Switzerland-based Holcim has launched a new lime produced called ‘PAWA Lime’ targeted at the mining and industrial sectors.
Spain: The Spanish cement manufacturers' association, Oficemen, and Siemens Energy have signed a two-year collaboration agreement to develop decarbonisation techniques and solutions for Spain's cement industry. The agreement was signed by Siemens Energy's Industrial Sales Director for Southwest Europe, Angel Cillerruelo, and Oficemen's General Director, Aniceto Zaragoza.
Zaragoza said "The Spanish cement industry's commitment to climate neutrality by 2050, outlined in our roadmap, includes exploring the most effective levers for emission reduction, such as the decarbonisation of energy sources or the comprehensive energy management of industrial processes."
Kenya: Cemtech, a subsidiary of Devki Group, has submitted an Environmental Impact Assessment report to the National Environment Management Authority for a new clinker plant in Kitui County. The company aims to receive approval from the Kenyan government to establish the plant, according to the Business Daily newspaper. The company says that the plant will boost local cement production and increase employment opportunities.
Germany: Heidelberg Materials has reported its 2024 quarterly financial report for January – March 2024. Revenue for this period was €4.48bn, representing a year-on-year decrease of 8.1% from €4.89bn. Result from current operations before depreciation and amortisation was €542m, a year-on-year decrease of 2.6% from €557m. Poor weather conditions in key regions and a reduced number of working days in the first quarter of 2024 contributed to declining sales volumes, according to the company.
Dr Dominik von Achten, Chair of the Managing Board of Heidelberg Materials, said "Despite declining revenues compared to a strong prior-year quarter, we have further increased our profitability. This was in particular due to the very good start to the year in North America and strict cost management. The good start allows us to look forward confidently to the rest of the year.”
India: Birla Corporation recorded a significant increase in its consolidated net profit, rising by 127% to US$23m for the quarter ending March 2024. The company reported a consolidated revenue of US$321m, up 6.8% year-on-year. This was reportedly due to reduced power and fuel costs.
Chair Harsh Vardhan Lodha said "As cement consumption in India continues to grow, Birla Corporation is rolling out its next phase of capacity expansion to increase cement production to 25Mt/yr by 2026-27."
Global: The Global Cement and Concrete Association (GCCA) has announced new collaborations between global cement manufacturers and technology start-ups, focusing on the development of low carbon concrete. Four start-ups—EnviCore in Canada, Queens Carbon and Chement, both in the US and NeoCrete in New Zealand—were part of the 2023 GCCA Innovandi Open Challenge and have now partnered with cement manufacturers. These partnerships aim to reduce the carbon footprint of concrete.
The startups will receive access to industry plants, labs and networks to fast-track their technologies. They will also demonstrate their progress on 6th June 2024 in Bangkok, Thailand, during the GCCA's CEO and Leaders Conference. The association continues its efforts under the 2050 Net Zero Concrete Roadmap, with 29 new start-ups shortlisted this year to work on carbon capture, utilisation and storage (CCUS) technology.
Vietnam: Amid weak domestic demand and rising costs of electricity and coal, the Vietnam Cement Association (VNCA) is focusing on boosting domestic consumption. The current domestic supply of cement is estimated at 60 – 62Mt, far exceeding demand. The excess 30Mt is planned to be exported, with cement and clinker exports already rising in April 2024 by 12% year-on-year to 2.85Mt. In the first quarter of 2024, exports grew by 4.6% to 10.9Mt compared to the same period in 2023.
The VNCA notes ‘challenging’ conditions in major markets, including China's oversupply and protectionist measures in the Philippines, Central America and South Africa. To counter these hurdles, the VNCA proposes several government-led initiatives to increase domestic consumption and help manufacturers, including tax relief on clinker exports and financial incentives such as reduced interest rates for local producers.
Pakistan: The cement industry saw a slight decrease in cement dispatches in April 2024, falling to 2.94Mt from 2.95Mt in April 2023, according to data from the All Pakistan Cement Manufacturers Association. Despite an 8% fall in local sales to 2.33Mt, an increase in exports by 46% to 614,264t in April 2024 partially offset this decline. Specifically, north-based plants saw a 4.8% reduction in dispatches to 2.1Mt in April 2024, while south-based plants experienced a 12.7% year-on-year increase to 854,911t. Export volumes also reflected regional differences, with north-based exports increasing by 73% and south-based by 39%.
In the 2024 financial year so far, total cement dispatches have risen by 2.5% to 37.5Mt, driven by a 65.4% increase in export dispatches to 5.72Mt compared to April 2023. However, domestic sales have declined by 4.1% to 31.7Mt. The north-based plants dispatched 26.2Mt domestically, a 3.6% year-on-year decrease, while south-based plants dispatched 5.55Mt, down by 6.5% from April 2023.
A spokesman for the All Pakistan Cement Manufacturers Association said "The government needs to announce industry-friendly measures in the upcoming budget that can boost construction activities in the country. We need to increase our capacity utilisation to bring in economies of scale and to control our operations costs in order to reduce the overall impact on the end consumer.”