Senegal: Aumund Group says that it is supplying conveying equipment to a new production line that will be built at Ciments du Sahel’s Kirene plant. The order package includes 23 bucket elevators, seven pan conveyors, eleven drag chain conveyors, two Samson material feeders, four Centrex silo discharge machines and 19 silo discharge gates. The machines will operate in all stages of the production process, from raw materials discharge to conveying between the clinker silo and the cement mill, and in the packing plant. Supply will be made in several tranches between March and June 2021. Commissioning is planned for the first quarter of 2022.

China-based Sinoma International Engineering and its subsidiary CBMI Construction are the main contractors for the project. Aumund France and Aumund China, with support from Aumund Foerdertechnik, are the main divisions of Aumund working on the upgrade.

China: The Ministry of Industry and Information Technology (MIIT) has released tougher draft rules regulating how cement producers should decommission old production capacity before they build new capacity. Under the new guidelines cement companies must retire at least two tonnes of outdated capacity for each tonne of proposed new capacity in areas classified as environmentally sensitive, according to Caixin Global. Previously, the ratio was 1.5:1. In non-environmentally sensitive areas, at least 1.5 tonnes of obsolete capacity should be retired for every tonne of new capacity, an increase from the current ratio of 1.25:1.

The proposed rules are currently open for public comment. However, cement companies are reportedly hurrying to obtain approval for new capacity projects approved under the current, easier regulations. The Chinese Cement Association has commented that some of the newly proposed projects ‘challenge’ the effectiveness of the government’s intent with the new measures and it has recommended a ban on production swaps across regions. The new rules also include a clause intended to restrict the use of so-called ‘zombie’ capacity in the swapping process by limiting eligibility to productions lines that have been operated for two or more consecutive years since 2013. Such redundant capacity is reportedly mainly concentrated in northeast China, Inner Mongolia and Xinjiang. No date for the ratification of the new rules has been disclosed.

US: HeidelbergCement is considering selling assets in California. Bloomberg News reports that it is working with Morgan Stanley on a potential divestment and it hopes to raise around US$1.5bn. It is reportedly approaching competitors including Martin Marietta Materials, Cemex, CRH, Summit Materials and LafargeHolcim, as well as companies in China and Latin America. The first bids are not expected until early 2021.

The Germany-based building materials company operates three integrated cement plants in California, as part of its Lehigh Hanson subsidiary, in addition to concrete and aggregates units. Divestment of these assets would focus the company instead on markets in the East Coast, Midwest and Canadian regions of North America.

In July 2020 HeidelbergCement announced that it had reduced its value of its assets by Euro3.4bn following a review. It blamed this on reduced demand for building materials due the coronavirus pandemic and the devaluation of its Hanson subsidiary in the UK, in part related to the UK’s exit from the European Union.

Nigeria: China-based Sinoma CBMI Construction has signed an agreement with BUA Cement to build three 3Mt/yr plants in Adamawa, Edo and Sokoto states respectively. When completed by the end of 2022, the projects will bring the producer’s installed capacity to 20Mt/yr, according to the Vanguard newspaper.

The deal is Nigeria’s largest ever single contract for the construction of cement plants. the project will cost US$1.05bn.

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