Global Cement News

India: Christian Pfeiffer has appointed Krishna Mohan Gundapaneni as its Area Sales Manager for South East Asia.

Gundapaneni previously worked for FLSmidth in India from 2008 in a variety of sales roles starting as its Deputy General Manager - Project Sales. He became the equipment supplier’s Area Sales Manager - Pyro & Grinding - Capital Products at the start of 2024. Prior to working for FLSmidth he was the Deputy Manager – Marketing for Fives Cail KCP. He holds a bachelor of technology in mechanical engineering from the Velagapudi Ramakrishna Siddhartha Engineering College and a master of business administration from Andhra University.

Saudi Arabia: Qassim Cement Company (QCC) has successfully completed the acquisition of Hail Cement Company (HCC) for US$378m. The transaction, initially announced on 25 September 2022, involved increasing QCC's capital to facilitate the acquisition of all HCC shares. The acquisition follows a binding implementation agreement reported by HCC on the Saudi Exchange.

Kazakhstan: Steppe Cement saw a notable decrease in net profit to US$4.5m in 2023, down from US$17.9m in 2022. The company also reported a decrease in revenue to US$81.8m from US$86.7m in 2022, largely due to competitive pressures and logistical challenges, that affected exports. Despite these hurdles, domestic sales grew by 4%, though exports nearly ceased, reflecting the new capacities in neighbouring Uzbekistan which have driven down prices and diminished profits from exports.

The country's cement market contracted slightly to 11.5Mt in 2023, with per capita consumption settling at 575kg. The local cement industry has balanced demand and production, but seasonal fluctuations continue to affect the market, particularly in northern regions. Production costs increased by US$8m and the company has responded by increasing capacity by 0.1Mt with a US$3.1m capital expenditure aimed to enhance efficiency at its facilities. Looking ahead to 2024, an additional US$2.4m is earmarked for further improvements.

Spain: Heidelberg Materials, the owner of Cementos Rezola, has announced a restructuring plan that will affect 56 employees, roughly half of the workforce at the Añorga plant in Donostia. This decision comes as part of an employment regulation filing (ERE) linked to the cessation of clinker production in a move towards decarbonising cement manufacturing.

The company has proposed 15 early retirements, 30 internal relocations (to other plants within the group) and 11 external relocations. Unions have clarified that of the internal transfers, 15 positions are offered at the Arrigorriaga plant in Bizkaia. Management stated that those not interested in relocation options within the group will be offered external relocation solutions and can avail of measures the company will implement to assist in finding new employment in the labour market.

The company said “The ERE targets positions that are no longer required as a result of the cessation of clinker production, necessary to meet decarbonisation obligations.”
Despite the significant impact of the ERE, the company highlighted that this represents a proportion ‘substantially lower than the decrease in activity volume’ at the Añorga plant. It also confirmed plans to continue cement production in Añorga using clinker produced at the ‘more efficient plant in Arrigorriaga’.

This transition will support a €32m investment from 2024 to 2026 aimed at decarbonising both plants. Half of this investment will be allocated to the Añorga plant to transform it into a facility specialising in ‘sustainable’ cement.

Germany: Rohrdorfer has started operation of a new photovoltaic (PV) unit at its Rohrdorf cement plant near Rosenheim in Upper Bavaria. The rooftop PV installation comprises 1000 modules, covers around 2000m2 and has a peak output of 400kW. The construction time of the solar panels took five weeks. Modules supplied by Hecker Solar were installed by Elektro Ecker.

The cement plant has produced around one third of its electricity requirements via a waste heat recovery unit since 2011. Rohrdorf Group aims to generate 30% of its electricity from renewable sources as a whole by 2033.