Global Cement News

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 Under the new guidelines cement companies must retire at least two tonnes of outdated capacity for each tonne of proposed new capacity in areas classified as environmentally sensitive, according to Caixin Global.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.

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.

Poland: Lafarge Poland has chosen China-based Nanjing Kisen International Engineering as the general contractor for a Euro100m-plus upgrade to its Małogoszcz cement plant. The subsidiary of China Triumph International Engineering will deliver an engineering, procurement and construction (EPC) contract and it intends to select a local Polish subcontractor. This is the first project by the Chinese engineering company in Poland and the European Union.

The first works related to project started in October 2020. First clinker production from the upgrade is scheduled for December 2022 with overall commissioning planned for spring 2023. Part of the investment will be implemented in cooperation with the Krakow Technology Park as part of the Polish Investment Zone. LafargeHolcim says the upgrade project is part of its scheme to reduce its CO₂ emissions by 55% by 2025 compared to 1990 levels.

Tajikistan: Cement producers recorded total production volumes of 3.95Mt in the first 11 months of 2020, up by under 1% year-on-year. Tajikistan Newsline has reported that in 2019 the country produced 4.2Mt of cement and exported 1.5Mt, worth US$68m. The country has an estimated production capacity of 4.7Mt/yr.

Ivory Coast: LafargeHolcim Côte d'Ivoire commissioned a new clinker discharge equipment at its Abidjan cement plant in June 2020. Aumund France supplied the equipment. It consists of a 75,000t-capacity silo, two Aumund KZB pan conveyors with ten gravity discharge gates, four Aumund GF belt conveyors and a dedusting system comprising five filters, as well as the complete electrics and automation package for the new discharge system. The supplier says that it also supervised installation and commissioning of the equipment.