India: India Ratings and Research has forecast a drop of cement demand of 10 – 15% in the 2021 financial year due to coronavirus lockdowns in some states and flooding in eastern and central regions in the second quarter, according to the Economic Times newspaper. The research report attributed this to oversupply of cement in eastern regions. It also added that companies with more rural markets were likely to benefit from a quicker recovery.
Taiheiyo Cement installs Aumund elevators and a conveyor at Ofunato plant
Japan: Taiheiyo Cement has installed three BWZ bucket elevators and a Louise TKF drag chain conveyor supplied by the Hong Kong-based subsidiary of Aumund at its new power plant at Ofunato. The cement producer uses both biomass and coal at the plant.
Two elevators and the drag chain conveyor are used to transport palm kernel shells (PKS) and palm empty fruit bunches (EFB), which are used as alternative fuels in the power plant. Each has a capacity of up to 150t/hr. The conveying concept is designed so that the different materials are kept apart and enter the silo buffer tanks separately. The third bucket elevator is used for coal handling. It is a gravity discharge type BWZ-S elevator with a capacity of up to 35t/hr.
Sumitomo Osaka Cement working on CO2 mineralisation project
Japan: Sumitomo Osaka Cement is working on a three year CO2 mineralisation research project from 2020 to 2022 with Yamaguchi University, Kyushu University and the New Energy and Industrial Technology Development Organisation (NEDO). The initiative plans to develop the technology to build a process that captures CO2 exhaust from cement and power plants and then mineralises it with calcium-containing waste materials. It intends to use the process practically in 2030.
LafargeHolcim reports return to normality as lockdowns end, despite punishing first half
Switzerland: LafargeHolcim says that net sales in each of its five regions ‘returned to prior-year levels by the end of June 2020’ following the easing of coronavirus-related lockdowns. Its net sales fell by 10.8% year-on-year to Euro9.95bn in the first half of 2020 on a like-for-like basis due to the ‘severe’ impact of the lockdowns on construction sites in several of its main operating countries. It also blamed negative currency effects for an additional fall in sales. Its recurring earnings before interest and taxation (EBIT) dropped by 22% to Euro1.11bn. Its net debt decreased by 15.8% to Euro9.91bn from Euro11.8bn. Cement sales volumes fell by 13.1% to 87.2Mt, aggregates by 6% to 114Mt and ready-mix concrete (RMC) by 18.6% to 19.2Mm3.
Group chief executive officer Jan Jenisch said, “Our half-year results demonstrate the great resilience of our business. I’m encouraged by our team’s agility to weather the storm with the rapid execution of our ‘Health, Cost & Cash’ action plan, effectively driving cost savings ahead of expectations, improving net working capital and delivering record free cash flow.” He added, “The peak of the crisis is behind us. We expect a solid second half of the year based on June’s full recovery, the trend of our order book and upcoming government stimulus packages.”
By region the group noted the most severe coronavirus-related disruption in Asia-Pacific despite China delivering a full recovery and growing sales volumes by the end of the second quarter. In Europe lockdowns in the UK and France had a particular impact and it said that, “volumes suggest a V-shaped recovery in June 2020 for the majority of markets, except in the UK.” Significant impacts were noted in Ecuador, Colombia and El Salvador in Latin America. Sales volumes declined in Algeria, Egypt, Iraq and South Africa in the group’s Middle East Africa region but Nigeria delivered a ‘resilient’ performance. Finally, North America was the groups best performing region with slight dips in cement and aggregate sales volumes but a rise in RMX and rising recurring EBIT. This was attributed to, “fast and effective cost management in the US.”


