02 December 2016
Elementia completes acquisition Giant Cement 02 December 2016
US: Mexico’s Elementia has completed its acquisition of Giant Cement for US$220m from Cementos Portland Valderrivas (CPV). The board of directors has given its final approval for the purchase of the remaining 55% stake of the US cement producer giving it full control of the company. The transaction gives Elementia three cement plants, three limestone quarries, two aggregate quarries and six cement terminals, adding more than 2.8Mt/yr of cement production capacity.
“Today marks a major milestone for Elementia as we successfully enter the US cement market and take another solid step within our inorganic growth strategy. The work of our transition team is already underway to extract the tremendous value we see in Giant,” said Fernando Ruiz Jacques, chief executive officer of Elementia.
Egyptian government sells three cement licences for US$28m 02 December 2016
Egypt: The Industrial Development Authority (IDA) has tendered three licences to build new cement plants to El Sewedy Cement, South Valley Cement and Cement Egypt. The licences were sold for a total of US$28m, according to the Daily News Egypt newspaper. IDA chairman Ahmed Abdel Razek said that the three cement plants built using the new licences will have a total production capacity of 6Mt/yr. The new capacity is intended to support local infrastructure projects including the construction of a proposed new capital city.
Ohorongo Cement inaugurates plant upgrade 02 December 2016
Namibia: Ohorongo Cement has inaugurated upgrades to its cement plant in Otavi including a composite cement unit and a third packaging line. The US$10.6m expansion is expected to increase the plant’s production capacity to 1Mt/yr. Deputy Minister of Mines and Energy Kornelia Shilunga presided at the event.
The composite cement unit will enable the plant to produce various types of cement. The new packaging line will increase the plant’s packaging rate to 6800bags/hr from 4400bags/hr. Ohorongo Cement has also installed a 2t big bag filling station for special projects, aimed at optimising logistics.
The Namibian Standards Institute also certified Ohorongo Cement’s products at the inauguration for fulfilling the requirements of the Namibian Standard NAMS/EN 197-1:2014. The scope of certification covers five types of cement manufactured by Ohorongo Cement: CEM II A-LL 42.5N, CEM II B-LL 32.5N, CEM II B-V 42.5N, CEM I 42.5R, and CEM I 52.5N. The new certification should allow Ohorongo Cement to enter markets in Zambia and Botswana without additional certification and inspections.
Tanzania: Minister for Industries, Trade and Investments Charles Mwijage has confirmed that the government’s investment arrangement with Dangote Cement that were granted by former President Jakaya Kikwete's administration are still in place. He said that the government would do nothing to compromise Dangote Cement’s investment in the country and described its entry as a ‘game changer’ by reducing the price of cement, according to the Citizen newspaper. The comments were made in response to media speculation regarding a production shutdown at cement producer’s Mtwara plant.
Mwijage said that Dangote Cement could cut its production costs by using local coal or gas. The Tanzania Petroleum Development Corporation has been in negotiations since October 2016 to supply gas to the cement producer. He also added that another cement producer, Engro, is considering building a cement plant and that the government is willing to offer it the same incentives as those given to Dangote Cement.
President Mahama inaugurates Ciments de l'Afrique plant in Ghana 02 December 2016
Ghana: President John Dramani Mahama has inaugurated a 1Mt/yr cement plant in Tema on behalf of Ciments de l'Afrique (CIMAF), a subsidiary of Morocco’s Addoha Group. The project had an investment of Euro60m according to the Ghana News Agency. Construction started in 2014.