Displaying items by tag: Coal
Indocement preparing for lower growth in 2019
10 April 2019Indonesia: Indocement is aiming for 4% growth in sales year-on-year to around US$1.12bn in 2019 due to sluggish cement consumption. This compares to 5% growth in revenue in 2018. The subsidiary of Germany’s HeidelbergCement expects demand to increase in the second half of 2019 following elections, according to the Jakarta Post newspaper. It predicts that cement consumption will be driven by government infrastructure projects and the construction of residential projects and buildings. It plans to spend up to US$70m towards setting up a quarry in West Java and completing new cement terminals.
The cement producer is also preparing to increase its thermal substitution rate with alternative fuels like refuse-derived fuel (RDF). This follows a 50% rise in production costs due to coal in 2018. In September 2018 to agreed to buy 500t of RDF from the West Java government.
Elektroprivreda Srbije builds river terminal in Serbia
09 April 2019Serbia: Elektroprivreda Srbije, a government-owned power company, has completed a Euro14m terminal on the River Danube for its Kostolac B coal-fired power plant. The unit will be use to transport 105,000t/yr of synthetic gypsum and 157,000/yr of fly ash. It will also process limestone. The terminal was built as part of the first phase of a credit arrangement between Serbia and China.
Vietnam: A 8.36% rise in electricity prices in late March 2019 is set to cause an increase in the price of cement. The Vietnam Cement Industry Corporation (VICEM) said that cement producers had also been hit by an increase in coal prices, according to the Vietnam News Agency. The rise in the price of coal follows a lack of supply from the Vietnam National Coal and Minerals Industry Holding Group (VINACOMIN) leading to producers to import coal. Cong Thanh Cement has not raise its retail prices but has charged distributors more. Nguyen Quang Cung, chairman of the Vietnam Cement Association, said that producers were not surprised by increase in electricity prices and had been preparing for it.
Shree Cement shuts down subsidiary in Singapore
15 March 2019India/Singapore: Shree Cement has closed down Shree Global, its subsidiary in Singapore. It said it had struck the company off the Registrar of Companies in early March 2019. Previously, the cement producer said that the subsidiary was being used to trade coal, petcoke, minerals, bags and other commodities.
Coal prices drag on profits at Fecto Cement
27 February 2019Pakistan: Rising coal prices have reduced the profit at Fecto Cement in the half-year to 31 December 2018. Its profit after tax nearly halved to US$0.75m from US$1.63m. Its net turnover rose slightly to US$17.8m. Local cement sales volumes dropped by 9% to 0.32Mt from 0.35Mt and exports declined by 33% to 29,500t from 44,300t.
Pakistan: Shariq Siddiqui, chief executive officer (CEO) of Pakistan International Bulk Terminal (PIBT), forecasts that coal imports for cement producers will rise to 10Mt/yr in 2020 from 8Mt/yr at present. This growth will be driven by new cement production capacity that is being commissioned, according to the News International newspaper. Overall, total coal imports are expected to grow to 30Mt/yr in 2020 driven by new coal-fired power stations.
Turkey: Nihat Özdemir, the chair of Limak Holding and president of the Turkish Cement Manufacturers’ Association (TÇMB), has reassured the construction industry that the price of cement will not rise too sharply in 2019. He denied that the price would rise by up to 40%, according to the Hürriyet Daily News newspaper. However, he did confirm that prices would increase due to growing input costs and negative foreign currency exchange effects. Özdemir said that electricity costs had risen by 76%, coal by 182% and petroleum coke by 170%.
In late December 2018 the Construction Contractors Confederation (İMKON) complained about an expected 40% price rise in cement products and it called on the government to intervene. The Independent Industrialists’ and Businessmen’s Association (MÜSİAD) has also issued a similar warning.
Mechel extends coal supply deal with Jidong Cement
20 December 2018China: Russia’s Mechel says it has prolonged a coal supply contract with Jidong Cement until the end of 2019. The mining and steel company will supply 2Mt/yr of thermal coal mined at the company’s Elga and Yakutugol mines in South Yakutia. Monthly supplies will vary from 100,000 to 150,000t of coal products. Prices will be adjusted on a monthly basis following negotiations and on the basis of index rates.
“This is a third major contract signed by Mechel and Jidong Cement. I am sure that our ties will continue to develop in a constructive manner in the future. It is also important to note that Jidong Cement is a key customer of Elga’s thermal coal in Asia. In 2017 we supplied our Chinese partners with 1.9Mt and another 1.4Mt in 2018. In 2019 we plan to export thermal coal from Elga in comparable volumes,” said Mechel Mining Management’s chief executive officer (CEO) Pavel Shtark.
Fire at Argos USA’s Martinsburg cement plant
28 November 2018US: A fire at Argos USA’s Martinsburg cement plant in West Virginia is being investigated. The fire followed an explosion at the site on 25 November 2018, according to the Herald-Mail newspaper. A spokesman for the cement producer said that the incident occurred in the coal-mill dust-collector bag house. Although damage estimates are not available yet, repairs following the fire include replacing blast doors. No injuries have been reported. Production at the plant has been suspended while the cause of the fire is investigated.
Guangdong Tapai orders two coals mills from Loesche
17 October 2018China: Guangdong Tapai has ordered two coal mills from Germany’s Loesche for its two 10,000t/day clinker production lines in Jiaoling, Meizhou in Guangdong. This is a repeat order, following an order for two LM 35.3 D coal mills that was made in 2015. The 3-roller mill grinds 50t/hr of pulverised coal to a fineness of 3% with a sieving residue of 0.08 mm. The installed power is 1200kW. The order has been placed through Loesche Shanghai and the two newly ordered coal mills are expected to be delivered in April 2019.