Displaying items by tag: Indonesia
ThyssenKrupp to build 1.7Mt/yr cement plant in Indonesia
22 March 2013Indonesia: ThyssenKrupp Polysius has won a contract from PT Holcim Indonesia Tbk., to build a second cement plant near the town of Tuban on the northern coast of the island of Java. The contract is worth around US$250m and the plant is scheduled to start production in 2015. Tuban 1, the initially-awarded project, is due to begin operation in June 2013. Tuban 2, the newly-awarded project, and Tuban 1 will each have a capacity of 1.7Mt/yr of cement.
"This follow-up order is proof of our good partnership with the customer and shows that our technological solutions and leading engineering expertise are supporting Holcim in the growth of the Indonesian cement industry," said Dr Hans Christoph Atzpodien, CEO of the ThyssenKrupp Polysius' Industrial Solutions business area. "We are firmly focused on the markets of the future."
For both plants ThyssenKrupp Polysius is supplying state-of-the-art equipment covering raw material preparation, clinker production, cement loading and fuel preparation. A POLAB laboratory automation system is being installed for quality monitoring and control.
The Indonesian cement market is predicted to grow at a double-digit rate in 2013. With a production capacity of 8.2Mt/yr Holcim Indonesia is one of the country's top three cement manufacturers.
Indocement cuts cement exports to meet domestic demand
20 March 2013Indonesia: PT Indocement Tunggal Prakarsa reportedly reduced its exports by 84.5% in 2012 in order to meet rising domestic demand for cement in Indonesia, according to a company spokesman.
The state-run company cut its exports to 0.1Mt in 2012 from 0.6Mt in 2011, and witnessed a rise of 12.3% in its domestic sales, which reached 17.9Mt in 2012. In 2011 the company sold 15.4Mt of cement at home.
In 2012 the company's cement brand, Tiga Roda, accounted for a major part of its market share with sales of the branded cement rising by 32%. In 2011 the company's brand covered 31.5% of Indocement's entire market share.
The positive performance in the company's cement sales in 2012 was due to Indocement's strategic expansion plans that involved building new cement plants in the country. In addition, the cement producer has signed an initial agreement on equipment provision services, construction and implementation with the Chinese Sinoma Group.
Indocement reports 32% rise in income to US$491m in 2012
13 March 2013Indonesia: PT Indocement Tunggal Prakarsa has reported that its net income rose by 32% to US$491m in 2012 from US$372m in 2011. The cement producer attributed its success to Indonesia's growing middle class, strong demand in the domestic residential market and an increase in the domestic price of cement of 7%.
The rise follows the highest domestic sales volumes of cement recorded for Indocement of 17.9Mt in 2012, a 16% rise compared to 16Mt in 2011.
Its earnings before interest, taxes, depreciation and amortisation rose by 30% to US$686m in 2012 from US$524m in 2011. Although national sales growth of cement in Indonesia slowed to 14.5% in 2012, Indocement grew its market share to 32%.
In its outlook for 2013 Indocement commented that it believes that domestic demand will continue to grow following new national infrastructure projects. The producer has a 4.4Mt/yr brownfield plant in Citeureup ready for completion in the third quarter of 2015. It has signed a preliminary agreement with Sinoma Group for the construction of a new US$671m plant in Citeureup. It is also considering plans to build two new greenfield 2.5Mt/yr cement plants.
New Indonesian plant for Siam Cement
28 February 2013Indonesia: Thai cement giant Siam Cement Group (SCG) will further expand its presence in Indonesia by building a new cement plant and acquiring more companies in the country, according to a company executive.
Chief finance officer Chaovalit Ekabut said that SCG expected to start the construction of a greenfield cement plant in Sukabumi, West Java with a total investment of US$356m."We expect to start construction this year and finish by 2015. We hope to commence operations at this cement plant in the second half of 2015," Chaovalit said on 27 February 2013.The cement plant will have a production capacity of 1.8Mt/yr.
Chaovalit added that SCG had decided to be careful and make small-scale investments in the cement market in Indonesia, which has grown rapidly on the back of increased housing demand and infrastructure projects.
"Some projections calculate that cement capacity (in Indonesia) may reach 100Mt/yr in another five to six years. This is very dangerous because you face a kind of bubble. When the demand seems to be very high, people build more and more plants and then everything stops and you end up having so much extra capacity," Chaovalit said."I hope we shall not fall into the same trap again. Companies should look at the market and continue to invest to serve the demand and not to overexploit something that is not real."
Indonesia: Indonesia's cement consumption is expected to rise by more than 10% year-on-year to 62Mt in 2013, compared to 55Mt in 2012. Tuti Rahayu, the Industry Ministry's director for downstream chemical industry, informed the Antara News agency that the increase in demand for cement was due to the country's growing infrastructure development.
According to Tuti, consumption of cement in Indonesia grew by 14.5% year-on-year in 2012 to 55Mt compared to 48Mt in 2011. Demand in the eastern parts of country grew the most rising by nearly 54%. The country has had to build at least two new cement factories each year to meet surging demand. Tue added that a mixture of state-run and private companies have started building new factories across Indonesia in Papua, Sulawesi, Sumatra and Java.
Sinoma secures US$350m Indonesian supply contract
16 January 2013Indonesia: China National Materials Company Limited (Sinoma) has said that its subsidiary Sinoma International Engineering and Indonesia's PT Cemindo Gemilang have entered into an operation contract worth US$350m.
Under the contract, Sinoma International will provide services to PT Cemindo Gemilang including limestone/clay joint breaking and long belt conveying, and one complete clinker production line with a daily production capacity of 10,000t/day. The project is located in County Bayah of Banten Province in Indonesia.
Indonesia’s sales up 17% in November 2012
19 December 2012Indonesia: Indonesia's cement sales in November 2012 rose by 17% compared to November 2011, a faster pace than the previous month, according to data from the country's biggest cement firm Semen Gresik.
The sales of 5.23Mt were up by 0.9% compared to October 2012. More than 55% were on the main island Java, with the Molucca islands and Papua posting the highest annual sales growth at 95%.
Between 1 January 2012 and 30 November 2012 sales surged by 15% year-on-year, according to data from the Indonesian Cement Association (ASI). In the first 11 months of 2012 sales rose to 49.9Mt, compared to 43.4Mt in same period of 2011. Over the 11 months, Java consumed 55% of the Indonesian cement total, Sumatra consumed 22% and Sulawesi and Kalimantan each consumed 7.4% of the total.
Indonesian cement sales rise 10% year-on-year
21 November 2012Indonesia: Cement sales in Indonesia, Southeast Asia's biggest economy, rose by 10.7% year-on-year in October 2012, with the highest growth in the Moluccas and on Papua. Data from the largest cement firm PT Semen Gresik showed that October 2012 sales were up by 0.1% relative to September 2012 at 5.17Mt.
The highest consumption was, as usual, seen on Java, the main island in the archipelago. Sales in the Moluccas and Papua stood at 87,316t, rising by 68.5% year-on-year earlier.
Bosowa starts US$310m clinker plant in Maros
21 November 2012Indonesia: Cement producer PT Semen Bosowa Maros has officially begun construction on a new US$310m clinker plant in South Sulawesi. The new plant, will be called Kiln Plant Line 2, and the entire site will have a production capacity of 5.2Mt/yr. The existing plant at the site has a capacity of 2.5Mt/yr. The plant is expected to be complete before the end of 2014.
"As of now, our cement production is 3.2Mt/yr, only about 6% of the national demand," said Bosowa Corporation chief executive officer Erwin Aksa. Higher clinker production is expected to help the company meet the country's growing cement demands.
Bosowa Corporation producers 2.2Mt at its Semen Bosowa Maros plant and 1Mt at its Batam-based PT Semen Bosowa Indonesia plant. The group is expected to have a production capacity of around 10Mt/yr in 2015. By then Indonesia's domestic demand is estimated to be 53Mt/yr.
Clinker produced by Kiln Plant Line 2 will be delivered to Bosowa's grinding plants. Semen Bosowa Maros is now developing new grinding plants in Banyuwangi in East Java, Cilegon in Banten, Sorong in West Papua and Amurang in North Sulawesi.
The Banyuwangi grinding plant will have a production capacity of 1.8Mt/yr with an investment of US$103m. It is scheduled to open before the end of 2013. The Cilegon grinding plant will have a production capacity of 1.8Mt/yr with an investment of US$103m. It is scheduled to open in 2014.
Semen Gresik buys Thang Long Cement
15 November 2012Vietnam: Indonesian cement producer Semen Gresik has bought the Vietnamese cement company Thang Long Cement. The purchase was included in a conditional sales purchase agreement between Semen Gresik and Ha Noi General Export Import Joint Stock Company (Geleximco). Semen Gresik refused to state the value of the deal or the percentage of shares it had acquired.
"I am afraid we cannot mention it right now, but we are the majority. We will let you know in a month from now," said Dwi Sutjipto, Semen Gresik CEO. With the acquisition Semen Gresik hope to increase its market share and production capacity in Vietnam.
Thang Long Cement has a total production capacity of 2.3Mt/yr. Two new factories are expected to open soon, in the Quang Ninh and Binh Phuoc provinces, increasing the company's total capacity to 6.5Mt/yr.