September 2024
China: China Resources Cement has more than doubled its profit so far in 2017 by increasing its prices. Its turnover rose by 16.4% year-on-year to US$2.61bn in the first nine months of 2017 from US$2.24bn in the same period in 2016. Its profit tripled to US$337m from US$102m. At the same time its average selling price for cement rose by 21.5%.
Cement sales volumes fell by 9% to 52.2Mt from 57Mt but clinker volumes rose to 6.16Mt from 2.94Mt. By region cement sales volumes fell in most areas, with the exception of Hainan.
Sönmez Çimento starts commissioning Bedeschi shiploader 23 October 2017
Turkey: A shiploader that Bedeschi has supplied to Sönmez Çimento is being commissioned. The slewing, luffing and travelling type shiploader has a loading capacity up to 1000t/hr. It will serve Sönmez Çimento’s integrated plant in the Adana Yumurtalık Free Zone. It follows a previous port installation by Bedeschi at Yesilovacik.
Dangote Cement remains interested in PPC 20 October 2017
Nigeria/South Africa: Onne van der Weijde, the chief executive officer (CEO) of Dangote Cement, has said that his company still interested in buying South Africa’s PPC for the ‘right’ price. Weijde made the comments on an analysts call about the cement producer’s nine-month results, according to Reuters. He added that the South African company was a good fit for Dangote Cement.
Nigeria: Dangote Cement’s domestic cement sales volumes fell by 11.8% year-on-year to 2.8Mt in the third quarter of 2017 compared to 3.1Mt in the same period in 2016. The company has blamed the fall on the country’s economic recession that ended in the second quarter of 2017.
Overall the group’s sales dropped by 10.1% to 16.5Mt in the first nine months of the year for all regions, despite strong growth outside of Nigeria. Despite this, its revenue rose by 36.5% to US$1.67bn from US$1.23bn in both Nigeria and the rest of Africa for the first three months of 2017. Earnings before interest, taxation, depreciation and amortisation (EBITDA) rose similarly.
“Dangote Cement has continued to perform strongly in 2017 with revenues up nearly 37%, despite a fall in volumes. In our key operations in Nigeria we have significantly improved our fuel mix and this has helped increase margins across the group. It is especially good for Nigeria because most of the coal we are using is mined in our own country,” said chief executive officer Onne van der Weijde. He added that the cement producer’s other African operations were performing ‘strongly’ with sales growth in Cameroon, Ethiopia and Senegal. It started operations at its 1.5Mt/yr Mfila cement plant in Republic of Congo in late September 2017.
Quantum Global sells stake in Savannah Cement 20 October 2017
Kenya: Quantum Global has sold its stake in Savannah Cement following approval by the Kenyan Competition Commission. This follows the sale of its stake in Seruji, the Mauritius-based firm that owns a 60% stake in Savannah Cement, according to the Standard newspaper. Quantum Global’s departure gives entrepreneur Benson Ndeta more control over Savannah Cement, which will now own Seruji. Ndeta also holds a stake in Savannah Heights, the other shareholder in Savannah.
Private equity firm Quantum Global has held the asset since 2015 through its US$1.1bn Infrastructure Fund. Savannah Cement started operating in 2012 and it runs a 1.5Mt/yr grinding plant at Athi-River near Nairobi.
Angola: Fabrica de Cimento do Kwanza Sul plant may be forced to shutdown on 1 November 2017 due to a lack of Light Fuel Oil (LFO). The plant’s operational director Edmundo Ferreira has blamed the situation on rising fuel prices, according to the Angola News Agency. The company’s management is currently neogotiating with its fuel supplier, which it says has raised the price by 260%. The plant has a workforce of 140 employees.
UltraTech Cement’s blames profit drop on fuel prices 19 October 2017
India: UltraTech Cement has blamed a drop in its profit on rising fuel prices. Its net profit fell by 31% year-on-year to US$65m in the second quarter of its financial year that ended on 30 September 2017, from US$94m in the same period in 2016.
Overall the cement producer’s sales revenue has risen by 6.5% year-on-year to US$2.28bn in the first six months of its 2017 – 2018 financial year from US$2.15bn in the same period in the 2016 – 2017 period. Its net profit fell by 5% to US$203m from US$214m. Its sales volumes of cement rose by 8% to 26.3Mt from 24.4Mt. It completed its acquisition of 21.2Mt/yr cement production capacity from Jaiprakash Associates in June 2017. However, no like-for-like financial figures have been released.
Venezuela: Anti-corruption non-government organisation Transparencia Venezuela says that cement production at the country’s state-run plants dropped by 41% to 6Mt in 2015 from 10.2Mt in 2010. Four of these companies were only able to use 52% of their installed capacity between 2011 and 2015, according to the El Nacional newspaper. Fabrica Nacional de Cemento, Cemento Andino and Vencemos allegedly saw their production levels decline by 67%, 39% and 15% respectively over this period.
Oficemen releases CO2 emission reduction roadmap 19 October 2017
Spain: Oficemen, the Spanish cement association, has released its roadmap for reducing CO2 emissions to 2050. The document highlights the potential of new technologies, including carbon capture and storage (CCS), which could decrease the CO2 footprint of the Spanish cement industry by up to 80% in 2050. Using existing the technology the association estimates it could reduce emissions by 35% from a 1990 baseline.
Aumund India wins award from FLSmidth 19 October 2017
India: Aumund Engineering has received an award for ‘delivery excellence and dedicated support in meeting on-time delivery’ from FLSmidth. The award was part of an initiative to congratulate suppliers that successfully met delivery requirements and quality standards in 2016. A certificate marking the achievement was issued at a suppliers meeting held in Chennai, India.