September 2024
Australian Competition and Consumer Commission clears Barro Group’s acquisition of stake in Adelaide Brighton 31 January 2020
Australia: The Australian Competition and Consumer Commission (ACCC) says that Barro Group’s acquisition of a 43% stake in Adelaide Brighton will not ‘substantially’ lessen competition. The ACCC examined the completed acquisition closely because the two vertically integrated companies have overlap in the market for the supply of cement, ready-mixed concrete and aggregates.
It found Barro and Adelaide Brighton will continue to face competition from Boral, Holcim and Hanson, three large vertically integrated competitors with national operations, along with a number of smaller independent competitors. The ACCC looked at competition impacts on the pre-mixed concrete and aggregates markets in Melbourne, Brisbane and Townsville, where Barro and Adelaide Brighton’s operations overlap and did not identify any areas of concern.
Barro did not seek informal merger clearance from the ACCC prior to acquiring Adelaide Brighton. However, the ACCC says it may reopen its investigation if it receives further information that alters its current conclusions.
Lucky Cement’s sales fall as energy costs mount 31 January 2020
Pakistan: Lucky Cement’s sales and profits have fallen in the first half of its financial year as gas, fuel and transportation costs of input materials have risen. Its sales fell by 11% year-on-year to US$201m in the six months to 31 December 2019 from US$226m in the same period in 2018. Its cement sales volumes dropped by 9.5% to 3.17Mt from 3.50Mt. Its profit after taxation more than halved to US$12.5m from US$35.6m. It also blamed lower sales volumes on price pressure due to low demand and higher transport and logistics costs.
The cement producer started operating a 2.8Mt/yr upgrade to its Pezu plant in Khyber Pakhtunkhwa at the end of December 2019. Construction work on a new 1.2Mt/yr plant in Samawah in Iraq is underway, with contracts in place for a cement grinding mill, packing plant and power generation unit. The new plant is expected to start commercial production in late 2020.
Ghanaian government considering temporary ban on cement imports 31 January 2020
Ghana: Carlos Ahenkorah, Deputy Minister of Trade and Industry, says that government is considering a temporary block on imports on cement. However, he added the catch that it would only do this if local producers could ensure ‘fair’ pricing, according to the News Statesman newspaper. He made the comments at an award dinner organised by CIMAF.
Grupo Cementos de Chihuahua commits to Science Based Targets towards reducing CO2 emissions 31 January 2020
Mexico: Grupo Cementos de Chihuahua (GCC) says it will commit to setting greenhouse gas reduction targets in line with climate science by joining the Science Based Targets initiative (SBTI). GCC will set science-based emission reduction targets in line with the level of decarbonisation required to keep global temperature increase well-below 2°C compared to pre-industrial temperatures, as described in the latest Special Report of the Intergovernmental Panel on Climate Change (IPCC).
“By joining the SBTI, GCC will ensure that the company´s low-carbon transformation is aligned with climate science and is a further reflection of our unwavering commitment to implement global best practices related to sustainability,” said Enrique Escalante, GCC´s chief executive officer (CEO).
RHI Magnesita acquires Missouri Refractories 31 January 2020
US: RHI Magnesita has acquired Missouri Refractories for an undisclosed sum. The refractory producer operates a plant at Pevely, Missouri. It produces over 400 high-quality monolithic mixes, which serve industries, including cement, lime, steel and glass.
“With its more than 45 years of experience in fulfilling the needs of demanding, highly loyal and satisfied customers, Missouri Refractories perfectly fits into RHI Magnesita’s strategy to strengthen our position in the North American refractory market,” said Stefan Borgas, chief executive officer (CEO) of RHI Magnesita.
Siam Cement's 2019 profit falls by 13% year-on-year 30 January 2020
Thailand: Siam Cement (SCG) has recorded a profit of US$2.64bn in 2019, down by 13% year-on-year from US$3.05bn in 2018. Revenue fell by 8.5% to US$14.1bn from US$15.4bn.
Birla Corporation boosts three-month profit by 200% year-on-year 30 January 2020
India: Birla Corporation has recorded a profit of US$11.3m in the three months ending 31 December 2019 - the third quarter of the Indian fiscal year: up by 200% from US$3.77m in the corresponding quarter of 2018. Revenues in the period rose by 11% to US$243m from US$219m.
Birla Corporation has also announced plans for a 3.9Mt/yr integrated grinding plant in Mukutban, Maharashtra, as well as upgrades further increasing both its integrated and grinding capacities.
India: Ramco Cements’ profit in the three months to 31 December 2019 was US$13.3m, down by 6.3% year-on-year from US$14.2m. Revenues in the period rose by 5.3% to US$180m from US$171m. Sales volumes grew by 3.7% year-on-year to 28Mt from 27Mt.
A 100% capacity expansion of Ramco Cements’ 1.0Mt/yr Kolaghat grinding plant in West Bengal to 2.0Mt/yr, which begun in September 2019, is scheduled for completion in 2020.
CemFree achieves first with volumetric motorway application 30 January 2020
UK: CemFree cement-free concrete has been applied volumetrically for the first time in a 52m3 repair to the Woodford West Viaduct on the M25 London ordbital motorway in Essex. The reason behind the choice of method was the unavailability of batching plants at night, which was the only time that a team of Jackson, DB Group and Axtell employees working on behalf of Connect Plus were permitted to perform the work on the UK’s busiest road. CemFree said that 9.4t of CO2 emissions were cut by comparison to the same project undertaken with ordinary Portland cement (OPC). Jackson director of highways Paul Watson said, “We hope this marks a turning point on the M25 and the wider Highways sector for using low carbon alternatives.”
Cemfree uses 95% ground granulated blast furnace slag (GGBFS) and a 5% alkali activator, removing the need for cement. This gave CO2 emissions of 114kg/t, which the company says is 77% lower than conventional (OPC).
India: 13 employees of Jammu and Kashmir Cements Limited (J&K Cements) have been suspended following an incident in which J&K Cements managing director Ishtiyaq Drabu was locked inside the 0.4Mt/yr J&K Cements Khrew plant, where he says he was ‘held hostage and threatened.’ In a charge sheet against the employees, he further alleged that they had ‘left their place of duty unauthorised’ in order to assemble at the main gate, where the trap was sprung. The Daily Excelsior newspaper has reported that the action was taken by the employees in order to demand payment of their salaries. “The intervention of the police saved my life,” said Drabu.
550 J&K Cements employees have not received wages since December 2018 and US$3.91m is missing from the state-owned producer’s pension fund. Drabu has been able to draw his salary every month since his appointment in January 2019.