Displaying items by tag: China
China Resources Cement starts production at Lianjiang plant
01 August 2016China: China Resources Cement has started operation at its 6000t/day cement plant in Lianjiang, Guangdong. The integrated cement plant is aimed at markets in the west of Guangdong and the southeast of Guangxi. The company has completed the construction of all of its planned production lines in Guangdong. Its total clinker and cement production capacities in Guangdong are 14.4Mt/yr and 22.5Mt/yr respectively.
China: Huaxin Cement has warned that its net profit is likely to drop by up to 95% year-on-year for the first half of 2016. The Chinese cement producer reported a net profit of US$13.3m in the same period in 2015. It has blamed the situation on a ‘serious’ doemsti cement overcapacity and fierce competition in the main markets that led to the price of cement falling by 11.52%. Adverse weather also contributed to the decline.
Nigeria: Sinoma International, a subsidiary of Sinoma, has signed two engineering, procurement and construction deals with Dangote Cement worth a total of US$370m. The first, project worth US$281m, is to build a 6000t/day clinker production line for Okpella Cement, a subsidiary of Dangote based in Edo state. The scope of the contract covers limestone crushing to packaging cement for shipping. The project is expected to take 27 months to produce cement and 30 months to complete.
The second project, worth US$89m, is to build a slag grinding plant at Port Harcourt. The scope of the contract covers unloading slag and gypsum to packaging cement for shipping. The project is expected to take 20 months to complete.
TCC International Holdings issues profit warning
07 July 2016China: TCC International Holdings expects to swing to a loss in the first half of 2016, compared to a net profit US$10.5m in the first half of 2015.
The Hong Kong-listed cement producer said that the expected loss was due to lower selling prices for its cement products and a foreign-exchange loss from its US Dollar-denominated bank borrowings as a result of a weak Chinese currency. It will release interim results in August 2016.
Anhui Conch cancels deal to buy West China Cement
04 July 2016China: Anhui Conch has cancelled a deal to buy West China Cement. The commerce authorities failed to approve the deal by a deadline on 30 June 2016. Anhui Conch offered nearly US$600m to buy West China Cement in November 2015. In a joint statement the cement producers said that ‘certain conditions’ including approval by the authorities had not been met. They added that, “they will continue to meet future opportunities for business collaboration in different structures or manners.”
China: China Resources Cement (Fengkai), a subsidiary of the China Resources Cement, has started operation of its sixth 5000t/day clinker production line at its cement plant in Fengkai County, Guangdong Province. The site has a total clinker production capacity of 9.3Mt/yr and a cement production capacity of 8Mt/yr. the plant mainly serves the Pearl River Delta area of Guangdong Province.
Eurocement to use CNBM investment to cut debt
01 July 2016Russia: Eurocement Group plans to use part of the funds raised from China National Building Materials Group Corporation (CNBM) to reduce its debts. The cement producer told Interfax that, although negotiations are on going, it wants to use some of the funds raised through the Chinese company’s participation in its capital to restructure current debt. It will also use the funding to invest in new ‘high-return’ areas.
Eurocement signed a partnership agreement with CNBM on 25 June 2016 during Russian president Vladimir Putin's visit to China. CNBM plans to develop its business in the construction materials market in Russia and the CIS, including by acquiring an equity stake in Eurocement Group. The total investment could be as high as US$5bn.
Mongolia: The second-stage clinker line of a 1Mt/yr project being delivered by China Triumph International Engineering was successfully ignited in early June 2016. The cement plant will now start regular production. The project is part of the Belt and Road initiative and ‘Going Global’ strategy of China’s building materials industry.
CNBM may buy shares in Russia’s Eurocement Group
27 June 2016Russia: China National Building Materials Group Corporation (CNBM) plans to become a shareholder of Eurocement Group. The companies signed an agreement on cooperation in production of construction materials in China on 25 June 2016 in the presence of Russian President Vladimir Putin and President of the People's Republic of China Xi Jinping.
The companies have agreed to upgrade Eurocement’s cement plants and construct new production lines for dry process production of cement. The agreement also envisages establishing clusters for production of construction materials in seven Russian federal districts at the basis of the local company. Local media reports that CNBM will invest US$5bn in the project.
Li Quanhua resigns from Huaxin Cement
22 June 2016China: Li Quanhua has resigned as the vice president of Huaxin Cement due to personal reasons. His letter of resignation was submitted on 18 June 2016 and has immediate effect. The board of directors have expressed their thanks to Li Quanhua for his contribution to the company.