Displaying items by tag: Dispute

Malaysia: Makin Teguh Sdn Bhd (MTSB) has increased its production of cement to 700t/day to address construction demand in Sabah’s east coast amid a blockade affecting Cement Industries Sabah (CIS), according to the Daily Express. The plant was commissioned in October 2023.

The blockade reportedly stems from a land ownership dispute, where individuals have blocked an access road, leaving CIS unable to distribute cement from its facility.

Charlie Lee Puan Kiang, MTSB operations director, said “Our primary objective is ensuring stable cement supply throughout Sabah’s east coast. We are encouraging hardware stores and cement distributors to use our abundant supply.”

Zimbabwe: Villagers in Hurungwe District are protesting against a cement and power plant project by WHI-ZIM Construction Material Investments, alleging illegal land seizures, lack of compensation and environmental risks. WHI-ZIM, a joint venture between Lebanmon Investments and West International Holding, has pledged US$1bn for the project in Mashonaland West, promising 5000 jobs and local infrastructure upgrades. However, more than 80 families face displacement without clear relocation or compensation plans, according to Zim Live news. Residents accuse the company of forcibly depositing materials on communal land without legal permits. Chief Chanetsa of Hurungwe endorsed the project on 135 hectares, citing community benefits, including schools, clinics, boreholes and a 45km road.

He said “If there is any field affected within these 135 hectares, we have agreed with the company that it shall fully compensate the affected area.”

Environmentalists and villagers have warned of risks to Magunje Dam, the villagers’ water source located 1.4km from the plant. They allege irregularities in the Environmental Impact Assessment (EIA), which mandates compensation and relocation before work begins.

Residents claim WHI-ZIM ignored EIA conditions and began fencing communal land in July 2024.

A community activist said “The corruption here is blatant. People are being forced off their land while officials look the other way.”

Mexico: A violent attempt by 300 people to take over the Cruz Azul cement plant in Tula, Hidalgo, led to around 20 people injured, eight seriously. The attackers were reportedly armed with machetes and firearms, with confrontations at the plant resulting in two people shot, Noticias Financieras News has reported. 120 people have been detained for prosecution. The dispute dates back to 2018 and stems from two groups disputing the company’s assets, with organised crime reportedly used at other plants. Cooperativa Cruz Azul affirmed that it had no relation to the attacks and urged the authorities to reestablish legal order.

In a statement, it said "Cooperativa La Cruz Azul reiterates its commitment to collaborate with the authorities for the benefit of the development of the Hidalgo community, as has been done to date in other states and municipalities of the Mexican Republic.”

US: Cemex has contested Boulder County's decision to terminate its right to operate the Lyons cement plant and is calling for the decision to be reversed, citing ‘significant’ implications for the state and local employment. The dispute follows a notice from the Boulder Country Community Planning office in April 2024, attributing increased traffic as the primary reason for the termination. The county and the Colorado Department of Transportation began investigating the plant in 2022, after residents of the area complained.

Cemex stated in its response to Boulder County "The Department's conclusion did not take into account the historical trucking of material to and from the Lyons cement plant, relying instead on a study Cemex voluntarily undertook for the Colorado Department of Transportation for a different purpose, and that considered only three days of traffic data in each of two consecutive years. The determination also failed to apply applicable precedent that a nonconforming use does not terminate when traffic occurring off-site changes."

The Community Planning and Permitting Director will now review the additional evidence brought forth by Cemex and issue an additional determination. Depending on the outcome, Cemex will have the option to appeal the decision to the Boulder County Board of Commissioners. The closing of the Lyons plant would lead to the loss of 100 jobs and only two cement plants remaining in Colorado.

India: Dalmia Bharat expects to conclude its acquisition of Jaypee Cement by the end of September 2024, six months later than previously anticipated. The Hindu Business Line newspaper has reported that the group attributed the postponement to ‘procedural delays,’ including pending approvals from banks, on-going arbitration between Jaiprakash Associates and UltraTech Cement and some ‘lack of clarity’ around existing joint ventures between Jaiprakash Associates and state-owned Steel Authority of India.

Dalmia Bharat said “We are progressing in the right direction. These are procedural delays over which we have no control.”

India: Tamil Nadu Cements plans to expand its limestone mining operations at the Pudupalayam quarry in Tamil Nadu. The New Indian Express newspaper has reported that local residents have protested against the planned expansion. Some local landowners claim that Tamil Nadu Cements did not pay them for the 121 hectares of land it originally acquired in Pudupalayam.

Bolivia: The Bolivian Attorney General’s Office says that is open to meeting representatives of Sociedad Boliviana de Cemento (SOBOCE) in order to negotiate a ‘better arrangement’ following Bolivia’s nationalisation of a stake in SOBOCE subsidiary Fábrica Nacional de Cementos (FANCESA) by supreme decree in 2010. SOBOCE owes FANCESA US$108m in damages for unfair competition since that time.

SOBOCE said "SOBOCE, together with its shareholders of Grupo Gloria del Peru, will continue to resort to judicial and/or arbitration channels (national or international) for the recognition of their rights. We believe in justice and in the legitimate right that we have, since the Bolivian Constitution guarantees the payment of compensation in case of expropriation."

Mexico: The Chamber of Deputies of the Mexican parliament has approved a resolution exhorting the state government of Hidalgo to take ‘urgent action’ to help restore the Tula cement plant to its owner, Cooperativa La Cruz Azul. Local press has reported that the chamber determined that the situation had arrived a critical point, as those illegally occupying the plant were looting and dismantling the plant.

Mexico: The government says that if US-based Vulcan Materials continues to reject offers for land in Quintana Roo on which its Calica-Sac-Tun quarry is situated, then it will designate the land Protected Natural Area status. Reuters has reported that the government has previously offered US$328 – 383m for the property. Vulcan Materials has mounted on-going legal challenges worth US$1.9bn against the Mexican government over the previous closure of its operations.

India: Dalmia Bharat says that it will complete its acquisition of Jaiprakash Associates’ cement business, Jaypee Cement, towards the end of the 2024 financial year on 31 March 2024. Informist EquityWire News has reported that the deal is ‘taking more time’ than expected to conclude.

Jaypee Cement’s Madhya Pradesh-based subsidiary Jaybee Bhilai Cement is subject to an on-going shareholder dispute, due to which a court has frozen the company’s 74% shareholding in the unit.