Displaying items by tag: Europe

Ireland: CRH has said that it had a ‘positive start to the year’ in the first three months of 2020. Total sales over the period rose by 3% year-on-year. In the Americas region, cement volumes rose by 4% and prices by 6%. European cement sales were ‘broadly in line with the same period of 2019’ due to general volume and price increases offset by a fall in volumes in Western Europe.

Government-implemented covid-19 restrictions on construction towards the end of the period impacted sales in Canada, the UK and France. The likely effects on 2020 profit ‘cannot be reasonably estimated at this time.’ CRH chief executive officer (CEO) Albert Manifold said, “With the financial strength of CRH and the experience of our leadership teams, we will endure through these unprecedented and uncertain times.”

UK: RDF Industry Group has convened a refuse-derived fuel (RDF) industry working group to meet on a fortnightly basis to discuss the sectoral impacts of coronavirus. The Group said that it ‘is working with competent authorities to ensure the free flow of RDF is maintained.’ It acknowledged that RDF supply is essential to European cement production, adding, “The flow of RDF from the UK to off-take facilities in Europe is continuing, with the industry overall functioning well.”

Greece: Titan Cement has published its integrated annual report for 2019, a year in which its net profit fell by 5.5% year-on-year to Euro50.9m from Euro53.8m in 2018 and sales rose by 8.0% to Euro1.61bn from Euro1.49bn. The company noted its ‘sustained performance and stronger cash flow generation’ throughout the year, with growing demand in the US and Southeastern Europe and the beginning of growth in Greece, in spite of a 7.0% year-on-year fall in cement volumes to 17.0Mt from 18.2Mt in 2018. Challenging conditions in Egypt and Turkey caused the group’s performance to deteriorate.

Titan Cement said that it is ‘on track to meet the Group’s 2020 sustainability targets and has already met ‘all targets related to emissions and water consumption.’
It acknowledged inevitable ‘short-term impacts’ of coronavirus, including reduced sales volumes ‘particularly and more severely in the second quarter of 2020,’ and has strengthened its liquidity position to Euro400m.

Europe: Australia-based Calix has announced that construction will begin on its second low emissions intensity lime and cement (Leilac) carbon capture and storage (CCS) installation at a ‘European cement plant’ on 7 April 2020. ASX ComNews has reported that collaborators on the project, which has received Euro16m under the EU’s Horizon 2020 grant scheme, are Portugal-based Cimpor, Germany-based HeidelbergCement, Germany and France-based energy companies Ingenieurbüro-Kühlerbau-Neustadt (IKN) and Engie and Belgium-based minerals and lime company Lhoist. Calix has said that the 100,000t/yr process emissions capture facility will be operational in late 2024.
The company has appointed Emma Bowring Leilac-2 project leader.

The first Leilac installation was completed at HeidelbergCement’s 1.5Mt/yr integrated Lixhe plant in Belgium’s Limburg province in mid-2019.

Colombia/Panama: Mexico-based Cemex has announced the suspension of production at all of its plants in Panama and those of its Colombian subsidiary Cemex Latam Holdings from 25 March 2020. It said it ‘may resume certain activities on or before 13 April 2020,’ according to Noticias Financieras News. The NAFTA 2.0 newspaper has included Cemex on a list of Mexico’s companies most exposed due to a large European presence to the impacts of the coronavirus there. Europe is the second-largest market for Cemex’s products, generating 24% of its revenue in 2019.

Ireland: CRH recorded sales of Euro28.3bn in 2019, up by 6% year-on-year from Euro26.7bn in 2018. Earnings before interest, taxation, depreciation and amortisation (EBITDA) rose by 25% year-on-year to Euro4.20bn from Euro3.36bn. The company said that the results were supported by a positive demand backdrop in the Americas and in key regions in Europe. It also set out a new CO₂ emissions roadmap with target of 520kg/t of cement by 2030, a 33% reduction compared to 1990 levels.

Tunisia: Carthage Cement has obtained CE marking for its products to help it penetrate the European market. It plans to start a 0.15Mt cement export contract in March 2020.

Belgium: Cembureau, the European Cement Association, says it will undertake a review of the targets set out in its 2050 Low Carbon Roadmap (2013/2018) in order to align the industry’s efforts with the carbon neutrality objectives contained in the European Green Deal published in December 2019. Following this reassessment, the association says it publish a revised low-carbon roadmap setting out the key role of cement and concrete in the circular economy and a path to achieving carbon neutrality along its value chain in Europe by 2050. Cembureau expects the revised roadmap to be published in early spring 2020.

“As an industry we are determined to ensure that we play our part in helping Europe to meet its emissions reduction targets. With concrete, our industry has a sustainable building material that is uniquely positioned as an essential enabler of the transition to a carbon neutral society,” said Cembureau’s president Raoul de Parisot.

Belgium: Cembureau, the European Cement Association, has called on the European Union’s (EU) Green Deal to incentivise investment in low-carbon technologies, provide long-term legal certainty and foster the industry’s global competitiveness. It said that the new proposal to tackle climate change showed ‘great promise’ and ‘ambitious vision’ but that this needed to be converted into action to support a successful industrial transformation.

The association is concerned about a new carbon border adjustment mechanism. In its view, “the replacement of the existing carbon leakage measures by an untested mechanism would create considerable uncertainty and risks.” Instead it called on the EU to look at a design that complements the existing carbon leakage measures and is fair for third country importers and EU producers.

Aspects of the European Green Deal that the association praised included the recognition that the cement industry is ‘indispensible’ to the European economy. It also liked the European Commission’s (EC) emphasis on the circular economy that fits with work the sector is doing already from alternative fuels usage to recycling concrete.

"The European Green Deal is our new growth strategy – for a growth that gives back more than it takes away. It shows how to transform our way of living and working, of producing and consuming so that we live healthier and make our businesses innovative. We can all be involved in the transition and we can all benefit from the opportunities,” said EC president Ursula von der Leyen in relation to the new policy proposal.

The EC published its recommendations on how to help energy-intensive industries meet the EU’s 2050 climate target in late November 2019. Its key suggestions were to create markets for climate-neutral and circular products, develop large-scale pilot projects on clean technologies and switch to alternative climate-neutral energy and feedstock sources. It added that the pilot projects should be supported by EU funds and given easier access to private financing. These recommendations will be presented to the EU member states, the EU Competitiveness Council and the European Parliament in early 2020.

Ireland: CRH has concluded a deal with an unspecified party for the sale of CRH Europe Distribution for Euro1.64bn. The Financial Times reported in July 2019 that private equity funds managed by American-based Blackstone would buy the company’s European distribution division. CRH will reportedly use the proceeds of sale for future acquisitions including its own share buyback programme.