Displaying items by tag: GCW69
Soboce seeks 10Mm3 gas for US$160m plant
01 October 2012Bolivia: Soboce's planned cement plant in Yacuses, Santa Cruz will require 10Mm3 of natural gas supplies, Soboce's main shareholder Samuel Doria Medina has said. According to the project's viability study, the plant will also need a pipeline to be built and a gas supply guarantee from state-run oil and gas firm Yacimientos Petroliferos Fiscales Bolivianos (YPFB).
Soboce estimates that the plant will cost US$160m to build. The project will be able to generate energy for its own consumption using natural gas. Soboce and YPFB have already built a 19.6km pipeline to supply gas to another plant in Viacha.
Dalmia Cement buys Adhunik Cement for US$106m
28 September 2012India: Dalmia Cement Bharat, a subsidiary of Dalmia Bharat Enterprises, has signed an agreement to acquire Adhunik Cement for US$106m. The acquisition and consideration will be made in multiple tranches, subject to adjustments and various other terms and conditions.
Adhunik Cement is a joint venture between two Calcutta–based companies, Adhunik Group and MSP Group. Previously the company invested US$133m to set up a 1.5Mt/yr cement plant in the limestone-rich Jaintia Hills in Meghalaya. It also set up a 25MW coal-based captive power plant for the site.
Dalmia Bharat Enterprise is a cement manufacturer with plants in Tamil Nadu and Andhra Pradesh with a capacity of 9Mt/yr. The company is engaged in the business of cement, thermal power and other businesses.
Eagle Materials to acquire two Lafarge plants in US
27 September 2012US: Eagle Materials Inc. has issued a press release announcing that it has entered into a definitive agreement with Lafarge North America to purchase Lafarge's Sugar Creek plant in Missouri and Tulsa plant in Oklahoma, which have a combined cement capacity of 1.6Mt/yr. The deal also includes six distribution terminals, two aggregates quarries, eight ready-mix concrete plants and a fly ash business.
Eagle will also enter into a transition sales agreement to supply certain Lafarge operations with cement for four to five years and an agreement with a Lafarge affiliate to supply low-cost alternative fuels to the acquired operations.
The purchase price for the group of assets is US$446m, subject to customary post-closing adjustments. The acquisition will increase Eagle's cement capacity by 60% and it is expected to close in November or December 2012, pending regulatory approvals.
Steven Rowley, Eagle Materials' President and Chief Executive Officer, said that the agreement represents a major milestone event for the company. "Our stated strategy has been to grow the cement and aggregates side of our business. Our first priority has been to acquire cement plants that connect but do not overlap with the market reach of our existing plants."
"These two high-quality Lafarge cement plants are a compelling fit with our objectives and the transaction meets our stringent criteria for new investment," continued Rowley. "These assets will allow us to participate more fully in the US construction industry recovery. Additionally this transaction further positions the company near energy growth markets, where there is growing demand for our specialty oil well cement, along with our newly-offered high-quality northern white frac sand. These new cement, concrete and aggregates assets will immediately contribute earnings and cash flow for our stockholders. Moreover they will provide significant near-term opportunities for synergies and earnings growth."