Displaying items by tag: Germany

France: Ciments Calcia has announced an investment of Euro86m to further decarbonise cement production at its integrated Beaucaire plant. The subsidiary of Germany-based Heidelberg Materials has allocated a total of Euro600m towards reducing CO₂ emissions from all of its operations in the country in response to a government initiative, according to The Tribune newspaper.

The current funding follows a spend of just under Euro7m on upgrades at the site, including installing a new clinker cooler that will allow for greater recovery of waste heat, and the addition of a new computer control system. Following this work, the single production line plant was restarted in early April 2023.

The next stage of investment has started with a feasibility study. If successful, a tendering process could start in the second half of 2023 with work planned to start in 2025. The company intends to renovate the plant’s electricity network, modernise the production line with a preheater and a pre-crusher and make further changes to target an alternative fuels thermal substitution rate of 75%. A third stage, involving carbon capture and utilisation and/or storage, is tentatively planned to start in 2030.

Holcim launched its formal take on construction and demolition waste (CDW) this week with the unveiling of its ECOCycle technology platform at the BAU architecture fair in Munich. This amounts to managing the distribution, processing, grinding and recycling of CDW back into new building material products. It claims that its concrete, cement and aggregate products can contain 10 - 100% of CDW with no drop in performance.

It is hard to gauge whether this is marketing for existing operations or the start of something new. Yet, in its 2022 Sustainability Report, Holcim said that it recycled 6.8Mt of CDW back into building products and that it is on track to meet its target of 10Mt by 2025. This target was neatly put into words as wanting “to build more new buildings from old ones.” Ahead of the announcement of the launch of ECOCycle, it added that it was going to roll out its Susteno product around Europe. This product, made from 20% CDW, was originally released in Switzerland in the late 2010s. Notably, recent acquisitions by Holcim that connect to its growing focus on CDW include Poland-based Ol-Trans in July 2022, UK-based Wiltshire Heavy Building Materials in October 2022 and UK-based Sivyer Logistics in April 2023.

As covered by Global Cement Weekly in February 2023, Holcim is not the only heavy building materials company pivoting to CDW. The European Union (EU) set a 70% recovery target for it in 2020 and various cement company sustainability reports have described the region as being receptive to moves into this sector. Cemex set up a global waste management subsidiary called Regenera at the end of January 2023. This division covers both alternative fuels, CDW and industrial by-products, so it is more general than Holcim’s current effort, but it shows intent in the same direction. Cemex previously set a target of recycling 14Mt/yr CDW by 2030.

Heidelberg Materials has been working on developing recycled concrete paste and its ReConcrete-360° concrete recycling process. As of its last sustainability report, this process had been tested at the pilot scale and is now being developed and scaled for industrial application. In addition to acquiring UK-based Mick George Group in December 2022 Heidelberg Materials has also purchased Germany-based RWG Holding in January 2023 and Germany-based SER Group in February 2023. All three companies operate in the CDW sector.

The other notable contribution that Heidelberg Materials has been making is as a partner of the ‘Circular City - Building Material Registry for the City of Heidelberg’ project. When Heidelberg Materials announced its involvement in the initiative in mid-2022 it said it was the first city in Europe to apply the principles of urban mining. The goal of the project is to take an inventory of the city’s buildings and then compile it in a digital material registry. The basis for the registry is the Urban Mining Screener developed by EPEA (Environmental Protection Encouragement Agency). This programme can estimate the composition of buildings based on building data such as location, year of construction, building volume or building type. Circular economy supply chains can then act accordingly when a building is retrofitted, demolished or deconstructed. So, for example, at the start of the project it worked out that a former US Army housing estate conversion site was calculated to contain approximately 466,000t of material, with about half in the form of concrete, a fifth in the form of bricks and 5% as metal.

That last example compares to a European Commission estimate that, as a whole, Europe generates around 450 - 500Mt/yr of CDW. A third of this is concrete. As with alternative fuels and slag previously, this may be money going into the ground. Recycling building materials is not new but any significant increase in reusing CDW that can reduce the clinker factor of cement (and the cement factor of concrete) offers a potentially cheaper route to building materials decarbonisation than carbon capture and utilisation/storage at current costs. Hence the continued interest.

Portugal: The first batch of clinker has been manufactured on the new upgraded production line at Secil’s Outão plant. Construction and start-up teams from ThyssenKrupp Polysius reached the milestone in mid-April 2023 after a heating period of 72 hours. Germany-based ThyssenKrupp Industrial Solutions was appointed by Secil to work on the Clean Cement Line project in 2020. It said it was going to modify the existing rotary kiln and preheater tower, install a new calciner and add a new grate cooler. Once finished it will produce Portland limestone cement (PLC). It is scheduled for commissioning in mid-2023.

Italy-based CTP Team was contracted in mid-2020 to supply and install a 29MW waste heat recovery (WHR) unit for the project. It planned to use an organic rankine cycle (ORC) unit using a 7.2MW turbine supplied by Turboden.

Italy-based Bedeschi also revealed in early April 2023 that it was in the cold commissioning phase for a new pipe conveyor at the plant to handle different kinds of alternative fuels. The conveyor has a diameter of 250mm and conveying length of 350m and will transport alternative fuels at a rate of 300m³/hr.

Germany: Robert Habeck, the Federal Minister for Economic Affairs and Climate Action, has visited specialist Flender at the Hannover Messe trade fair. He spoke with the company’s head Andreas Evertz about the energy transition goals for Germany and Europe, Flender's role as a supplier for the wind sector, and the importance of an energy-efficient industry on the way to reach global climate goals. The mechanical drive manufacturer was part of the government minister’s official tour of the exhibition.

Habeck said, "Discussing about the expansion of renewable energies, we usually talk about the electrical output, the production. But here at Hannover Messe, we see also the other side of the coin. A lot of the industrial production is here in Germany, or at least with German companies. And when you say the market is now swinging in and growing, that's good news." He added that “It is challenging to bring electricity production out of renewables to 80% of the demand by 2030, but it is possible."

Evertz said "Flender is a major driver of the energy transition. And this starts with any kind of materials. In drive technology, Flender not only manufactures wind gearboxes, but industrial gearboxes that are involved in the production of raw materials for wind turbines. Flender is part of nearly every supply chain."

Other recent interest shown by the German government include a tour by Foreign Minister Annalena Baerbock of Flender’s plant in Tianjin as part of a tour of China.

Germany/Italy: Germany-based Castolin Eutectic has joined the capital of Italy-based Castolin Eutectic Italy. This partnership is intended to strengthen the presence of the Castolin Eutectic brand in Italy. Castolin Eutectic will benefit from a wider sales force and field service engineers while customers in Italy will gain access to the company’s network of technical advisors, maintenance and repair teams, the parent company’s manufacturing base and research and development programs.

Patrick Fetzer, the president and chief executive officer of Castolin Eutectic, said "Castolin Eutectic’s and Castolin Eutectic Italy’s shared values and drive to deliver reliability services and premier quality products will lead to a productive mutuality." He added, "Castolin Eutectic Italy has great success in Italy, and we look forward to learn from their expertise as we continue to grow and expand”.

Castolin Eutectic is a provider of wear management solutions. The company offers a wide range of products and services, including welding/brazing consumables and equipment, thermal spray, as well as refurbishment solutions for a variety of industries, including mining, cement, recycling, steel, and power generation.

Castolin Eutectic Italy has 38 employees and 40 sales agents. Its headquarters is in Milan. The company is active both in the industrial maintenance arena, serving business customers in steel, cement, power generation and other industrial sectors.

Poland: Lafarge Cement Polska has signed a 15-year power purchase agreement (PPA) with KGAL Investment Management. The KGAL ESPF 4 renewable energy fund will provide the cement producer with around 230GWh/yr of electrical energy from two onshore wind farms. These will be the 35MW Krasin unit, which opened in 2022, and the 27MW Rywald unit, which is scheduled to start feeding the local grid from October 2023. With this latest agreement in place, Lafarge Cement Polska will be able to cover over half of its electrical supply requirements from renewable sources.

KGAL is an independent investment and asset manager based in Germany. It focuses its investments in real estate, sustainable infrastructure and aviation sectors.

Image credit: KGAL GmbH & Co. KG.

UK: Germany-based Aumund Group has appointed Martin Dummigan as the managing director of its Samson Materials Handling subsidiary. He succeeds Dale Lockley in the post.

Dummigan holds a master’s degree in electrical and electronic engineering from Queen’s University in Belfast. He started his career in 1990 as a research and development engineer. Over the next 30 years he has held numerous manufacturing and corporate management positions at companies including Telestack and Terex in various countries including China, the US, Japan and South Africa. His last position was as the Group Vice President of Operations for Astec Material Solutions. He is also a co-founder of the Spadetown Brewery based in Northern Ireland.

Germany: Heidelberg Materials has appointed industrial gases and engineering company Linde to install a carbon capture and liquefaction plant at its 1Mt/yr Lengfurt, Bavaria, cement plant. The project is scheduled for delivery in 2025. When commissioned, the system will capture and liquefy 70,000t/yr of CO₂. Heidelberg Materials plans to use a small part of the liquefied CO₂ in its development of recarbonation technologies for cement and concrete, with the remainder to be marketed by Linde to industries, including chemicals and food. The German government granted Euro15m in funding for the project under its Decarbonisation of Industry programme.

Heidelberg Materials’ chief executive officer Dominik von Achten said "We are pleased to be able to implement the world's first carbon capture and utilisation (CCU) project in the cement industry on an industrial scale.”

Linde’s executive vice president Jürgen Nowicki said “With this joint venture, two companies that are world leaders in their field are combining their skills with the aim of finding a solution that is as sustainable as it is economical. After successful pilot applications, this large-scale plant paves the way for sustainable cement production.”

Image credit: Cement plant Lengfurt, Germany. Copyright: Heidelberg Materials. Photographer: Steffen Fuchs.

Burkina Faso: Ciments de l'Afrique (CIMAF) has ordered a Polysius booster mill from Germany-based ThyssenKrupp Industrial Solutions (TKIS) for its grinding plant at Ouagadougou. This is the first industrial reference of the product that promises to allow a greater substitution of clinker with local filler by boosting the fineness and reactivity of the clinker. It will also maintain both cement quality to local standards and production capacity of the exiting ball mill at the unit.

Mohamed Naciri, the Regional General Manager for CIMAF, commented “Burkina Faso is a landlocked country where clinker has to travel at least 1200km to reach Ouagadougou, every technology aiming to decrease the cement clinker factor is welcome, this project is also an important milestone in our decarbonation road map, TKIS is a key partner for CIMAF to decrease our group CO₂ footprint.”

CIMAF owns and operates 13 grinding plants in Africa. It runs plants in Burkina Faso, Cameroon, Chad, Ivory Coast, Gabon, Ghana, Guinea Bissau, Guinea, Mali, and Mauritania. CIMAF's parent company, Omnium des Industries et de la Promotion (OIP), is a cement supplier across north, west, and central Africa, producing about 12Mt/yr. It is the third largest cement producer in Morocco with two integrated plants.

Heidelberg Materials’ reaction to changes in the law in Hungary received attention this week in the German press. The government introduced its Act on Hungarian Architecture in March 2023 that will enable it to set production levels and prices upon foreign-owned cement producers when the new legislation takes force in July 2023. An unnamed executive at the Germany-based Heidelberg Materials told Der Spiegel that, "These regulations represent a complete violation of all rules of the European single market.” They added that the Hungarian government appeared to be trying to force the producer to sell up. The report further alleges that the owners of Duna-Dráva Cement, Heidelberg Materials and Schwenk Zement, also received an offer to buy them out in mid-2022 from an individual with links to Prime Minister Victor Orbán.

This latest move to corral the cement sector in Hungary follows a number of recent changes in legislation. Notably, Decree 404 was introduced in July 2021. This set a 90% tax on the ‘excess’ profits of cement, plaster, chalk, gravel, sand, clay, lime and gypsum producers with the stated intention of wanting to prevent rising prices. The government set a threshold price for cement of Euro56/t at the time. At the same time it also blocked exports of cement and other raw materials of declared strategic importance unless affected companies had registered with the Ministry of the Interior. The European Commission (EC) responded to a parliamentary question on the matter in November 2021 saying that it had sent a formal letter to Hungary informing it that it was breaching some parts of the Treaty on the Functioning of the European Union (EU) on the free movement of goods. Although it noted that the new law also affected exports outside the EU, which was beyond the EC's remit. It added that the so-called ‘mining royalties’ did not seem to breach EU tax law.

Concerns over these issues between Hungary and Germany also surfaced in October 2022 when Orbán met with the German Chancellor Olaf Scholz. At this time Thomas Spannagl, the head of Schwenk Zement, said that the windfall profit tax in Hungary had a "serious negative" impact on business and that importers were not affected in the same way.

Heidelberg Materials’ subsidiary Duna-Dráva Cement is the largest cement producer by production capacity in Hungary with two integrated plants at Beremend and Vác. Together they have a production capacity of 2.8Mt/yr, according to the Global Cement Directory 2023, or about 70% of the country’s active national capacity. Heidelberg Materials reported that its result from equity accounted investments fell by 27% year-on-year to Euro262m in 2022 from Euro356m in 2023 due to a decline in earnings particularly in China and Hungary. This compares to a 4% drop to Euro3.74bn in its result from current operations before depreciation and amortisation across the whole business. Despite this it also noted that Hungary’s overall economic output had grown by 5% in 2022.

Just before the new laws affecting cement companies starting arriving in mid-July 2021, the Hungarian Competition Authority started an investigation into a “drastic” increase in raw material prices. This followed a warning a year earlier in 2020 that it had started competition supervision proceedings against the three main market participants: Duna-Dráva Cement, Lafarge Cement and CRH. All three are foreign-owned companies.

Lafarge Cement Hungary operates the Kiralyegyháza plant and it is due to change its name to Holcim in May 2023. Its predecessor companies, Holcim and Lafarge, also used to run plants at Hejocsaba and Lábatlan before the merger in 2015. However, the Hejocsaba plant ran into legal problems between Holcim and another investor, shut in 2011 and was later forcibly taken over by the other party in 2014. Today the plant operates as Hejőcsabai Cement- és Mészipari (HCM) but cement production is reportedly yet to restart nearly a decade later and Holcim says that legal proceedings are still ongoing. The Lábatlan plant, meanwhile, closed for good in the early 2010s. CRH took over some of Holcim’s other operations in Hungary in 2015 at the same time as the formation of LafargeHolcim but does not run any cement plants in the country at present. It does own cement plants in nearby countries that are able to supply the Hungarian market as well as running 19 concrete units. It describes itself as the “number two player” in the local market. It wasn’t specific on Hungary in its financial results for 2022 but it did describe sales in its Europe East region as being ahead of 2021, “due to a strong focus on commercial actions to offset significant cost inflation.”

Construction costs in Hungary do appear to have grown faster than other European countries in the second half of 2021 as the country came out of the coronavirus pandemic. However, the country's anti-immigrant labour stance may have also contributed to the situation, in addition to the high-energy prices and supply chain bottlenecks experienced elsewhere. In addition, cement companies are also capable of monopolistic behaviour. For example, Duna-Dráva Cement’s proposed acquisition of Cemex Croatia was blocked by the EC back in 2017 on competition grounds. However, given how international the cement industry has become, it is surprising to see this kind of treatment from a government within the European Union.