Displaying items by tag: Hoffmann Green Cement Technologies
Hoffmann Green Cement partners with Groupe Tartarin
11 March 2024France: Hoffmann Green Cement Technologies has signed a commercial partnership with Groupe Tartarin, a French company based in the town of Vienne, which specialise in a wide range of ready-to-use cements. This agreement will see Hoffmann Green Cement's clinker-free cements supplied to Groupe Tartarin's network of cement plants. This collaboration is part of Hoffmann Green's strategy to expand its presence in Western France and emphasises its commitment to the decarbonisation of the construction sector.
Julien Blanchard and David Hoffmann, co-founders of Hoffmann Green Cement Technologies, said "This new commercial agreement with Groupe Tartarin, a key construction player in the Vienne region, illustrates our shared commitment to the decarbonisation of the construction sector. As well as highlighting our desire to work with local players to achieve this objective, this collaboration strengthens our position in the ready-mix concrete market and supports our commercial expansion with regional players, particularly in Western France."
Nicolas Tartarin, CEO of Groupe Tartarin, added "This partnership with Hoffmann Green reflects Groupe Tartarin's commitment to decarbonising its business while preserving the quality of its concrete. Thanks to this collaboration and the use of Hoffmann Green's clinker-free cement, we are able to implement an innovative and environmentally friendly solution in the construction of our buildings, while guaranteeing the quality we offer our customers today."
France: Hoffmann Green Cement Technologies recorded a turnover of Euro6m in 2023, more than double the figure for 2022. The company sold 21,378t of its clinker-free alternative cement, up by 78% year-on-year, but under its target of 24,000t. It strengthened its order book by 8% to 260,000t.
The company confirmed its existing financial objectives, namely: to achieve positive earnings before interest, taxation, depreciation and amortisation (EBITDA) in 2024; an operating profit in 2025; and a turnover of Euro130m by 2026.
Update on Saudi Arabia, January 2024
10 January 2024Eastern Province Cement said this week that it had awarded a new production line project to Sinoma CDI. The subsidiary of China-based CNBM Group and Sinoma International Engineering has picked up the contract to build a 10,000t/day plant from design to installation at the cement producer’s Al Khursaniyah plant. Word on project finance is to follow later and the contract should be signed by the end of March 2024. The cement company last mentioned the project to the Saudi Exchange back in March 2023, when it suggested that it was focusing on upgrading existing lines at its Al Khursaniyah plant rather than building a brand new clinker plant at Najibiyah. The plans for the latter project date back to 2015. Eastern Province Cement holds limestone extraction licences in both locations.
It is worth noting that the last couple of new conventional production line projects announced in Saudi Arabia have been picked up by Sinoma International Engineering and related companies. Sinoma International Engineering won an engineering, procurement and construction (EPC) contract to build Southern Province Cement's upcoming Jizan cement plant in May 2023. This followed the awarding of a new 10,000t/day line by Yamama Cement, also to Sinoma International Engineering, in November 2022. However, Germany-based IBAU Hamburg was confirmed by Hoffmann Green Cement Technologies (HGCT) in September 2023 as being the company that would build a ‘clinker-free’ cement plant in Saudi Arabia in 2024. This will be a copy of HGCT’s H2 plant in France, which uses a combination of activated clay, ground granulated blast furnace slag (GGBFS) and gypsum to manufacture its products. HGCT has signed a deal with Shurfah Group to build several Hoffman plants under a 22-year exclusive licensing agreement.
Arguably though, despite all these new plant news stories, the bigger issue so far this year was Saudi Aramco's decision to raise its feedstock and fuel prices from the start of 2024. Several Saudi cement producers released warnings in response that production costs would rise and earnings would fall. Al Jouf Cement, Arabian Cement, Qassim Cement, Saudi Cement, Yamama Cement and Yanbu Cement each made statements to shareholders on the issue, saying that they were working out the impact, would announce what this might be when known and that it was likely to make a difference from the first quarter results onwards.
The timing of Aramco's price hike is poor given that after a tough year, with falling sales for some producers, demand was expected to pick up somewhat. Aljazira Capital, for example, in a cement sector report released in late December 2023, forecast a 3% year-on-year increase in cement sales volumes in 2024 following an estimated fall of 8% in 2023. Its reasoning was that the domestic housing construction market had declined in 2023, leading to high levels of competition in the central region of the country caused by high levels of company inventory. Looking ahead, the competition was expected to ease as more projects were generated outside the central region and demand from the country’s various large-scale infrastructure plans took off. We will have to wait for Aljazira Capital’s next report to find out how they think the market will cope with higher fuel costs, but it seems likely that business may remain tougher than expected for the cement producers in the short term at least.
Finally, one more story to consider is that Al Jouf Cement signed a deal with Rabou’ Al-Taybeh Company this week to export cement and clinker to Jordan. The initial period covers six months with the option for renewal. Up until 2022, at least, clinker exports from Saudi Arabia were growing most years since the export rules were relaxed in 2017. With a difficult market reported domestically in 2023, the appetite to focus on exports may be growing and this could be a sign of that. Another example this week of Saudi-based cement companies looking outside the domestic market could be detected when Northern Region Cement said it had sold a 49% stake in its Iraq business to Al-Diyar Al-Iraqia for Investments Company. The cement company said that the new strategic partnership would help it to further expand its investments in the promising market. It will use the proceeds of the deal to repay loans and for ‘external investments.’ It valued the transaction at just under US$44m. For more on what Northern Region Cement and others have been up to in Iraq, see Global Cement Weekly’s analysis from November 2023.
The steady stream of new clinker production lines suggests confidence in the cement sector in Saudi Arabia in the medium to long term. It is also fascinating to witness a secondary cementitious material plant like the one HGCT is planning on the way too. Unfortunately though, the recent fuel price rise looks like it might ruin the party in the short term for those hoping for better things in 2024.
The 26th Arab International Cement & Building Materials Conference and Exhibition takes place in Cairo on 15 - 17 January 2024. Visit Global Cement at stand N3
France: Hoffmann Green Cement Technologies has announced the signing of its latest partnership agreement, with single-family home construction firm Groupe Trecobat. Under the agreement, Hoffmann Green Cement Technologies will supply its clinker-free alternative cement for Groupe Trecobat’s property developments throughout western France. Groupe Trecobat generated Euro203m in sales in 2023.
Hoffmann Green Cement Technologies co-founders Julien Blanchard and David Hoffmann said "We are delighted to be working with a leading player in single-family home construction such as Groupe Trecobat. This local partnership, which will enable us to develop a low-carbon offering for single-family home construction, accelerates our diversification and further strengthens our presence in the eco-responsible construction market."
Hoffmann Green Cement Technologies and the Scientific and Technical Centre for Building extend strategic partnership
20 December 2023France: Hoffmann Green Cement Technologies and the Scientific and Technical Centre for Building (CSTB) have extended their current strategic partnership for a further three years. The partners plan to assess current and future technologies, in particular with regard to clay-based cement technologies, such as Hoffmann Green Cement Technologies’ H-EVA and H-P2A cement products.
Hoffmann Green Cement Technologies co-founders Julien Blanchard and David Hoffmann said "We are convinced that our extended partnership and shared planning will keep on providing us with optimised timeframes for certifying our promising future clay-based technologies, such as H-EVA and H-P2A. We look forward to bringing these new technologies to market, as they, like our current technologies, benefit from very strong interest."
Hoffmann Green Cement Technologies signs exclusive licensing agreement for new units in Florida
13 December 2023US: France-based Hoffmann Green Cement Technologies has signed an exclusive licensing agreement with a partner in the US to build and operate ‘several’ new units to produce its clinkerless cement in Florida. Business Wire News has reported that the units will employ the same model as Hoffmann Green France Cement Technologies’ existing H2 unit in France.
Hoffmann Green Cement Technologies co-founders Julien Blanchard and David Hoffmann said "Following on from the contract signed with Shurfah in Saudi Arabia a few weeks ago, we are delighted to continue our international expansion with the announcement of this future site in the United States. This agreement with a Florida-based partner demonstrates the appeal, beyond our borders, of our clinker-free cement and our vertical production model. We are proud to be working alongside our partner to decarbonise the construction sector in a state as strategic as Florida, the third most populous state in the US.”
Hoffmann Green Cement signs distribution deal with Point.P
26 September 2023France: Hoffmann Green Cement Technologies (HGCT) has signed a partnership deal with Point.P. Under the terms of the agreement, HGCT’s clinker-free cement products will be distributed to Point.P’s ready-mixed concrete (RMC) and batching plants. Point.P is aiming to reduce its CO2 emissions linked to the use of cement it uses in ready-mix concrete, concrete blocks and precast elements, by 35% by 2030.
Julien Blanchard and David Hoffmann, co-founders of HGCT, said "We're delighted with this partnership with a major player like Point P. This is a major step forward for the marketing of our clinker-free low-carbon cements.”
France-based Saint-Gobain Building Distribution France, a subsidiary of the Saint-Gobain, is a distributor of building materials. Its main brands include Point.P, Cedeo, Asturienne, PUM, SFIC, La Plateforme du Bâtiment, Dispano, Panofrance, Clim+ and CDL Elec. It has a network of over 2000 sales outlets throughout France.
Hoffmann Green Cement Technologies raises revenues and volumes in first half of 2023
18 September 2023France: Hoffmann Green Cement Technologies reported revenues of Euro1.68m during the first half of 2023, more than triple those recorded in the first half of 2022 (Euro544,000). The producer’s sales volumes of its clinkerless cement also more than tripled, to 7340t. It says it is on course to achieve its full-year 2023 target of 24,000t. The commissioning of its H2 plant in France raised the company’s installed production capacity by 250,000t.
Co-founders Julien Blanchard and David Hoffmann said "Thanks to the daily work of all our teams, we are accelerating the marketing of our innovative clinker-free cement in a construction market with demand for truly carbon-free solutions. Considering the seasonality of our sales, we intend to intensify the transformation of our order book into sales during the second half of 2023.”
Hoffmann Green Cement Technologies confirms deal with Shurfah Group
05 September 2023Saudi Arabia: Hoffmann Green Cement Technologies (HGCT) has signed a deal with Shurfah Group to build several Hoffman plants under a 22-year exclusive licensing agreement. A first ‘clinker-free’ cement plant will be built in 2024. It will be a copy of HGCT’s H2 plant in France, which uses a combination of activated clay, ground granulated blast furnace slag (GGBFS) and gypsum to manufacture its products.
The engineering and production process will be carried out by Germany-based IBAU Hamburg. HGCT signed an exclusive partnership agreement with IBAU Hamburg in June 2022 to support the construction of Hoffmann units worldwide. In return for the industrial and technological transfer and this exclusivity, Hoffmann Green will receive an entry fee and fixed and variable annual royalties from Shurfah Group based on sales generated by the marketing of Hoffmann cements in Saudi Arabia.
Julien Blanchard and David Hoffman, the co-founders of HGCT, said "Just few weeks after signing a pre-agreement, we have given concrete expression to our commitment by signing this licensing contract with Shurfah, a major player in the Saudi Arabian construction industry. After Switzerland and the UK, we are continuing our international deployment with the aim of supporting, through this new contract, the kingdom's ambitious ‘Vision 2030’ project and participating in the decarbonisation of their construction industry through the construction of several of our units on their territory and the marketing of our 0% cement clinker."
Shurfah Group is a real estate investment conglomerate with interests in other sectors including petrochemicals, food and beverages.
Hoffmann Green Cement Technologies to build four clinker-free cement plants in Saudi Arabia
21 June 2023Saudi Arabia: Hoffmann Green Cement Technologies (HGCT) and property developer Shurfah Holding have signed a letter of intent to conclude a licensing agreement for use of HGCT’s technology by the state-owned construction firm. BusinessWire News has reported that HGCT plans to build four new units to produce its clinker-free alternative cement in Saudi Arabia. Construction will begin in 2024. Shurfah Holding said that the partnership signals progress towards the development of smart cities under the state’s Vision 2030 economic plan.
HGCT co-founders Julien Blanchard and David Hoffmann thanked Shurfah Holding and said that the partnership represents an acceleration in the producer’s international development.