Displaying items by tag: Joint Venture

India: Redecam Group and Isgec Heavy Engineering have started a joint venture called Isgec Redecam Enviro Solutions in Noida, Delhi. The new company will provide for flue gas treatment systems for the cement, power and metals industries.

“Air pollution is one of the major environmental issues India and the rest of Asia face today and it is a serious problem with the major sources being industrial emission and biomass burning, vehicle emissions and traffic congestion. In the effort to reduce the country’s air pollution, Redecam and Isgec aim to build a strong business in Asia, drawing upon Redecam’s global expertise combined with the skills and knowledge of Isgec, a strong partner headquartered in India,” said Barry Downing, chief executive officer of Redecam Group.

Italy’s Redecam Group is an engineering company that serves the air pollution control industry around the world. India’s Isgec Heavy Engineering is a general engineering company with references in the cement, chemical, textile, power, oil, gas and sugar industries.

Bangladesh: The government owned Bangladesh Chemical Industries Corporation (BCIC) has signed a memorandum of understanding with Saudi Arabia’s Al Rajhi Group to build a new production line and a captive power plant at the Chhatak Cement plant. The project is a joint venture between the companies and it will be run as a public-private partnership, according to the Financial Express newspaper. The new cement line and power plant will have a production capacity of 1.5Mt/yr and 330MW respectively. Industries minister Amir Hossain Amu, BCIC secretary Hasnath Ahmed Chowdhury and managing director of Al Rajhi Company for Industry & Trade Yousif Al Rajhi signed the agreement in Bangladesh on 20 October 2016.

China: FLSmidth and Northern Heavy Industries Group (NHI Group), based in Shenyang, have signed an agreement to enter into a joint-venture, with an equal amount of shares, for the design and supply of mining equipment targeting the mid-market segment. The joint venture will be established with its own board of directors and management under the name NHI-Fuller (Shenyang) Mining (NHI-Fuller), which will financially report results as part of the Minerals Division in FLSmidth. Subject to obtaining regulatory approval, it is anticipated that NHI-Fuller will be operational in the first quarter of 2017.

"In 2014, we announced that part of our strategy in the Minerals Division was to enter the expanding mid-market for mining equipment. With the NHI Group, we have now found a perfect industrial partner for this quest," said Group Executive Vice President of the Minerals Division in FLSmidth, Manfred Schaffer.

The NHI-Fuller products will be designed for the needs of mid-market or capital expenditure sensitive customers in the mining industry and will be marketed under the NHI-Fuller brand name. While the initial focus will be to supply crushing products, the goal of the joint venture will be to become the leading mid-market mining equipment supplier for other product lines as well.

Oman: Oman Cement has registered a new joint-venture company with Raysut Cement to operate in the Duqm Special Economic Zone Authority. The new Company is named Al Wusta Cement Company and it will set up a new cement plant following a feasibility report.

Cambodia: Battambang Conch Cement, a joint venture between China’s Conch International Holdings and Cambodia’s Battambang KT Cement, has announced plans to build a US$230m cement plant in Battambang province. The plant will being operation in December 2017 and it will have a cement production capacity of 1.8Mt/yr, according to the Phnom Penh Post.

“We will be the fourth cement company to supply the market,” said Vinh Hour, director of Battambang Conch Cement. According to Hour, Cambodia’s demand for cement has reached 8Mt/yr and the existing three cement plants in Kampot province can only supply about half of this amount. The remainder is imported from Asian suppliers. Battambang Conch Cement has applied for an industrial mining licence to use limestone from a nearby mountain in the district. The company aims to supply five provinces in northwest Cambodia: Battambang, Pursat, Bantey Meanchey, Siem Reap and Preah Vihear.

Hort Pheng, director of industrial affairs at the Ministry of Industry and Handicraft, said the ministry has approved five cement factories to date – three of which are in Kampot province and already supply the market. Chip Mong Insee Cement has also received approval to build a production line in the southern province, with construction on the US$260m cement plant expected to finish in 2018.

Algeria: CILAS, a joint operation between Lafarge Algeria (49% stake) and Souakri Group (51% stake) located in the northeast of the country, has started commissioned its mill at its Biskra cement plant. Operation of the site’s kiln is scheduled to start in July 2016 according to the El Watan newspaper.

China’s CBM, a subsidiairy of Sinoma, signed a deal to build the plant in mid-2014. The engineering, procurement and construction (EPC) contract included design, equipment supply, civil construction, installation, training and commissioning of the project. The plant will have a cement production capacity of 2.7Mt/yr when fully operational.

Kazakhstan: China Gezhouba has announced that it intends to invest US$178m in a joint-venture cement project with local partners.

Indonesia: A joint venture between the State Development and Investment Corp (SDIC) and Anhui Conch Cement Company will start production at its 1.5Mt/yr plant in Manokwari, West Papua in July 2016. Hu Xiaohong, PT Conch-SDIC Papua Cement Indonesia’s head of general affairs, said that the first phase of the US$400m plant was nearly complete, in comments reported upon by the Jakarta Post.

Canada/Luxembourg: Algoma Central Corp has entered into a joint venture agreement with Nova Marine Holding SA of Luxembourg and its subsidiaries to create a global fleet of cement carriers to support infrastructure projects worldwide. Algoma will own 50% of the joint venture, which will be named NovaAlgoma Cement Carriers (NACC).

"We are very excited about the opportunity this investment with Nova presents," said Ken Soerensen, President and Chief Executive Officer of Algoma. "NACC is an excellent example of a global short-sea shipping business that shares many characteristics with our domestic dry-bulk business. In fact, Algoma currently provides technical and operations management services for three cement carrying vessels on the Great Lakes on behalf of major cement producers."

The demand for modern efficient cement carriers continues to increase globally. Growth is fuelled by demand for infrastructure in developing regions, by infrastructure renewal in mature markets, by consolidation among major cement producers and by the need to renew an aging fleet.

"We are very pleased to be able to work with our experienced partner, Nova, in this segment," said Wayne Smith, Senior Vice President, Commercial, of Algoma. "We see opportunities in both existing markets and globally for the renewal of cement carrier vessels."

Under the terms of the agreement, upon the satisfaction of certain conditions precedent, Algoma will acquire a 50% interest in the existing cement carrier fleet owned by Nova, comprising three pneumatic cement carriers now in operation and two additional vessels under construction. These five vessels are and will be deployed in various regional markets in Asia and Europe.

"The cement business is becoming more global and consolidated. We are excited by the prospects of this venture because it aims to create a dedicated group to serve the cement industry in its global logistic needs," said Vincenzo Romeo, Chief Executive Officer of Nova Marine Holding SA.

Cambodia: Siam City Cement's (SCCC) board of directors has approved a 40% share in a joint venture company in Cambodia, Chip Mong Cement Corporation, a first step in its strategy to take advantage of the upcoming Asean Economic Community.

The joint venture will involve the construction and operation of a 1.5Mt/yr capacity cement plant and related business, said Siva Mahasandana, acting SCCC deputy CEO and senior vice president for marketing and sales. He said the company had signed a definitive agreement with Chip Mong Group and three individuals, known collectively as CMG, to form the joint venture, which is expected to be in place by December 2015.

Mahasandana said that the joint venture company's registered capital would be US$150m, comprising 75,000 ordinary shares at a par value of US$2000/share. Once fully established, the new company will be renamed Chip Mong Insee Cement Corp.

Cambodia has been attracting investment with its government measures and low labour costs. Its economy has been growing measurably and the construction business is expected to grow in parallel, providing opportunities for SCCC's Insee brand. "We trust that this is an absolutely sustainable business venture in Cambodia and at the same time, we are exploring new investment opportunities in the Asean countries, especially in Cambodia, Laos, Myanmar and Vietnam," he Mahasandana.