Displaying items by tag: Mexico

Mexico: Cemex has shared its 2019 sustainability achievements in an integrated report entitled ‘Innovating for a Better World,’ which analyses the company’s strategic vision, operational performance and corporate governance against its commitment to drive innovation in the cement sector. Throughout the year, the company introduced its new Climate Action strategy to reduce CO2 emissions by 35% by 2030 and established an ambition to deliver net-zero CO2 concrete by 2050. It achieved an alternative fuel substitution rate of 28%, its highest since 2014, bringing its net specific CO2 emissions per tonne of cementitious product to 624kg.

Cemex’s net income was US$179m in 2019, down by 69% year-on-year from US$570m in 2018. Its sales declined by 8%, to US$4.3bn from US$4.7bn

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.

Mexico & Thailand: Cemex and Siam Cement have made changes to upcoming shareholder meetings in relation to the coronavirus outbreak. Mexico’s Cemex intends to reduce attendance at its general shareholders meeting in late March 2020 and introduce hygiene protocols. Thailand’s Siam Cement has postponed indefinitely its annual general meeting of shareholders scheduled for early April 2020. Its board of directors plan to set a new date when the “situation is resolved.”

Philippines: Cemex Holdings Philippines has announced that production of will continue as normal at all its plants in spite of the global coronavirus pandemic. Reuters has reported that the company has activated rapid response teams throughout operations to reduce the disease’s impacts. Cemex Holdings Philippines has said that there will be no material disruption in its ability to transport products or receive raw materials and equipment.

Mexico: A ship carrying cement from Cooperativa La Cruz Azul’s 2.2Mt/yr Oaxaca plant in Lagunas, Oaxaca state has sunk with 1500t of cement. Maritime Bulletin has reported that the Togo-registered vessel, Duban, had been delivering cement to Manzanillo, Colima state.

US: Mexico-based Cemex has confirmed that its 75% subsidiary Kosmos Cement, which it holds jointly with a subsidiary of Italy-based Buzzi Unicem, has completed the sale of its 1.7Mt/yr integrated Louisville plant to Eagle Materials for US$665m. Cemex says that it will receive US$499m in proceeds from the sale.

Mexico: Cemex has worked with AES Mexico, the Mexican Fund for the Conservation of Nature (FMCN), the Mexican Ministry of Environment and Natural Resources (SEMARNAT) through the General Wildlife Direction, and the National Commission of Natural Protected Areas (CONANP) to successfully reintroduce 19 American bison specimens (Bison bison) in El Carmen Nature Reserve, in Coahuila, to establish the second conservation herd of this species in Mexico.

“For almost two decades, we have carried out different alliances with companies and conservation organisations to protect and increase biodiversity in El Carmen. Examples of this include the reintroduction of the American bison, the bighorn sheep, and the pronghorn, as well as the increase in the populations of desert mule deer, white-tailed deer, and black bear,” said Vicente Saisó, director of sustainability at Cemex.

El Carmen Nature Reserve is a private cross-border conservation area in Mexico and the US that contains five different ecosystems and habitats to diverse species of plants, birds, mammals, reptiles, and amphibians over more than 140,000 hectares.

The American bison is the largest land mammal in North America and was present in the plains of Canada, the US and Mexico. In Mexico, American bison lived in the states of Sonora, Chihuahua, Coahuila, Nuevo León, and Durango; however, it the species was depleted in the second half of the 19th century. Currently, it is a species that is in danger of extinction in Mexico.

Prior to this collaboration, the only herd of bison considered genetically pure was at Rancho El Uno, owned by FMCN, located within the Janos Biosphere Reserve, Chihuahua. 19 specimens from this herd were moved to El Carmen, located in Maderas del Carmen Flora and Fauna Protection Area by a team of wildlife management specialists. The plan to reintroduce the American bison in El Carmen Nature Reserve was launched in April of 2019, and it will continue until 2021 with the translocation of additional specimens.

Mexico: Group Cementos Chihuahua (GCC) reported a better-than-expected fourth quarter in 2019, due largely to record sales volumes in the US, its main market. A delay to the start of the construction season, an order book containing contracts for oil well cement and alternative energy projects and strong residential and infrastructure segments, boosted its cement sales volumes by 12.3%. Along with an increase of 2.9% in prices overall (4.8% rise in the US), this gave rise to sales figures 13.2% higher than in the fourth quarter of 2018.

"Our excellent operational execution and robust distribution network, supported by improved climate, once again contributed to record volumes in cement in the US, surpassing our estimates," said Enrique Escalante, GCC’s Managing Director.

In its domestic Mexican market, sales increased by 5.6% due to a mixture of higher prices and appreciation of the national currency. Industrial warehouse construction segments, mining projects and middle housing in border towns were factors for the rise.

Mexico: Cemex has announced a new Climate Action strategy, which outlines the company’s vision to advance towards a carbon-neutral economy and to address society’s increasing demands more efficiently. The company states that it believes climate change to be one of the biggest challenges of our time and support collective action.

It says that it has already reduced its net specific CO2 emissions by more than 22% compared to its 1990 baseline. It has now defined a more ambitious target of a 35% reduction of net specific CO2 emissions by 2030. This new goal is aligned with the Science-Based Targets methodology, a requirement that is necessary to meet the goals of the Paris Agreement. To complement this strategy with a longer-term vision, Cemex is also establishing a new ambition to deliver net-zero CO2 concrete by 2050.

“Climate change has been a priority for Cemex for many years,” said Fernando A Gonzalez, Cemex CEO. “Our efforts have brought significant progress to date, but we must do more. This is why we have defined a more ambitious strategy to reduce CO2 emissions by 2030 and to deliver net-zero CO2 concrete by 2050.”

To fulfil this strategy, Cemex has a laid out a CO2 roadmap to accelerate the roll-out of proven technologies across its facilities, including investing in energy efficiency, using alternative fuels, expanding the use of renewable energy, and increasing the substitution of clinker with alternative cementitious materials. It says its aim of net-zero CO2 concrete will require open innovation that requires strategic partnerships and cross-industry collaboration in the development of breakthrough technologies like CO2 capture, storage and utilisation, novel clinkers with low heat consumption, alternative decarbonated raw materials, carbonation of concrete waste for use as recycled aggregates, and the promotion of circular economy models that transform waste into fuel.

Mexico: Cemex’s operating earnings have fallen in Mexico and the US. Its net sales fell by 3% year-on-year to US$13.1bn in 2019 from US$13.5m in 2018. Its cement sales volumes dropped by 7% to 62.8Mt from 67.2Mt. Its operating earnings before interest, taxation, depreciation and amortisation (EBITDA) decreased by 11% to US$2.38bn from US$2.69bn.

“In a very challenging year with weaker macroeconomic and market conditions prevailing in several of our operations, we were able to limit the downside to our EBITDA and free-cash-flow generation through the decisive and proactive initiatives under our ‘A Stronger Cemex’ program,” said Fernando A Gonzalez, chief executive officer of Cemex. He added that the group was ‘cautiously optimistic’ about its outlook for 2020, with market improvements expected in Mexico and the US.

By region, sales and earnings fell in Mexico due to decline in public and private investment. In the US sales grew, but earnings fell, in a market beset by bad weather, weak residential performance and competition in Florida. Sales and earnings grew in Europe on a like-for-like basis driven by infrastructure demand. Elsewhere sales and earnings fell, although a stronger market was noted in Colombia.