Displaying items by tag: Strategy

World: Three cement producers - Cemex, Dalmia Cement and Holcim – are founding members of COP26’s First Movers Coalition public-private partnership. The partnership plans to use its global purchasing power to create markets for emerging CO₂ emissions reduction technologies, in order to accelerate and scale collective impact towards the global realisation of emissions reduction targets.

The coalition expects technologies currently on the market to account for 82% of CO₂ emissions reduction before 2030 and 50% before 2050, while it expects future technologies to account for 15% before 2030 and 46% before 2050.

UK: Cemex has agreed to sell its Cardenden, Dundee, Greenock and Perth ready-mix concrete plants to Tillicoultry Quarries. The company thanked its employees at the sites for their commitment. It said that the asset sale is part of a portfolio rebalancing strategy aimed at high growth metropolitan markets.

Germany: Cementos Molins has concluded its acquisition of calcium aluminate cement producer Calucem following all regulatory approvals. Calucem operates the Pula grinding plant in Istria, Croatia and a bauxite quarry in Turkey. The new acquisition positions Cementos Molins as the world's second largest calcium aluminate cement producer. The company said that it expands and enhances its innovative and sustainable product range in line with its sustainable growth strategy.

CEO Julio Rodríguez said “I warmly welcome the Calucem team into the Cementos Molins family. Today marks a new and exciting milestone in the history of Calucem and Cementos Molins and, with this integration, we have excellent business development opportunities for a new step forward to our strategy of profitable and sustainable growth.”

Calucem CEO Yuri Bouwhuis said “We are excited about the integration into Cementos Molins, where we will accelerate our development and create together more value for all our stakeholders.”

Switzerland: Holcim has announced new global social impact targets for 2030 under its new People Strategy. The targets fall under three pillars. These are ‘bridging the housing and infrastructure gap,’ ‘improving livelihoods’ and ‘upholding human rights.’ The company says that this will entail efforts to ensure adequate housing and infrastructure for all, support for health, education and skill building and the implementation of due diligence across its value chain. The strategy includes a target to create Euro468m of social value by 2030. The figure will include the total value of schools, hospitals, rural roads and affordable housing renovated or built in the period. Between 2016 and 2020, Holcim benefited over 31m people with Euro187.21m in social investment.

CEO Jan Jenisch said “Our business plays an essential role in society's progress. We build the roads, bridges, hospitals and schools that enable people to thrive around the world. With 3bn people expected to lack access to adequate housing by 2030, I am committed to putting our business to work to uplift our communities.”

World: Forty cement and concrete producers, representing 80% of concrete production outside of China in 2020, have together affirmed their commitment to the Global Cement and Concrete Association (GCCA)’s Roadmap to Net Zero concrete decarbonisation strategy. The roadmap’s seven-point plan consists of increased cement plant efficiency, which should eliminate 22% of emissions, increased concrete production efficiency (11%), adjustments to cement and binders (9%), decarbonisation of raw materials (11%), carbon capture and storage (CCS) (36%), a transition to renewable energy (5%) and the natural recarbonation of concrete (6%).

Besides full decarbonisation by 2050, the strategy provides for a 25% reduction in the global concrete sector’s CO₂ emissions by 2030 and the elimination of 4.9Bnt of CO₂ emissions by 2030 alone. The GCCA called the new commitment a ‘significant acceleration’ of cement and concrete producers’ on-going decarbonisation efforts, and said that it represented ‘the biggest global commitment by any industry’ to carbon neutrality. Acknowledging the burden on cement producers, the GCCA called on downstream companies and governments to support the industry’s transition.

GCCA member China National Building Material (CNBM) CEO Cao Jianglin said “This is a landmark for industry co-operation in decarbonisation. As part of a global industry, it will need collaboration across our sector to achieve it. As one of the leading cement and concrete producers in China, we will play our part in decarbonising the industry.”

US: The California State Senate has voted in favour of a bill to implement the US’s most advanced statutory framework for cement industry decarbonisation by 74 votes to two. The statute provides for the implementation of lifecycle CO₂ emissions reporting for cement produced in the state at an estimated cost of US$220,000/yr. The California Air Resources Board will then implement a ‘programme developed as a result of identified strategies’ at an ‘unknown but significant cost.’ The aim of the strategy will be to facilitate a 40% reduction in cement production’s CO₂ emissions between 2019 and 2030 and the attainment of net zero cement production by 2045.

Finland: Wärtsilä has announced that its upcoming Capital Markets Day event will take place at 1pm – 4.30pm, Eastern European Time (EET), on 18 November 2021. The supplier says that attendees will be able to follow proceedings via a webcast. President and CEO Håkan Agnevall together will host the event, during which members of the board of management will provide information on the company's business operations, strategy, and financial development.

Registration is open until 11 November 2021 and may be accessed here.

Mexico: Cemex has received validation from the Science-Based Targets Initiative (SBTi) for its 2030 global CO₂ emissions reduction targets. The validation attests that the targets conform with the Paris Agreement’s well-below 2°C global warming limit. Under its Future in Action programme, Cemex aims to reduce its cement’s carbon footprint to 40% compared to 1990 levels and achieve 55% renewable energy use by 2030. The company says that it has the global cement industry’s most ambitious 2030 targets.

CEO Fernando Gonzalez said “Climate action is the biggest challenge of our times. Cemex is taking decisive action to address it by defining ambitious emissions reduction targets in line with the SBTi, and executing against those targets.” He added “We commit to continue leading the industry in climate action not only because it creates value, but more importantly because it is the right thing to do. Cemex is building a better future, and that future must be sustainable.”

Spain: Hanson Spain has agreed to sell its Madrid quarry and three ready-mix concrete plants in the Balearics to Cemex España. The buyer said that the investments promise a high return and are part of the strategic global strengthening of its vertically integrated positions near high-growth urban centres. It expects the deal to close in early 2022.

Europe, Middle East, Africa and Asia regional president Sergio Menéndez said “This acquisition will allow us to better serve our clients by integrating and complementing our portfolio to provide a comprehensive and sustainable offering in Cemex’s high-growth regions of Madrid and the Balearic Islands.” He added “This is another example of the efforts we make to optimise our portfolio and drive earnings before interest, taxation, depreciation and amortisation (EBITDA) growth through high-yield complementary investments."

Hanson has also sold its aggregates and ready-mix concrete assets in Asturias, Catalonia and Madrid to different buyers. Parent company HeidelbergCement had announced a review of its Spanish assets on 22 February 2021. Their total value was Euro300m.

Russia: Holcim Russia has committed to realising a 15% CO₂ emissions reduction in its cement production between 2019 and 2030 to 475kg/t from 561kg/t. It plans to further reduce its cement’s CO2 emissions to 453kg/t by 2050, and to implement further measures to ensure its net carbon neutrality at that time.

Corporate relations director Vitaly Bogachenko said “The company's goal is to drastically reduce carbon emissions, and there are two working solutions for this. The first is the use of alternative fuels (AF) obtained from different types of waste: residues of municipal solid waste after sorting and extraction of all useful fractions from them, used tyres and others. The presence of biomass in them makes such fuels carbon neutral, so emissions during production are significantly reduced. The second solution is to replace carbon intensive raw materials. For example, instead of limestone, we use slags. The 'recipe' for cement is completely different: thanks to the new composition and the lower temperature during the firing process, the carbon footprint in the production of cement is reduced.”