Bangladesh: Crown Cement (formerly MI Cement Factory) officially commenced production from its Munshiganj grinding plant’s new Unit 6 on 14 January 2024. The Daily Star newspaper has reported that the new unit increases the Munshiganj plant’s capacity by 72% to 5.7Mt/yr. MI Cement Factory previously signed a US$22.8m syndicated loan facility for the expansion with Eastern Bank Limited on 28 May 2023. The producer said that delays with suppliers and currency crises postponed its delivery of the project. It first postponed the expansion – at that time valued at US$54.6m – due to domestic overcapacity amid the Covid-19 outbreak in October 2020.

Saudi Arabia: Najran Cement has informed investors via a posting on the Saudi Exchange that it expects its cost of sales to rise by 13%. This is due to an increase in the price of fuels by its supplier Saudi Aramco. The cement producer noted that the waste heat recovery (WHR) system installed at its Najran cement plant has partly reduced the anticipated impacts on costs.

Najran Cement said “The company will work during the coming period to explore ways to reduce the financial impact of this adjustment on the company’s profits and will continue to implement its plans to reduce costs and improve production and operating efficiency. It will also work with government agencies to explore ways to diversify energy sources.”

France/Middle East: The Court of Cassation, France’s highest court, has upheld Lafarge’s indictment on charges of complicity in crimes against humanity, Reuters has reported. A lower court previously concluded that the company had paid US$15.5m to armed groups in the Middle East, including ISIS, via its subsidiary Lafarge Cement Syria. In its latest ruling, the Court of Cassation quashed another charge of endangering the lives of employees, on grounds that Lafarge’s foreign labour relations are not subject to French law. The group had reportedly not appealed a further charge of financing a terrorist enterprise.

Read the latest on Lafarge’s on-going trials in this week’s Global Cement analysis.

Switzerland: McKinsey & Company and the World Economic Forum have recognised Holcim’s ECOCycle recycling technology for construction-demolition material (CDM) as a "Circularity Lighthouse in the Built Environment." ECOCycle technology can process 100% of CDM input into new building materials with 75% lower CO₂ emissions than traditional alternatives.

Chief sustainability officer Nollaig Forrest said “Circularity is a game changer to decarbonise buildings at scale. At Holcim we are operating over 100 ECOCycle recycling centres globally to drive circular construction. With our advanced recycling of CDM, we can already reduce the CO₂ footprint of cement by up to 40%. This is just the beginning; as we innovate and partner across the value chain to evolve building norms, we aim to accelerate the shift to circular construction in all metropolitan areas where we operate.”

Oman: Oman Cement Company recorded sales of US$189m in 2023, up by 4% year-on-year from US$181m in 2022, Reuters has reported. The company’s net profit also grew during the year, by 16% to US$15.1m from US$13m.

Saudi Arabia: Arabian Cement Company has estimated that its production costs will rise by 14% after Saudi Aramco raised its fuel prices. In an addendum to a previous announcement published on the Saudi Exchange on 4 January 2024, the producer said that it will explore cost reduction strategies throughout the coming financial period.

Brazil: Votorantim Cimentos and Atlas Renewable Energy have launched a joint venture to build a 470MW solar power plant in Paracatu, Minas Gerais. Additionally, the parties signed a power purchase agreement (PPA) for the supply of 100GWh/yr of solar energy for Votorantim Cimentos' cement plants between 2026 and 2041. The moves align with the producer’s aim to achieve 75% renewable energy reliance in its operations.

Argentina: Cement shipments across Argentina totalled 12.6Mt nationally in 2023, down by 3.2% year-on-year from 13Mt in 2022. Central de Noticias News has reported that the Portland Cement Manufacturers Association (AFCP) attributed this to the continuing ‘paralysis’ of private and public construction projects. The Construction Index dropped by 7.9% year-on-year in 2023.

India: Shah Rukh Khan (SRK) has become the latest Bollywood superstar to help advertise cement in India. Khan appears in UltraTech Cement’s Build and It Will Grow (Banega Toh Badhega) advertising campaign, launched on 15 January 2023. The opening advert shows the Aśoka star among workers, school pupils and the Indian Army carrying out different activities facilitated by infrastructure.

UltraTech Cement said “SRK is a shining example of the rise and aspirations of India. His personal journey is one of resetting boundaries and aiming high. We thus believe that he is aptly suited to represent UltraTech’s credo.”

US: Summit Materials and Cementos Argos have successfully combined their operations in the US under a single entity. Summit Materials acquired Argos North America Corp. for US$1.2bn, and conversely issued 31% of its shares to Cementos Argos. Summit Materials expects to derive US$100m in additional earnings before interest, taxation, depreciation and amortisation (EBITDA) through the deal. Three representatives of Colombia-based Grupo Argos will sit on the board of up to 11 directors of the new combined entity.

Cementos Argos CEO Juan Esteban Calle said "The combination with Summit Materials, which had the resounding support of its shareholders, allows us to begin a new chapter in the successful history of our presence in the US, and is built on shared values, strategic vision and complementary capabilities.” He added “This new milestone consolidates our objective of continuing to expand our presence in the most attractive construction materials industry in the world for the benefit of our shareholders and all interest groups."