Turkish government investigating cement price and supply issues
Türkiye: The Ministry of Trade says it is monitoring developments in the construction sector with regards to high cement prices and supply problems. It is looking at exports in particular, according to the Hürriyet Daily News newspaper. It has taken action following complaints it received in late 2022. Previously in 2021 the government added cement and clinker to the list of products which require a permission to be exported. Government bodies including the Ministry of Trade, the Ministry of Treasury and Finance and the Turkish Competition Authority (Rekabet Kurumu) have each been recently conducing inspections of cement companies looking in domestic and export prices.
US: Sublime Systems says it has secured US$40m in funding from its latest investment round. Venture capital company Lowercarbon Capital, The Engine, Energy Impact Partners and others took part in the Series A funding round. Siam Cement Group has also been announced as a strategic investor. The company will use the new capital to increase production at its pilot plant, build its team, conduct product testing and promote offtake commitments from new customers and partners.
Sublime Systems is commercialising an electrolysis cement production process that will manufacture cement at ambient temperature from a variety of abundant calcium sources. It says it is the first company to produce cement through this process.
Leah Ellis, co-founder and chief executive officer of Sublime said, "We have successfully demonstrated the viability and scalability of our approach and we are able to produce cement with the same or better strength, slump and durability than today's Portland cement. The support of our talented team and capital from our investors will enable us to operate our pilot facility, secure advance offtake agreements and work toward producing our low-carbon cement at scale."
The company was spun-out of the Massachusetts Institute of Technology (MIT) in 2020. It was co-founded by Yet-Ming Chiang, an MIT professor and co-founder of several climate-tech companies, including A123 Systems, 24M Technologies and Form Energy, and Leah Ellis, an Activate Fellow and one of MIT Technology Review's 35 Innovators under 35. To date, the company has concentrated its efforts on developing its first drop-in, low-carbon cement product, validating its manufacturing process at the pilot scale, validating buyer demand and building up its team.
Austria: Lafarge Austria and Perlmooser Beton will operate under the new name Holcim Austria from May 2023. Both companies have been part of Holcim Group since 2015. The rebranding exercise follows the renaming of LafargeHolcim as Holcim that took place in mid-2021.
Lafarge Austria operates two cement plants, at Mannersdorf and Retznei respectively, with a total production capacity of 1.6Mt/yr. Its headquarters is in Vienna. The company employs around 250 people.
Children burnt at PPC Zimbabwe cement plant
Zimbabwe: Three boys aged 11, 12 and 14 were injured at PPC Zimbabwe integrated Colleen Bawn cement plant on 13 January 2023. Two of children reportedly jumped into a dump site at the plant and sustained second-degree burns from hot material, according to News24. The third child suffered burns whilst trying to help the other two. The children are in a stable condition. The dump is reportedly quarantined from the local community. An investigation is ongoing.
China Shanshui Cement’s profit drops by over 70% in 2022
China: China Shanshui Cement recorded a 70% year-on-year drop in its profit throughout 2022. Reuters has reported that the decline is the outcome of a rise in costs for the producer.
UkrainInvest helps to establish grinding plants in Ukraine
Ukraine: Ukrainian foreign investors’ fund UkrainInvest contributed US$20m towards the establishment of new grinding plants in Ukraine in 2022. Ukraine Business News has reported that the fund received 126,000 investments in 2022, up by a factor of six year-on-year. It added 11 projects worth US$2bn to its portfolio throughout the year, during which Russia launched its on-going invasion of Ukraine.
India: NCL Industries produced 713,000t of cement in October – December 2022, the third quarter of the 2023 financial year. The figure corresponds to a rise of 27% year-on-year from 561,000t in the corresponding quarter of the 2022 financial year. NCL Industries produced 19,300t of cement boards throughout the quarter, down by 3% year-on-year from 19,900t.
Lafarge Cement Zimbabwe becomes Khayah Cement
Zimbabwe: Lafarge Cement Zimbabwe has rebranded to Khayah Cement amidst its on-going corporate restructuring. The Sunday News has reported that Khayah Cement is in the process of reconstituting its board of directors and board committees.
Schwenk Eesti cleared to gain majority stake in Betoonimeister
Estonia: The Estonian Competition Authority has granted permission to Schwenk Eesti to gain a majority stake in ready-mix concrete producer Betoonimeister. Baltic Business Daily News has reported that Betoonimeister's six ready-mix concrete batching plants are located in Tallinn, Tartu, Johvi, Tapa and Parnu.
Heidelberg Materials places Euro750m sustainability-linked bond
Germany: Heidelberg Materials has placed a Euro750m sustainability-linked bond as part of a Euro10bn medium-term note programme. Interest on the bond is linked to group CO₂ emissions reduction, according to key performance indicators up to 2026 and 2030. Heidelberg Materials is committed to reducing its emissions per tonne of cementitious product by 30% between 2021 and 2030, to 400kg/t.
Heidelberg Materials' chief financial officer René Aldach said "The placement reinforces our aspiration to achieve the most ambitious climate targets within the industry and to increase the share of sustainable financial instruments to over 70% by 2025. With the denomination of Euro1000, we are the only company on the capital market to date to also offer retail investors the opportunity to invest in sustainability-linked bonds."