Global Cement News

Iran: Iran exported over 13.65Mt of cement and clinker in the Iranian calendar year which ended on 20 March 2013. The country exported over 11.85Mt of cement and 1.79Mt of clinker, according to the IRNA News Agency.

1.04Mt of cement and 179,000t of clinker were exported in the last month of this period, from 19 February 2013 to 20 March 2013. In the 2012 - 2013 year Iran exported cement to 24 countries including Iraq, Azerbaijan, Turkmenistan, Afghanistan, Russia, Kazakhstan, Kuwait, Pakistan, Qatar, Turkey, the United Arab Emirates, Georgia, Oman, India and China.

Abdolreza Sheykhan, an official with Iran's Cement Producers Association, said in February 2013 that the country plans to increase its cement output up to 85Mt by the end of the 2013 - 2014 Iranian calendar year. Sheykhan also expressed the hope that Iran's cement exports would reach 18 - 20Mt in the current calendar year.

Uganda: Hima Cement says it has successfully challenged the loss of its limestone mining rights in Kasese, western Uganda.

David Njoroge, the General Manager of the Lafarge subsidiary, stated that the company had challenged the move during an Administrative Review process that was conducted in accordance with the Mining Act. It cited various instances of breach of the requirements of the law in the handover of its mining rights to the third party. Njoroge said the matter went to the High Court and has now progressed to the Court of Appeal.

"A stay of the orders of the High Court has been applied for and the appeal process has been commenced seeking to overturn the ruling of the High Court," said Njoroge. Hima lost the rights in early April 2013 to the East African Gold Sniffing Company following a Ugandan High Court ruling.

Nepal: The Nepalese Ministry of Industry intends to petition the Russian government for a US$11.5m grant to upgrade equipment at the Udayapur Cement Factory, the country's largest state-owned cement plant.

"The loan that we are looking for from the Russian government is solely to replace machine equipment parts," said Uma Kanta Jha, secretary of Ministry of Industry. Previously the ministry asked the Russian government for a grant for the Janakpur Cigarette Factory.

Key problems besetting the Udayapur Cement include a lack of raw materials, ageing machinery, overstaffing and mounting debts. The Nepalese government's procurement policy has been blamed for making it difficult to source raw materials from India, such as coal. Currently the factory has 549 permanent staff on its payroll. The plant incurred a loss of US$10.2m in 2010 - 2011 and has a cumulative loss of US$205m. The company last released audited financial results in 2004 - 2005.

Oman: The Oman Cement Company has reported that a dispute with a contractor has been settled. The company has received a settlement of US$7.81m from an unnamed contractor who was implementing a new clinker production line.

The compensation included US$110,000 towards another contract for an alternate belt conveyor. The clinker plant has been commissioned and commenced commercial production in 2011. The company had raised a compensation claim on the contractor for certain project-related issues. Similarly, the contractor had also raised claim for additional payment for some of the project activities. Oman Cement stated that further details will be disclosed in its next financial statement.

Saudi Arabia: King Abdullah bin Abdulaziz Al Saud has issued an urgent command ordering 10Mt of cement to cope with a local shortage. Additional measures included plans to build three to four new cement plants with a production capacity of 12Mt/yr. US$800m has been approved to support the program for three years.

The Saudi Press Agency announced the urgent directive to address a growing demand for cement in light of rapid urban growth and government infrastructure projects.