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Cement consumption to double in India by 2025 14 May 2014
India: A study by management consultants AT Kearny, in association with the Confederation of Indian Industry, has said that the per capita consumption of cement is expected to grow to 385 - 415kg in 2025 from 185kg at present. According to the study, cement demand is likely to increase by 2.5 to 2.7 times to 550 – 660Mt/yr over the same time period. While the infrastructure segment would lead the growth, the residential segment will continue as the largest consumer, constituting 42 – 45% of the total demand.
Lafarge Republic launches ash-based cement 14 May 2014
Philippines: Lafarge Republic and the Global Business Power Corporation (GBPC) has launched an initiative aimed to lower the costs of rehabilitation projects, such as the rebuilding efforts for Yolanda and the Bohol earthquake-affected areas, through the introduction of a ash-based cement called called Kapit-Balay cement.
Kapit-Balay cement is a result of the Total Ash management partnership between Lafarge Republic and GBPC. Under this collaboration, Lafarge uses the fly ash from GBPC's power generation processes to produce blended cement. Under the partnership, the two companies worked on optimising the cost of producing the ash-cement, which enables them to contribute in lowering the overall cost of rebuilding with the additional support from Lafarge's packaging partner and a direct sales distribution model to rehabilitation projects.
Egypt: South Valley Cement (SVCC) has said that the investments needed to use coal as an energy source will accost US$19.8m. Subsequently, the company is preparing other energy options.
SVCC said that it would be 'indifferent' if the government decided not to follow through with the coal usage plan, as it could rely on mazut, a low quality fuel oil, in addition to gas, in order to produce cement. The company added that the availability and sustainability of energy sources remains the biggest challenge it faces.
SVCC company officials said that the application of alternative energy sources suggested by the government will take at least 12 months. "The use of coal will allow the company to reach 100% of its production capacity," SVCC's Samar Abd Al-Gawad said. She added that despite the fact that the use of agricultural wastes is 'great,' its percentage in the energy mixture cannot exceed 15 - 20%. "The challenge that the company faces in the use of agricultural wastes is that the market is not consistent and the products that are used as wastes, such as the linen seeds and corn cobs, are seasonal."
SVCC has applied for licences for coal usage and agriculture waste and is awaiting approval from the Ministry of Environmental Affairs. Investing in the usage of agricultural wastes could cost around US$283,000.
The company is seeking to double its production capacity and is currently constructing two new cement plants, which are expected to be complete within 17 months. "The first plant will increase the production capacity by 1.5Mt/yr," said SVCC's consultant Ashraf Salman. "When the company receives its coal license it will increase its production to reach 3Mt/yr."
The company plans to increase its production capacity to reach 3.75Mt/yr by 2017. "The expansion will not only be in increasing the production lines but in looking for acquisition deals of parts or full shares of other cement companies," Salman added. SVCC operated at 70% of its full production capacity in 2013 'due to the energy shortages and the applied curfew.' The company exported around 80,000t of cement during the year.
Successful launch of PT Loesche in Jakarta 13 May 2014
Indonesia: Loesche has set up a full service hub in Jakarta, Indonesia. The office has been in full operation since January 2014 and focuses on plant modernisation and spare part supply, as well as on site support with all kinds of services for audits, maintenance, installation and commissioning activities in the entire Indonesian region.
Loesche has been present in the Indonesian market for more than 40 years and can now focus on closer client relationships and faster reaction times for the benefit of the local market. A one-day seminar took place in the Le Meridien Hotel in Jakarta on the 27 March 2014, introducing the Group's portfolio and activities. Apart from Indonesian cement producers, a wide audience from the coal mining sector attended. In addition to well-known technology for the cement sector, Loesche also introduced the newly patented coal enhancement process, which attracted much interest, especially as Indonesian miners are looking for a professional solution for coal upgrading.
Cemex CEO Lorenzo Zambrano dies
Written by Global Cement staff
13 May 2014
Mexico: Lorenzo Zambrano, CEO of Cemex died on 12 May 2014 in Madrid aged 70. There were no immediate details about the cause of death in a statement released by Cemex and there had been no reports of illness. The company added that it will continue to operate normally.
Founded by Zambrano's grandfather more than a century ago, the company started producing cement in the northern city of Monterrey, which later became one of Mexico's industrial hubs. Zambrano was born on 27 March 1944. He joined the company after graduate school in 1968, when he earned his master degree in business administration at Stanford University. By 1985 the board of directors give him full power as CEO. Then, through a series of acquisitions, Zamrano extended Cemex's reach to five continents with operations in 50 countries.
However a US$16bn acquisition of Australian building materials company Rinker in 2007 subjected Cemex to the subprime housing crisis. At the time, Zambrano put a brave face on it. "We've shown that a company that is born in a developing country can compete in the whole world and we want to keep doing it," he said. Cemex spent the following years coping with large debt obligations, struggling to make deals with lenders and trimming costs by outsourcing and restructuring jobs.
Article updated: 14 May 2014