PPC to sell lime business for US$36m Written by Global Cement staff
05 May 2021
South Africa: PPC has agreed to sell its lime business to Kgatelopele Lime for US$36m. The cement producer previously identified PPC Lime as a non-core operation and the sale process started in December 2020. Kgatelopele Lime was formed to buy PPC Lime. Its shareholders are mineral resources trader IMR Resources, investment holding companies Kolobe Nala Investment Lime, HEX2M and JJJL Mining. The divestment is subject to consent by competition authorities and the government by the end of 2021.
PPC Lime originally started operations in 1954 in Lime Acres, Northern Cape. PPC Lime continues to mine out of two quarries, mining dolomite and limestone respectively, along with a rotary kiln plant to manufacture the burnt product. PPC Lime generated revenue and earnings before interest, taxes, depreciation and amortisation (EBITDA) for the financial year
Government considering sale of Oman Cement Written by Global Cement staff
05 May 2021
Oman: The government is reportedly considering selling its majority stake in Oman Cement. Unnamed sources quoted by Bloomberg say that the authorities have been discussing the matter with financial advisors but that no final decision has been reached. The government owns a 54% stake in the cement producer through the Oman Investment Authority.
In separate reporting, Oman Cement Company has postponed its proposed US$250m Duqm cement plant project while it confirms the availability of fuel. In March 2021 the cement producer issued a tender for a related power plant project, according to the Muscat Daily newspaper. The proposed plant will have a clinker production capacity of 5000t/day.
Dangote Cement’s revenue and earnings grow in first quarter of 2021 Written by Global Cement staff
05 May 2021
Nigeria: Dangote Cement’s revenue grew by 35.5% year-on-year to US$874m in the first quarter of 2021 from US$655m in the same period in 2020. Cement sales volumes rose by 18.7% to 7.5Mt from 6.3Mt. Earnings before interest, taxation, depreciation and amortisation (EBITDA) increased by 56% to US$468m from US$300m. Revenue and sales volumes increased fastest in Nigeria but earnings increased faster in the rest of Africa.
“We took the strategic decision to pause our clinker exports to ensure we meet the rapid volume growth in the Nigerian domestic market. We are improving the output of our existing and new assets and aim to recommence clinker exports in the second quarter,” said Michel Puchercos, the company’s chief executive officer. He added that the company had also ramped-up its new 3Mt/yr Obajana Line 5.
Belarus Ministry of Energy contemplates the use of peat in cement production Written by Global Cement staff
05 May 2021
Belarus: The Belarus Energy Minister Viktor Karankevich has met with energy research institute Belgiprotopgaz to discuss the latter’s plans for the transition to the use of peat as fuel for cement production. Business World Magazine has reported that the country launched a major modernisation of peat production for 2021 – 2025 in late 2020. If successful, the domestically produced resource will replace imported natural gas in cement kiln lines.
Elementia’s sales and earnings grow in first quarter of 2021 Written by Global Cement staff
05 May 2021
Mexico: Elementia recorded standalone net sales of US$363m in the first quarter of 2021, up by 18% year-on-year from US$309m in the first quarter of 2020. The group’s Mexican cement sales rose by 25% to US$74.9m from US$60.0m. Its US cement sales rose by 6% to US$58.9m from US$55.8m and its Central American sales rose by 18% to US$6.13m from US$5.19m. Its earnings before interest, taxation, depreciation and amortisation (EBITDA) rose by 52% to US$51.2m from US$33.6m. In early March 2021 the group announced that it was starting a spin-off process to form a new company from its metals and building systems businesses as part of an ongoing corporate strategic reorganisation.