Global CemFuels News

India: The Jaipur Municipal Corporation (JMC) plans to set up small-scale waste-to-energy plant to generate electricity. A Bangalore-based private company, which has been appointed for the project management, will submit a project report in four months. The JMC plans to generate nearly 6MW/day from 650t of waste.

"At present, JMC generates close to 1250t/day of waste," said deputy mayor Manoj Bhardawaj, "Of this 1250t, 350t is used to produce refuse-derived fuel that is sold to cement plants and 250t is used to produce compost manure. We are planning to generate electricity from the remaining 650t."

India: Coal India (CIL) is likely to sign a major joint venture agreement with the India Railways to co-develop a number of railway projects to extract coal. CIL would provide the money, while India Railways would provide the labour force creating the infrastructure, including the tracks, sidings and related infrastructure.

The joint venture plan was conceived by Union railway minister Suresh Prabhu, who has been working hard to raise India Railways' share of coal transport and CIL chairman Sutirtha Bhattacharya, who has previous experience of working on similar projects for the Krishnapatnam Rail Co. The deal is expected to be signed shortly. "The terms are being worked out. We will disclose when it is finalised," said Bhattacharya.

CIL has been looking at a comprehensive revenue-based partnership with India Railways in a bid to create mega infrastructure for which about 50 separate projects across the country have already been identified. Of immediate priority would be three specific projects, including a 90km stretch linking Tori-Shivpur-Kathautia connecting the North Karanpura mines in Jharkhand, Jharsuguda-Barpalli-Sardega in Odisha and Bhupdeopur-Raigarh-Mand in Chhattisgarh. CIL is likely to invest US$643m in these three projects.

The joint venture is expected to help CIL double its coal production from the current levels to 1Bnt by 2020.

Egypt: Tourah Cement plans to invest US$39.4m to convert its plant to alternative fuels to recover production ability and profitability. Tourah did not make a profit in 2014.

Nigeria: Aliko Dangote, president of Nigeria's largest cement producer Dangote Group, has announced that he is increasing his refinery's capacity to 650,000b/day. The move, according to petroleum industry analysts, will see Nigeria listed as having the largest petroleum refinery in the world.

Dangote said that the initial plan was to have 450,000b/day refining capacity, but that he has since opted for a bigger plant because he believes that Nigeria, as a leading producer of crude oil, should also be credited with local refining capacity. Currently, Nigeria produces crude oil, but has to buy refined products from abroad. Dangote Group executive director Devakumar Edwin said that the Dangote refinery was ready to reverse the trend. The refiner is expected to be fully operational by 2017.

Vietnam: Ha Tien 1 Cement Company is negotiating with Indonesian partners to import coal from Indonesia, according to the Saigon Securities Incorporated (SSI). Under the current laws, businesses must seek permission for the import of energy products.

Coal accounts for 40% of clinker and 32% of cement production costs. Ha Tien 1 is considering importing coal because the market price has fallen sharply with the drop in crude oil prices. Ha Tien 1 currently buys coal from Vinacomin at US$100/t. The coal price in Indonesia is US$52/t free on board (FOB).

If Ha Tien 1's proposal to import coal gets approval from the government, the cement manufacturer would cut production costs and be able to reduce sale prices and boost its sales. If Ha Tien 1 could import 25% of the total coal it needs for production, it would be able to reduce its production cost by 8%.