The construction of a new cement plant in Azerbaijan, called Gizildash Cement, will boost domestic capacity and bring down prices, say NORM Ltd, the company behind the new plant. With 2 million t capacity, adding to Garadagh Cement’s 1.8 million t (on completion of its current expansion project) and Akkord’s 1 million t plant (currently under construction), it is hoped that prices will decrease by around 30 – 35%.
“The prices will be reduced gradually, although already today demand for cement in the country is estimated for 4 million of tons a year and till 2015 it will grow up to 6-7 million of tons,” a representative from NORM told press. The plant will produce oil well cement, as well as OPC, at an initial investment cost of US$400 million. Of this, US$100 million will go towards creating the necessary infrastructure to optimise the plant’s performance. China Triumph International Engineering Co Ltd (CTIEC) has won the contract to lead an international consortium of suppliers that will build the plant over a scheduled 28 month period. Under the terms of the contract, construction work must begin within 3 months of signing. Operation of the 5000 tpd plant will begin in late 2013. Plans for the project date back to 2008, when Holtec Consulting prepared a feasibility study. An environmental impact assessment has already been approved by the Ministry of Environment & Natural Resources of Azerbaijan.
Azerbaijan currently consumes 4 million tpa of cement, and this is expected to increase over the next few years. As well as supplying the domestic market and replacing some imports, the plant plans to export cement to surrounding countries.
Meanwhile, work on the new kiln line at Garadagh Cement is coming to an end. The company reports that construction and commissioning of the line should be completed before the end of the year. The plant has also been in the local news warning of fake cement appearing on the market, being sold as Garadagh’s own brand cement but at a lower price and with a fake bill.
Read the article online at: https://www.worldcement.com/europe-cis/04032011/new_plant_for_azerbaijan/