Insights from the island of Ireland

Operating in a sector recognised as 'hard to abate' in terms of carbon emissions, Mannok manufactures and supplies essential products to the construction industry. Mannok’s main operations span a unique 3 km cross-border hinterland between Fermanagh (Northern Ireland) and Cavan (Republic of Ireland). The business is located 90 – 100 miles from the nearest port, with no rail access. As a result, products are transported exclusively by truck on increasingly congested roads. Energy infrastructure presents a further significant challenge. The electrical grid is constrained, with high levels of curtailment – particularly in the north, where curtailment can reach 30 – 40%. There is no local gas network in the south, and it is currently not economically viable to connect to the gas network in the north.

As is the case across the cement industry, more than 60% of emissions are process-related and currently unavoidable, resulting from the process of heating limestone to very high temperatures (approximately 1450°C) to produce clinker. When considered in the context of Ireland’s geographic characteristics and regional infrastructure constraints, these factors present a significant challenge for the cement sector as a whole in relation to the deployment of carbon capture, utilisation, and storage (CCUS), particularly in the absence of viable pathways supported by government policy over the coming decade.

In addition, in recent years, businesses across Ireland have experienced a series of significant external pressures, including cyclical market downturns, regional executive government shutdowns (NI), Brexit, the COVID-19 pandemic, and the war in Ukraine. Together, these developments have contributed to unprecedented energy price inflation (c. 300 – 400%), compounded by the ongoing cost-of-living crisis, with direct impacts on the local workforce.

The opportunity

Owing to local geology dating back approximately 350 million years, Mannok benefits from a rich source of locally available raw materials, including limestone, sandstone, and shale – materials that form the lifeblood of the cement and building products industry. More recently, the abundance of renewable energy in the region, and its potential to decarbonise Mannok’s extensive industrial operations and vehicle fleet, has become increasingly apparent.

Meeting the needs of customers and investors alike, and building on the legacy of previous generations, the recent publication of Mannok’s first long-term sustainability strategy – Mannok 2030 Vision – has had a transformational impact on the business. More than a strategy, it represents a call to action across its foundational pillars of ‘people, planet, and partners’. The document sets out a clear roadmap, detailed action plans, and robust governance structures to deliver interim targets of a 35% reduction in emissions by 2030 and to achieve net zero carbon no later than 2050.

The combination of long-term strategic raw material reserves, access to renewable energy, a credible sustainability roadmap, and a skilled and determined workforce has helped mitigate investment risk and position Mannok as an attractive place to do business – evidenced by its recent acquisition by Çimsa.

Mannok aims to significantly increase the share of renewable energy within its own energy mix, enhancing energy self-sufficiency by generating renewable electricity primarily for on-site consumption. This represents a fundamental shift in its approach to energy security and resilience.

The continued extraction and combustion of unabated fossil fuels is incompatible with a sustainable future. Conflicts are increasingly driven by competition for scarce resources, including fossil fuels, which are predominantly imported and therefore expose supply chains to geopolitical risk. Mannok is no exception, currently importing coal from thousands of miles away. Recent geopolitical events have resulted in significant volatility and spikes in energy prices. While pricing pressures have eased, this is widely recognised as a temporary reprieve until the next systemic shock. Given current political and economic headwinds, the likelihood of further disruption has increased materially.

A constrained energy system reliant on imported fossil fuels can no longer be relied upon to provide heavy industry with sufficient low-carbon electrons and molecules to decarbonise operations and meet emission reduction targets. As highlighted previously, partnership and collaboration are recurring and critical themes. One project that exemplifies this approach is outlined in the following case study.

Enjoyed what you've read so far? Read the full article and the rest of the March issue of World Cement by registering today for free!

Read the article online at: https://www.worldcement.com/special-reports/17032026/insights-from-the-island-of-ireland/