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Cementos Pacasmayo begins construction of new plant

World Cement,

Construction of new plant underway

Peruvian news site, El Comercio, has reported that Cementos Pacasmayo has begun construction of its new cement plant in Piura and plans to commence production in 1H15. The environmental impact study for the new site received approval in May 2013. The new facility will have a cement production capacity of 1.6 million t. Much of the cement produced will go towards meeting demand from road and infrastructure projects in the north of the country.

Cementos Pacasmayo results

The Peruvian cement manufacturer saw cement sales volumes increase by 9.1% y/y in 2Q13. During the period, cement production rose by 8%, with 493 600 t produced at the Pacasmayo plant and 58 400 t produced at the Rioja plant. Total cement production for 1H13 came in at 1.1 million t, 7.8% higher than in 1H12. Clinker production levels also grew y/y, rising from 646 700 t in 1H12 to 688 600 t in the corresponding period this year. In 2Q13, clinker production was up 20.6% y/y. The Rioja plant produced 56 600 t of clinker, rising by 36.4% y/y, while 338 400 t was produced at the Pacasmayo plant, representing an increase of 18.3% y/y.

The company’s consolidated EBITDA rose by 60% y/y in 2Q13 to reach S/.91.5 million, and operating profit increased by 72.9% y/y. However, fluctuations in the exchange rate impacted net income, which fell by 21.7% y/y.

Peruvian cement statistics

According to ASOCEM, cement despatches on the domestic Peruvian market reached 872 467 t in September, and increased by 9% y/y in January – September 2013. Approximately 16 000 t of cement was exported in September 2013.

Edited from various sources by Louise Fordham

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