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IT enables cost-effective clinkerisation at Samrat Cement plant

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The cement Industry in Nepal mainly depends on clinker received from Indian cement plants, which is then put into the grinding process in Nepal before sending into the market. One of the biggest challenges for Nepal-based cement companies is the ever-increasing cement manufacturing cost due to surges in the cost of clinker and other raw materials. Availability of resources is another big challenge. Hence, having a clinkerisation plant locally is becoming a need for them to survive in this sector.

Samrat Cement was facing the same challenge. The company came into the cement sector in 2013-14 with their grinding and packing unit at Lamahi-District Dang in Nepal with a vision to build a brand with enhanced quality cement. After establishing itself as a strong brand in Nepal, the company?? vision was to own a clinkerisation plant to cope with cement demand and to survive with manufacturing costs.

Conceptualisation of Project

To meet its vision, Samrat cement awarded a 4000 TPD Clinkerisation Plant to KHD Humboldt Wedag Indiain 2018. The first land excavation started in November 2018, and the entire project was completed in December 2020 with the first production of clinker in January 2021. As added by Basudev Pandeya, Managing Director of Samrat Cement, clinkerisation plant was conceptualised on the following basis.

  • The cost of clinkerisation has to be lower down about 20 to 25 per cent from purchased clinker.

  • The project must be conceptualised in such a manner that the co-generation to be capable to cater the power requirement of the total clinkerisation plant excluding Raw Material grinding.

  • During the selection of clinkerisation plant technology suppliers were called and the best technology was selected.

The main performance parameters are as under:

  • Clinkerisation plant capacity between 3500-4500 TPD to get an optimum range of Co-generation and heat-saving benefits.

  • Raw Material Grinding: KHD Roller Press capacity 345 tph with a specific power of 11.75 Kwh/t Raw meal.

  • KHD High-efficiency cyclone 5 stage Pre-heater (First installation) with a Pressure drop of 300 mmwg at PH fan Inlet and lowest heat consumption.

  • Total Specific power consumption from crusher to Clinkerisation as 43-45 kwh/t.

  • Selection of Roller Press in Raw material grinding enables low heat requirement hence more co-generation possible.

  • Waste Heat recovery plant with hot air

Fast track project with a Target time of completion of 18-24 months

IT Solution to meet the challenges

Based on the above consideration, KHD deployed an energy-efficient grinding machine, Roller Press (RP 16-170/180, Roller surface- CHF), in a closed circuit with V-separator (VS 96/20) dynamic separator (SKS ??LC 3500).

The advantage of this system is that higher capacity requirements are met with lower power consumption.

For Pyro-processing Line, new generation Preheater consists of newly developed High-Efficiency series HE cyclones (PH- 90HE72), Pyro top, Low NOx PYROJET Kiln Burner, 3 station rotary kiln (4.2 m dia x 65 m long), IKN cooler with 90M2/effective cooler area.

The implementation also included other equipment — Limestone crusher-stacker- Reclaimer (Make- Tenova Takraf, 650 TPH), Coal Crusher-Stacker ??eclaimer (Make- Lepton, 150 TPH) & coal mill (VRM-make Pfeiffer, 35 TPH).

Cost-analysis and decision-making

Pandeya said, ??xecuting a 1.5 million tonne per annum cement project at a hilly area like Nepal was never an easy task and required many resources and committed teamwork, further we faced a challenge when it falls during pandemic duration for about 8-9 months hence completing this project within two years is really a success story.??He added further that it would not be possible without the professional skills of the Samrat Team and the professional and enriched experience of KHD Humboldt Wedag India.

Talking about the plant location, the clinkerisation unit of Samrat Cement is located at Satbaria nearby Lamahi Town on verge of the National highway connecting Butwal-Nepalgunj, which is most favourable for a clinkerisation unit because the raw materials are available within a short distance and transportation of product and materials to their destination becomes very easy via national highway.

Plants in Nepal usually require a DG set to run clinkerisation or a UPS of 5-6MW capacity. It is noteworthy that plants, where it is required to have DG sets to run on a continuous basis, will be about three times costlier as compared to the cost of Grid power/co-generated power.

Samrat Cements wanted to go for a better solution, so they finalised on KHD five-stage pre-heater mainly to ensure the co-generation up to 30 to 35 Kwh/t clinker is met. This means there was no need to have any UPS or DG set to continue for the clinkerisation plant.

Pandeya further explains that one side it may look that this decision is costlier in terms of specific heat consumption which is about 20 Kcal/kg as compared with six stage pre-heater technology but on the other hand, the KHD high-efficiency pre-heater solution has its advantage with specific power saving of three units in PH fan and co-generation of additional three units at Pre-heater.

Specific power consumption has about one-third of the cost than that generated by DG sets. (Grid Power costs about 8 to 10 NPR/unit whereas DG generated power costs about 24-27 NPR/unit) so a total of six units saving gives a clear-cut monetary term advantage of about double as it lost in extra heat in five-stage pre-heaters in comparison to 6 stage pre-heater. [Consideration 27 NPR/kwh cost of power with DG set, 15,000 NPR/T landed cost of South African coal, 710 kcal/kg.cl heat consumption, 5500 kcal/kg heat value]

Benefits of a 5 stage Pre-heater

Samrat Cements believed that having a five-stage pre-heater was a wise decision as many plant sites including Nepal do not have strong soil, which may not be suitable for a pre-heater height of more than 125 m. Hence, for higher capacity kiln lines, it may require going for twin string of preheater tower, which has an impact of 20 per cent in civil cost. Below are the advantages.

Planning and execution

Clinkerisation plant was sequenced to start with Limestone crusher along with stacker reclaimer unit and this dc was achieved one month before the kiln light-up. A raw mill that is equipped with roller press was started 15 days before kiln light-up as the roller press circuit does not require hot gas during start-up as compared to VRMs where it is mandatory. This is how the company saved on the cost of Hot air generator.

Around 5000 tonnes of raw meal were grounded with roller press operated in finish mode and kept ready in raw meal silo. Coal mill was started along with kiln light-up and clinker was achieved very fast within 72 hours from kiln start-up.

As per plant operating personnel, the roller press operation in raw material grinding is found to be very simple and trouble-free. Moreover, it is energy efficient.

So far, the total clinkerisation power best achieved is 42.4 kwh/t (Table1). However, the plant started just a few months ago and the company sees great potential to further optimise below 40kwh/t.

Roadmap

Samrat Cement, Nepal is towards a mission of achieving manufacturing cement with the lowest energy consumption and at an economic cost. Producing green cement, minimising carbon emission, energy efficiency, using alternative fuels, and saving water are some of the targets set by the company in near future. Below is a detailed roadmap.

  • Producing green cement with a minimum carbon footprint and saving water. Hence waste heat recovery and roller press technology were given priority.

  • Commissioning of waste heat recovery system, which will cover almost all power consumption of pyro-section excluding some intermediate departments.

  • Expected pay-back period is 2.5 to 3 years for WHRS when compared with DG power.

  • Waste heat recovery system is expected to get commissioned by October 2021.

  • Clinker grinding system where ball mill of 3.4 m x 10 m is getting upgraded with KHD roller press, which will increase the capacity of clinker grinding up to 225tph and specific power shall be 23-25 kwh in finish mode.

  • Samrat cement team added further that total specific power consumption after cement mill upgradation is anticipated as 63 Kwh/t of PPC (From crusher to cement grinding), which will be a benchmark to the cement industry.

  • Usage of alternative fuels in pyro process to consume solid waste produced by the community.

Conclusion

The company is optimistic about achieving specific power consumption for Clinkerisation below 40 kwh/t and total cement production below 60-62 Kwh/t with 700 kcal/kgcl heat consumption. After a successful implementation of this project, the company is hopeful to achieve milestones in near future too.

  1. Waste Heat recovery system (WHRS) with 6 stage Pre-heater have a potential of cogeneration about 28 units/T clinker which needs a UPS to absorb power fluctuation/ switching from grid to DG sets. Hence an additional cost of UPS rating 6-7 MW is huge along with a cumbersome job to maintain UPS batteries. Whereas 5 stage preheaters have the potential for above as 32-35 kwh/t clinker. Hence total clinkerisation plant excluding either Raw Mill can be operated with its own generated power by WHRS.

  2. Pre-heater exit Pressure is lowest among all the plants nearby countries as it found only 250 mmwg at fan inlet while operating without WHRS, which means after WHRS operation it may reach to 300-320 mmwg.

  3. Pre-heater exit pressure is directly linked with Pre-heater fan power which is in the range of 3.5-3.9 Kwh/t.

4. Raw Mix Burnability is found to be easy burning and the combination of Limestone and Clay enriched with Silica and Alumina reacts well and lowers the Pre-heater temperature to 280-290 Deg.C in 5 Stage Pre-heater.

Concrete

Cement Makers’ Margins To Fall Rs 50-75 Per Tonne Amid West Asia Conflict

Crisil Sees Margins Easing Despite Steady Demand

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Crisil said operating margins of Indian cement manufacturers are expected to decline by Rs 50-75 per tonne (t) this fiscal to Rs 925-950 per t due to higher input costs triggered by the West Asia conflict. The analysis covered 18 cement companies accounting for nearly 90 per cent of India’s domestic cement capacity and noted margins had improved sharply to around Rs 1,000 per t in fiscal 2026.

Crisil noted that the reduction would be driven mainly by higher power and fuel costs, which account for about 30 per cent of total costs, as petcoke and imported coal prices have surged amid geopolitical uncertainties. Freight costs, which account for about a quarter of total costs, are also expected to remain elevated because of higher diesel prices. The impact on profitability is likely to be more pronounced in the first half of the fiscal year before easing commodity prices moderate cost pressures later.

The rating agency said steady domestic demand and strong balance sheets should keep credit profiles stable despite the moderation in margins. Green energy currently accounts for 35-40 per cent of the sector’s total electricity consumption and is expected to partly cushion higher energy costs. Operating cash flows are likely to remain resilient, supported by projected 6-7 per cent growth in cement demand this fiscal.

Crisil highlighted that demand growth will be driven primarily by infrastructure spending, which meets about one-third of sector consumption, and by a nearly 18 per cent higher budgetary allocation for core ministries that should support project execution. Weaker rural housing demand amid pressure on agricultural incomes from a possible below-average monsoon may be offset by improved urban housing demand supported by favourable home-loan rates and a strong pipeline of Pradhan Mantri Awas Yojana-Urban projects. Ongoing capacity additions will keep capital expenditure elevated and may lift net debt to EBITDA to between 1.2 and 1.4 times from around 1.0 time last fiscal, though ratios are expected to remain healthy.

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Concrete

UltraTech Board Approves Rs 50 bn Fundraise Via NCDs

Company to issue half a million debentures for expansion plan

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UltraTech Cement’s board of directors has approved raising Rs 5,000 crore (Rs 50 bn) through non?convertible debentures issued in rupees.

The finance committee cleared a proposal to issue up to 500,000 fully paid, unsecured, listed, rated, redeemable, rupee?denominated, non?convertible, non?cumulative debentures of Rs 1 lakh each (Rs 0.1 mn each), aggregating to the Rs 5,000 crore programme.

As of June 2026 the firm reported net debt of Rs 15,875 crore (Rs 158.75 bn) and said its capacity expansion projects under execution are backed by capital expenditure of about Rs 17,000 crore (Rs 170 bn) over the next two to two?and?a?half years.

UltraTech spent Rs 9,500 crore (Rs 95 bn) on capital expenditure in financial year 2026 and in April the group crossed 200.1 mn tonnes per annum of domestic grey cement capacity and 205.5 mn tonnes per annum of global capacity.

The chief financial officer indicated the company would take consolidated capacity beyond 242 mn tonnes per annum, with grey cement capacity reaching 212.7 mn tonnes per annum by the end of financial year 2027. He noted the net debt?to?earnings before interest, taxes, depreciation and amortisation ratio stood at 0.87 times as of June 2026 and the company was confident of ending financial year 2027 with the ratio below one time.

In the first quarter of financial year 2026?27 UltraTech’s net profit attributable to owners rose 16.8 per cent year?on?year to Rs 2,599.3 crore (Rs 25.993 bn) and revenue from operations increased 15.9 per cent to Rs 24,648.20 crore (Rs 246.482 bn). The board approval is expected to complement internal cash flows as the company advances its expansion programme.

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Concrete

Lokesh Lays Stone For Rs 31 Billion Cement Unit In Kadapa

Line-2 expansion to make Kadapa a major cement hub

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Andhra Pradesh Education and IT Minister Nara Lokesh on Wednesday laid the foundation stone for the Line-2 expansion of Dalmia Bharat Cement at Chinnakomerla village in Mylavaram Mandal in Kadapa district. The project carries an investment of Rs 31 billion (bn) and is slated for completion by the third quarter of the financial year 2028. The expansion is intended to boost industrial growth and employment generation across the Rayalaseema region.

Once commissioned, the Kadapa facility will become Dalmia Bharat’s largest integrated cement manufacturing ecosystem in southern India, creating over 1,000 direct and indirect jobs and opening new business avenues for regional micro, small and medium enterprises and transport operators. Lokesh said the expansion signalled growing corporate confidence in the state and reflected the practical ease of doing business that secured repeat investment.

He placed the project within the government’s wider economic targets and recalled the Yuvagalam padayatra commitment to generate two million (mn) jobs within five years, noting that the state would cultivate talent while industry created opportunities. Lokesh highlighted Andhra Pradesh’s competitive pursuit of major manufacturing accounts, mentioning past successes and a personal initiative to engage global investors when persuading them to anchor expansion in the state.

The plant will leverage Kadapa’s abundant limestone reserves to scale production and sustainability. Clinker capacity is planned to rise from two point five million tonnes per annum (mn tpa) to six point one mn tpa, while overall cement output will increase from three point six mn tpa to nine point six mn tpa. The unit is designed to operate on over eighty per cent renewable energy and deploy waste heat recovery, zero liquid discharge, water recycling and advanced AI systems to optimise efficiency. Industries Minister TG Bharat, BC Welfare Minister S. Savitha and Jammalamadugu MLA C. Adinarayana Reddy attended the ceremony.

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