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Dalmia Bharat to add 6 MnTPA Cement Capacity in Maharashtra and Karnataka

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  • Investment in alignment with the strategic goal of becoming a PAN India company and achieving 75 MnT capacity by FY28
  • Increases capacity primarily to meet growing demand in Western India along with existing regions

Dalmia Bharat Limited, one of India’s leading cement companies, through its subsidiaries, has announced a strategic investment of approximately Rs 3,520 Crore in the states of Maharashtra and Karnataka. As part of this initiative, the company will establish a 3.6 MnTPA clinker unit and a 3 MnTPA grinding unit at its existing Belgaum plant, Karnataka coupled with a new greenfield split grinding unit with a capacity of 3 MnTPA in Pune, Maharashtra. The capex will be funded through a combination of debt and internal accruals. With this expansion, Dalmia Bharat’s total installed cement capacity will increase to 55.5 MnTPA, after considering the ongoing expansion of 2.9 MnT at Assam and Bihar. These new units are expected to be commissioned by Q4 FY27.

The Belgaum Grinding Unit will cater to the underserved Southern Maharashtra markets while enhancing share in the existing region by improving penetration. On the other hand, Pune Grinding Unit will entirely cater to the untapped Western Maharashtra markets. The initiative is a part of the company’s vision to be a PAN India player and achieve 75 MnTPA capacity by FY28 and 110-130 MnT by 2031.

Speaking on the development, Mr. Puneet Dalmia, Managing Director & CEO, Dalmia Bharat Limited, said, “This investment is a significant step in our Phase II expansion strategy, bringing us closer to strengthen our position as a pan-India player and to reach intermittent goal of 75 MnT capacity by FY28. The increase in our production capacity is primarily to meet the growing infrastructure demand in Western India.” He further added, “We remain committed in realising our goals of capacity expansion, while staying focused on operational excellence and creating long-term value for our stakeholders. The capacity additions will also continue to be in line with Dalmia Bharat’s sustainability-driven approach and its commitment to supporting India’s infrastructure and development goals.”

About Dalmia Bharat: Founded in 1939, Dalmia Bharat Limited (DBL) (BSE/NSE Symbol: DALBHARAT) is one of India’s pioneering cement companies headquartered in New Delhi. With a growing capacity, currently pegged at 46.6 MnT, Dalmia Bharat Limited (including its subsidiaries) is the fourth-largest cement manufacturing company in India by installed capacity. Spread across 10 states and 15 manufacturing units.  Dalmia Cement (Bharat) Limited, a subsidiary of Dalmia Bharat Limited, prides itself at having one of the lowest carbon footprint in the cement world globally. It is the first cement company to commit to RE100, EP100 and EV100 (first triple joiner) – showing real business leadership in the clean energy transition by taking a joined-up approach.

Concrete

Beyond the Gearbox: How a Holistic Lubrication Strategy Reduces Total Cost of Ownership in Cement Plants

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Cement manufacturing runs on rotating equipment, and every one of those assets is connected to the same bottom line. The plants seeing the biggest gains today are the ones that stopped treating lubrication as a line-item cost and started treating it as a plant-wide reliability strategy.

For India’s cement plants, the economics of operations come down to two variables: energy consumption and equipment uptime. Both are directly influenced by lubrication – not just at a single point in the plant, but across multiple critical systems running simultaneously, every day. Most lubrication conversations in cement manufacturing begin and end with the gearbox. That focus is understandable – gearboxes are among the most demanding and most expensive assets to maintain. But limiting the lubrication conversation to one asset type means leaving real savings on the table. The plants that are reducing total cost of ownership most effectively are those looking at lubrication strategy across the whole plant, not just the most visible application.

The Gearbox
Conventional mineral-based gear oils under high-load, high-temperature conditions can shear, lose viscosity, and force early change-outs – with oil changes at every 2,000 hours adding up in labour, downtime, and lost production over the life of the asset. Mobil SHC™ 600 Series synthetic lubricants are engineered for exactly these conditions. They can reduce energy consumption in gearboxes and circulating systems by up to 3.6 per cent*, extend oil life by up to six times versus conventional oil, and are approved by Siemens AG for use in Flender gearboxes. In one documented instance at a cement plant in Tamil Nadu, switching to Mobil SHC™ 632 delivered a 1 per cent increase in energy efficiency, a 3°C reduction in gearbox temperature, an oil drain interval extended by four times, and annual savings of INR 4,76,772**.
That result alone makes the case for better fluid selection. But it is only part of the story.

The Compressor: Where the Bigger Opportunity Often Sits
Compressors are as operationally critical as gearboxes in a cement plant – and typically receive far less lubrication attention. Running continuously under high load cycles, with lubricant exposed to sustained heat and oxidation, compressors on conventional oils often degrade faster than their scheduled drain intervals suggest. The result is increased maintenance frequency, elevated running temperatures, and higher total lubricant consumption than necessary.
Mobil Rarus SHC™ 1020 Series is formulated for exactly this environment. Recognised by more than 20 global compressor builders, it delivers up to 8,000 hours of oil life – significantly reducing change-out frequency and the associated downtime, labour, and disposal costs that conventional compressor oils generate.
The results from Indian cement plant operations are documented. In one instance, a cement sector facility operating 23 screw compressors reduced lubricant consumption from 10-12 litres per compressor to 5-7 litres, achieving annual savings of approximately INR 4,96,000**. In another, a cement manufacturer extended oil drain intervals by two times, lowered running temperature by approximately 10°C, and achieved annual savings of INR 4,86,747**.
The pattern across both operations is consistent: extended drain intervals, lower consumption, and measurable cost reduction – driven by a single product decision.

One Strategy Across the Plant
Gearboxes and compressors are only two examples. The same principle extends across a cement plant’s rotating equipment, mixer roll bearings, roll neck bearings, plastic calenders, and centrifuge applications all place similar demands on lubrication. Mobil SHC™ 600 Series spans seven viscosity grades, from ISO VG 32 to ISO VG 1000, giving plants the flexibility to match the right grade to the right application across this range of equipment, rather than defaulting to a single product for every use case.

The Bigger Picture
Energy and downtime are two of the largest controllable costs in cement plant operations, and lubrication is one of the few decisions that influences both directly. As demonstrated across the gearbox and compressor examples above, the right lubricant, matched to the right application and supported by field engineering services, can measurably reduce energy consumption, extend oil drain intervals, and lower maintenance costs.
For cement plants evaluating lubrication as part of a broader efficiency strategy, these results offer a starting point rather than an endpoint. Mobil SHC™ 600 Series and Mobil Rarus SHC™ 1020 Series are both engineered for the demanding conditions cement plants operate under daily, and the field results documented here reflect what that engineering can deliver in practice.
Fill with Mobil™. Fill with Confidence.

For more information, visit www.mobil.in/business

*Energy efficiency relates solely to the performance of Mobil SHC 600 when compared to conventional (mineral) reference oils of the same viscosity grade in circulating and gear applications. The technology used allows up to 3.6 per cent efficiency compared to the reference when tested in a worm gearbox under controlled conditions. Efficiency improvements will vary based on operating conditions and application.
**This Proof of Performance is based on the experience of individual customers. Actual results may vary depending on the type of equipment used, its maintenance, operating conditions, environmental factors, and the lubricants previously used, among other variables. Exxon Mobil Corporation has numerous affiliates, many with names that include ExxonMobil, Exxon, Esso, and Mobil. For convenience and simplicity, those terms, and references to “corporation,” “company,” “ExxonMobil,” “EM,” and other similar terms are used for convenience and may refer to one or more specific affiliates or affiliate groups.
For more information, visit www.mobil.in/business

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Concrete

Meghalaya To Engage Stakeholders Before Shree Cement Decision

Chief Minister says consultation will precede final decision

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Chief Minister Conrad K Sangma said in Shillong on August 13 that the Meghalaya government is consulting a range of stakeholders before taking a decision on the Shree Cement project. He said the authorities will listen to all sides and take a call after hearing representations, noting that the process is unfolding amid a 15-day ultimatum issued by the Khasi Students Union seeking cancellation of the public hearing. The chief minister framed the consultations as an attempt to balance competing interests and to reach an informed outcome.

He acknowledged that there are apprehensions in some quarters while emphasising that many residents in the project area have welcomed the proposed industry and supported its arrival. Sangma said the government is engaging with different organisations and examining all relevant aspects, and that it is mindful of the need to take all stakeholders into confidence. The engagement is intended to surface concerns, identify misunderstandings and ensure that decisions reflect the range of views present in the area.

On the allegation that a road was dug up during the public hearing process, the chief minister said the Deputy Commissioner has ordered an enquiry and the administration is awaiting the official report. He indicated that the enquiry has already been initiated and that the government will consider its findings before determining next steps. The probe was presented as part of the wider effort to ensure transparency and to address any procedural irregularities.

Sangma said the government remains open to dialogue with groups opposed to the project and will not close the door on discussions. He said discussion and dialogue are the preferred means to resolve concerns and that officials stand ready to clarify issues so that communities and authorities can move forward together. The administration will continue consultations while keeping all options on the table.

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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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