Yanbu Cement Company (YCC) expectedly came out strongly in financial performance for 2006 and maintained the momentum with another good showing in the first quarter of this year.

At a time when Saudi Arabia is going through unprecedented construction activity fuelled by high-level revenues and tremendous demand from the real estate and infrastructure sector, YCC reported a net profit of SR512.2 million for 2006, an increase of 12.92 per cent over the previous year.  First-quarter net profits were given as SR151.6 million ($136.5 million), up 25 per cent.
YCC produces 4.45 million tonnes per year (tpy) of clinker, which through additions of material yields 4.67 million tpy. The product range includes ordinary Portland cement, sulphate-resistant cement, low-heat cement and Portland Pozzolana cement. The company commenced production in 1977 with two kilns yielding a total production of 3,000 tonnes per day.   The third long dry kiln was commissioned with a capacity of 1,000 tonnes per day in 1982 thus raising total plant capacity to 1.2 million tones per year. Kiln 4 was commissioned in 1998 with a capacity of 7,000 tonnes per day. An upgrade to that kiln was completed in 2005 to take its capacity to 8,500 tonnes per day of clinker.
News reports have said another major expansion is due to take total capacity to 7 million tpy in view of the rising demand for cement. The trade and industry ministry has authorised the firm to build a fifth production line with a daily output capacity of 10,000 tonnes, Yanbu Cement said in a statement on the bourses website which was quoted in the press.
But a company spokesman denied recently that any concrete plans had been made, saying that the shortfall in capacity will be met by new capacities created through new units and expansions in other cement facilities in the kingdom. Saudi Arabia is also likely to receive surplus from output in plants in other GCC states.
All of YCC’s production lines have been installed by the German company KHD Humboldt Wedag AG. The latest upgrade comprised a considerable number of modifications at the thermal line, namely the installation of a pre-heater feeding system and a five-stage two-string system pre-heated with Pyroclon calciners and Pyrotop mixing chambers. The upgrade also involved a rotary kiln, in particular one with a kiln hood roller station and outlet; a grate cooler and system fans. The conversion of the existing CP grate cooler was achieved by Claudius Peters, a partner of KHD Humboldt Wedag. Looking after the electrical scope and process automation was ABB.  A new cement mill, the third in Line 4, was created with a capacity of 190,000 tonnes per hour of cement.  It was identical to the two existing cement mills and comprised a ball mill and a high-efficiency separator operating in a closed circuit.