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1 Industry Sector Background information Drive Technologies Division Nuremberg, February 13, 2014 Cement webcast A strong partner for the cement industry today and into the future Cementability reliable processes and sustainable partnership The demand for cement shows no signs of letting up. Worldwide approximately 2,000 cement plants produce around 3.3 billion tons of the gray gold. In broad terms, demand for cement and concrete can also be regarded as a sign of a flourishing economy. China has a particularly strong appetite for cement: it consumes more than half of the world s production, followed by India, the United States and Turkey. For a number of years the Siemens branches in all these countries have specialized in electrical equipment for cement plants. Most countries in Southeast Asia are investing significantly in public infrastructure, which is why the consumption levels of cement and steel are rising sharply. For instance, Indonesia s cement association ASI (Asosiasi Semen Indonesia) is anticipating annual growth of 8 to 10 percent in the medium term. According to data from the largest Indonesian cement manufacturer, Semen Gresik, in 2011 Indonesia used 48 million tons of cement; by 2012 consumption had risen to 52.8 million tons. Over 55 percent of the cement was used on the main island of Java, followed by Sumatra with 22 percent, then Sulawesi and Kalimantan, each with 7.4 percent. The Indonesian Ministry for Industrial Projects anticipates cement consumption of around 103 million tons per year up to Even today the production capacities of the nation s nine cement companies are only just sufficient to meet market demand. Therefore, to prevent supply shortfalls and to avoid having to import cement, local capacities must be increased. Siemens offers a broad range of innovative solutions and services for cement plants in Indonesia. Indocement Tunggal Prakarsa Tbk is the country s second-largest cement producer. The company currently owns twelve facilities, including the three Siemens AG Wittelsbacherplatz 2, Munich, Germany Communications and Government Affairs Head: Stephan Heimbach Industry Sector Drive Technologies Division Gleiwitzer Str Nürnberg Reference number: I e fp Page 1/5
2 integrated cement plants in Citeureup, Cirebon and Tarjun. Indocement, which was founded in 1985 and became a subsidiary of the German group HeidelbergCement in 2001, produces 18.6 million tons of clinker each year. Recently the company contracted Siemens to replace another supplier s process control system, currently being used for its cement production lines, with the latest version of the Cemat system, based on Simatic PCS 7. Thanks to its flexible system architecture, it will be possible to install the new control system within a very short time without interrupting plant operations. The system will be implemented in six out of twelve cement production lines. The scope of supply includes I/O modules and control cabinets, PLC controllers, and control and engineering consoles. The existing system will be upgraded to the new process control system from Siemens in three phases over three years, with completion expected in The plan is to also integrate the coal mills and the new vertical roller mills into the control system. Holcim, Indonesia s number three in the cement industry, has also opted for Siemens technology. The company commissioned Siemens to supply the electrical drive technology for two cement production lines, No. 1 and No. 2 in Tuban, with a capacity of 2.4 million tons of clinker. Siemens has been doing business in Malaysia for 40 years and is the secondlargest German company active in the country. One of its main customers, Lafarge Malayan Cement Berhad, had its cement mills in Kathan equipped with the Cemat control system. As Malaysia s largest cement producer, it operates four production locations in the country. The Kanthan plant manufactures over three million tons of cement per year. In the course of measures to increase the productivity of the plant and to ensure optimum electrical safety standards, the process control and electrical power distribution system for lines No. 3 and No. 4 were fundamentally modernized. Siemens supplied the Cemat V6.0 control system, which is based on Simatic PCS 7. Function blocks were tailored to the company s specific requirements and integrated into the solution. The new system controls and monitors all parts of the production line, which consists of a kiln, a clinker cooler, a coal mill, a raw mill and a roller press. Siemens also supplied new alternating-current drives, the motor control center with Sivacon 8PT switchboards and medium-voltage Siprotec protection devices, and installed emergency power supply equipment, including an uninterruptible power supply (UPS). In addition, the low-voltage cabling was renewed and equipped with measuring and monitoring systems. To keep downtimes to a minimum the upgrade was carried out within a 20-day maintenance shutdown. At the cement plant in Petaling Jaya on the island of Langwaki, Siemens Reference number: I e fp Page 2/5
3 modernized the main drive of the kiln and equipped it with modern alternatingcurrent technology based on Sinamics S120. In Vietnam Siemens supplied the entire electrical equipment and automation for the latest production line at the Cong Thanh cement plant in the province of Thanh Hoa. The largest single cement production line in Asia is currently being built at this plant. It will have a capacity of 12,000 tons of clinker per day. The centerpiece of the automation is the Cemat process control system, based on Simatic PCS 7, with integrated kiln control. It permanently monitors energy consumption and optimizes the clinker production process. The scope of supply also includes the process instrumentation, including the analyzers and special instrumentation. The electrical equipment comprises the cabling for the medium- and low-voltage distribution systems, the UPS and battery systems, the MV switchgear units and the low-voltage distribution panels with intelligent MCCs (motor control centers) and variable speed drives. Earthing and lightning protection equipment, lighting, fire detection and alarm systems, the CCTV and the telephone systems are also part of the order. In Thailand cement demand has risen by 12 percent due to a stronger economy, major infrastructure projects, and development activities following the tsunami and flooding. In October 2013 TPI Polene Public Company Ltd, one of Thailand s largest cement producers, placed an order with Siemens for engineering and supply of the power distribution system and drives for its new clinker production line in Saraburi. The new line has a high production capacity of 12,000 tons per day. Siemens is supplying the drive solutions and the switchgear for the high, medium and lowvoltage distribution systems, and is also responsible for project management and engineering. The deal for the drive systems covers 20 slip-ring rotor motors for the main drives, 12 gear units, 33 variable-speed drives for fans, and two multiple drive systems for cooling units. Upon completion the four cement production lines at TPI Polene in Thailand will have a combined capacity of 12 million tons per year. Siemens has already supplied TPI with electrical equipment for the three existing clinker production lines and for the cement and coal mills. For the customer it was important to obtain all the electrical equipment and services for the four production lines from a single source to ensure there would be no interface problems. Holcim Ltd. is one of the world s largest cement producers and is active in over 70 countries. The Swiss group takes its responsibility to the environment very seriously and has reduced its CO 2 output by 20 percent over a 20-year period (1990 to 2010). Holcim has built a formidable presence in the Philippines over the last 40 years, establishing plants in Bulacan, Davao, La Union and Lugait. Siemens continued the Reference number: I e fp Page 3/5
4 modernization of control technology at the Holcim plants in Bulacan and Davao. Once the first cement production line was upgraded in 2012, the other two lines followed in The complete migration to PCS7/Cemat process control technology is due for completion in Iligan Cement Corporation, an affiliate of the cement manufacturer Lafarge, also awarded Siemens a contract for system migration to Simatic PCS7/Cemat control technology, which will be the basic framework for the plant s future automation upgrades. Following a successful plant-wide automation upgrade in 2010, local player Eagle Cement Corporation commissioned Siemens to install an open Simatic PCS7 station to complement its management information systems. For its contract with the Brazilian subsidiary of the cement manufacturer Holcim, Siemens has teamed up with Gebr. Pfeiffer SE, a company with a long and successful tradition in the manufacture of processing systems for the cement, lime, gypsum and ceramics industries. The two partners have developed a new vertical mill that is being installed as part of a capacity expansion of the plant in Barrosso, in the Brazilian state of Minas Gerais. With an overall power rating of 11,500 kw and production capacity of 450 metric tons of cement per hour, the vertical mill is the most powerful of its kind in the world today. Thanks to its multiple drive operation, the mill offers the extra availability, reliability and power to meet the high demands of the cement industry. Contact for journalists: Stefan Rauscher, phone: stefan.rauscher@siemens.com This press release and a press picture are available at For further information on cement, please see Follow us on Twitter at: Reference number: I e fp Page 4/5
5 The Siemens Industry Sector (Erlangen, Germany) is the world's leading supplier of innovative and environmentally friendly automation and drive technology, industrial software and technology-based services. The Sector's comprehensive portfolio covers the entire industrial value chain, from product design, engineering and production to services. Siemens enhances its customers productivity, efficiency, and flexibility in a wide variety of different industries. With a global workforce of more than 100,000 employees, the Industry Sector comprises the Divisions Industry Automation, Drive Technologies and Customer Services as well as the Business Unit Metals Technologies. For more information, visit Reference number: I e fp Page 5/5
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