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Khutul cement factory receives state honors

By Ch.KHALIUN

On February 16, Khutul Cement Lime JSC was awarded the State Gerege, the highest honor for contributing to national development.

Gogo.mn spoke with the Executive Director of Khutul Cement Lime JSC, G.Batdorj, about the company.

Congratulations for receiving such a precious award.

Thank you. I would like to thank all the senior engineers, currently working engineers, workers, national investor Basement Company, and colleagues from Ulaanbaatar City Bank for their financial support. Thank you to Erdenet Mining Corporation and Darkhan Metallurgical Factory for their assistance in determining policy direction. We received such a precious award as the result of collective labor.

What percent of the nation’s cement needs are being produced at the factory?

In May 2014, Khutul Cement Lime JSC opened its new factory with the projected capacity for producing one million tons of cement annually. The factory’s capacity has quadrupled since the opening. We are replacing 50 to 60 percent of imported cement products. We are currently negotiating with investment banks and planning to open a second factory to produce two million tons of cement per year.

How many tons of cement have been produced since the opening of the new factory in May?

Since the opening, approximately 350,000 tons of cement has been produced and distributed to the domestic market. Entities are very interested in using cement that meets quality requirements. Our company has received all orders for 2015.

Deputy Director of Ulaanbaatar City Bank O.Banzragch was in charge of investments in the renovation of the company.

The most important thing in development is investment.

The project was implemented in such a short time, and as a result, within a year and half we established a factory with the capacity to produce one million tons of cement per year with over 1,500 employees.
The project has many social and economic influences. Directly and indirectly, over 3,000 jobs were created. The investment for the project was 250 billion MNT. Khutul Cement Lime JSC produced 350,000 to 360,000 tons of cement, replacing around 40 million USD that would otherwise go to the foreign market. This year, the company will work at full capacity, and close the flow of 80 million USD. One of the advantages of the factory is that all the raw materials are here. The Cabinet is placing a high priority on the factory.

How about the price of cement compared to imported ones?

Last year, the price of cement was 140,000 MNT per ton, on average, and it is the same for imported cement. Around 90 percent of all cement consumers are in Ulaanbaatar, so there is a transportation cost. If the factory is operating at full capacity, it will meet all demands, as well as mitigate the price of cement. The biggest advantage of Khutul’s cement is the quality.

 

Short URL: http://ubpost.mongolnews.mn/?p=13545

Posted by on Feb 25 2015. Filed under Business & Economics. You can follow any responses to this entry through the RSS 2.0. You can skip to the end and leave a response. Pinging is currently not allowed.

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