6 CBC | 2014, May 20
Growth and Sustainability at Votorantim Cimentos
Edvaldo Araújo Rabelo
Votorantim Cimentos Overview
A global, vertically-integrated
building materials company
11%
North
America
58%
South
America
(including Brazil)
Presence in 14 countries
Europe,
Africa
and Asia
31%
6th largest cement player
in the world (ex-China) in terms
of cement installed capacity.
54 Mtpy
Votorantim Cimentos Overview
Leader in Brazil with
more than 460 Sites
Company Overview
Global Footprint
Products: cement, ready-mix concrete,
aggregates, dry mortar, hydrated lime,
gypsum and agricultural lime
More than 80 years of experience in
the sector
Pioneer in co-processing and pozzolan
technologies in Brazil
North
America
1st phase
Cimpor
Asset
Swap
South
America
expansion
Cimpor
Partnership
with 21.2% stake
2001 2007-2009
2001
2010-2011
2012
Votorantim Cimentos Overview
Complete Product Portfolio
in Worldwide Operations
FOTO Agregado
FOTO Cimento
CEMENT
54 Million t
34 cement plants
22 grinding mills
READY-MIX
CONCRETE
AGGREGATES
14 Million m3
328 ready-mix plants
40 Million t
84 aggregates facilities
MORTARS AND
OTHERS
2.5Million t
13 mortar plants
One of the most vertically integrated players in the sector
WE’VE BEEN WORKING TO SUPPORT
THE BRAZILIAN GROWTH
IN 2008 WE SET AN
AMBITIOUS ORGANIC
GROWTH PLAN
RR
AP
AM
MA
PA
CE
PI
AC
PE
TO
AL
RO
BA
MT
GO
DF
MG
MS
ES
SP
PR
Existing lines 2008
SC
New lines by 2010
2007
2008 2010 2013 2015 2018
RS
RN
PB
RJ
SE
RR
AND DESPITE THE
GLOBAL CRISIS IN 2008,
WE DELIVERED:
AP
Barcarena
Pecem
AM
MA
PA
Xambioa
PI
Poty W3PE
e4
AC
TO
Porto Velho
+ 4,5Mt capacity
SE
Aratu
Itaú de minas W1
MS
DF
MG
ES
+ 10 New expansion projects
SP
Existing lines 2008
SC
New lines by 2010
RS
RJ
Santa Cruz
Santa Helena W3
PR
2007 2010 2013 2015 2018
BA
Nobres - Poz
MT
more than R$ 1 bi invested
RN
PB
AL
RO
GO
+
CE
TO SUPPLY OUR
COSTUMER’S CONTINUOUS
NEEDS AND COUNTRY
GROWTH
RR
AP
São Luís
AM
MA
PA
CE
PI
AC
TO
RO
+ 10,5Mt capacity
Laranjeiras W1
Cuiabá
BA
more than R$ 2.5 bi invested
SE
DF
MG
MS
+ 11 new expansion projects
ES
SP
Salto de Pirapora W5
Existing lines
New lines by 2013
Rio Branco W9
SC
Vidal Ramos
RS
RJ
Santa Cruz
Santa Helena
PR
2007 2010 2013 2015 2018
AL
MT
GO
+
PotyPE
RN
PB
Capivari de Baixo
Imbituba
DESPITE THE DIFFICULTIES IN
THE LICENSING PROCESS AND
THE SKY ROCKETING CAPEX
COSTS
RR
AP
Primavera
AM
Sobral e Pecem
MA
PA
CE
PI
Paraiba
Xambioá
AC
TO
Expansion Plan
26%
Formosa
Edealina
39%
22%
BA
GO
ES
SP
Existing lines
PR
SC
Plants under Licensing
RS
RJ
Cajamar
New lines by 2015
2007 2010 2013 2015 2018
DF
MG
MS
32%
PE
AL
RO
MT
RN
PB
SE
Votorantim Cimentos Overview
Expanding our footprint outside Brazil
Turkey
USA
Morocco
Peru
Bolivia
Argentina
Presence in 14 countries and INCREASING CAPACITY
Worldwide Growth Strategy
Every new project uses best
sustainable technologies and is aligned
with the sustainability strategy of VC
VC Expansion
STRATEGY
+
SUSTAINABLE
TECHNOLOGY
Sustainable Technology
To build all of this, we are using the
best available technology ( BAT ) to
guarantee a sustainable growth.
Sustainable Equipment
BEST AVAILABLE TECHNOLOGY
High
technology
Baghouses
SNCR systems
for NOx
abatement
Low NOx
Calciners
Continuous
emissions
monitoring
R&D
Cementitious
Materials and
Co-processing
Sustainable Equipment
BEST AVAILABLE TECHNOLOGY
High technology
Baghouses
SNCR sytem for NOx
abatement
Cementitious Materials Low NOx Calciner
Co-processing
Continuous emissions
monitoring
VC Sustainability
Global
Sustainability
Megaforces
STRATEGY
Our Sustainability Strategic Plan is based
on Four Components and Composed by
Four Principles:
Stakeholders’
Expectations
Safety
Always First
Communities
Engagement
Close relationship &
Local Development
Ethics and
Compliance
Green Rules & external
established commitments
Eco-efficiency
and Innovation
Reducing Our Footprint and Serving Our
Costumers with the lowest impacts
Sustainability
Strategy
Established
Commitments
VC’s Vision
Always in First Place
Safety
Historical Global
Frequency Rate
VC Global Safety Policy
and Life Saving Rules
Safety Alerts
Managing by
Walking Around
 Visible Leaders
 Pragmatic Actions
100%
2010
50%
Right of Refusal
2013
 Human Rights
Historical Global Frequency
Rate
Communities
Engagement
Our strategy is
promoting local
development
To work closely and
in partnership with
the localities where
the company is
placed:
Create a close relationship with the communities
nearby worldwide operations by investing in
social projects
Improving the communities life quality
Votorantim
Economic
growth
Sustainable
development
Focus on United Nations Millennium development goals
Communities
Engagement
Create a close relationship with the communities
nearby worldwide operations by investing in
social projects
Communities
Engagement
Create a close relationship with the communities
nearby worldwide operations by investing in
social projects
Education & Development
 More than 2000 youth
 65% of employment rate
 8% dropout rate




R$ 62 million invested
40 projects
25 cities
More than 1000
families impacted
Job Creation
Public Management Support
 Modernization & public
administration
management
 12 cities
 Focusing on the
local development
 13 locations
 More than 200 community
leaders trained
Community Council
Eco-efficiency
and Innovation
Innovate to increase product and service value while
optimizing the use of resources and reducing
environmental impact that can cause risks for the business
Important Partnerships
& Established Commitments
Global Report
Iniciative
Global Compact
Cement Sustainability
Initiative
The Company Charter of the
Cement Sustainability Initiative
CO2 and Climate Protection
Responsible Use of Fuels
and Raw Materials
Employee Health and Safety
Emissions Reductions
Local Impacts on Land and
Communities
Reporting and Communications
Assurance
• CO2 emissions data
• Safety data
• Nox, Sox and dust emissions data
Eco-efficiency
and Innovation
Our Actions Towards
Biodiversity
Develop, implement and
disseminate best practices
Karst mining areas and
Atlantic Rainforest
Contribute to biodiversity
conservation and
protected speleological
Innovate to increase product and service value while
optimizing the use of resources and reducing
environmental impact that can cause risks for the business
Eco-efficiency
and Innovation
2
Innovate to increase product and service value while
optimizing the use of resources and reducing
environmental impact that can cause risks for the business
3
fresh concrete
hardens
Recycling as
aggregate
Concrete
Zero Loss
Program
1
fresh concrete
recovering using
additives
4
Recycling C&D
Waste
Eco-efficiency
and Innovation
Our CO2 Footprint
Evolution*
reduction
Innovate to increase product and service value while
optimizing the use of resources and reducing
environmental impact that can cause risks for the business
Sustainable
Product Portfolio
(low footprint)
20%
Our Emissions
Levels Evolution
PMreduction
45%
1990 2013
Global kg CO2 /ton cement
*VCBR/VCNA
30%
77%
70%
70%
1990
2013
% Sustainable Product in
Portfolio (low carbon) in Brazil
2000
2013
Global PM (g/ton clk)
Eco-efficiency
and Innovation
Our Thermal Energy
Matrix Evolution
Thermal consumption
reduction
21%
Innovate to increase product and service value while
optimizing the use of resources and reducing
environmental impact that can cause risks for the business
Alternative Fuels
16 Plants with
alternative fuels
+ 800 k tons (waste,
tires and biomass)
1990
2013
Global Thermal Energy
Matrix
More than R$300M
capex in the next 5
years
Eco-efficiency
and Innovation
R&D - Algae Farm in
St. Mary’s
Carbon dioxide
emissions turned
into energy
• Currently Re-tooling Pond
Biofuels Algae Project with
new lighting and
instrumentation.
• Technology is working and
scale-up engineering
underway
• Increase Academic
Collaboration
Innovate to increase product and service value while
optimizing the use of resources and reducing
environmental impact that can cause risks for the business
CO2
water
UV light
Growth
tank
Baghouse
to power plant
to to pyro
algae slurry
Drier
algae cake
Filter
press
Eco-efficiency
and Innovation
Innovate to increase product and service value while
optimizing the use of resources and reducing
environmental impact that can cause risks for the business
R&D - Use of Low
Carbon Content
Cementitious Materials
Porto Velho Pozzolan Plant
Built to Supply Santo Antonio and Jirau Hidro-Power Plants
Reduction on
Clinquer Factor
11%
Santa Cruz Granulated Slag Plant
81
73
1990
2013
Global Clinker/Cement
Ratio
Capivari Fly Ash Plant
Thank you!