Asamer withdraws from Russian cement project

Asamer withdraws from Russian cement project
Published: 23 May 2007

Austrian construction company Asamer Holding AG will withdraw from its largest cement plant project near St. Petersburg, in Russia, due to disagreements with its partner Russian construction group LSR, the Austrian business daily WirtschaftsBlatt reported on May 22, 2007.

Asamer, together with LSR, had planned to build a production site with a capacity of two million tonnes of cement a year by 2008.

Now Asamer is looking for a substitute project to meet the high demand for cement on the Russian market and wants to develop it without any pressure, the company said. Asamer has still not decided whether it will act alone or again with a partner. An acquisition was also possible, Asamer’s executive Kurt Asamer said. Currently several projects in Russia, Uzbekistan and Kazakhstan are being examined.

Asamer already operates cement works in Slovakia and Bosnia and Herzegovina with a total capacity of 2.2Mt. Cement activities accounted for Euro 87m of Asamer’s Euro 330m turnover in 2006.