FEASIBILITY REPORT

For

CO MM E R CIAL OP E RA T IO NS O F R OH R I CEMENT PRIVATE

LIMITED

With

PRODUCTION
CLINKER: 1.0 to 1.5 million Tons per Annum CEMENT: 1.5 to 1.8
million Tons per Annum

By

R O H R I CEMENT P R I V A T E LIMITED
ROHRI CEMENT PRIVATE LIMITED, ROHRI, DISTRICT SUKKUR .
 Table of Contents

1. Executive Summary 03

2. Introduction Of the Project/ Background Information 06

3. Project Description 10

4. Site 17

5. Planning Brief 25

6. Proposed infrastructure 26

7. Rehabilitation and resettlement (R & R) Plan 29

8. Project schedule & Cost Estimates 30

9. Analysis of proposal (Final Recommendations) 31

Figure

Table-1 Salient features of project

Table-2 Land breakup

Figure

Figure-1 Location Map

Figure-2 Key Map
Figure-3 Topographical Map
Figure-4 Cement Plant Layout

Annexures

Annexure – I Copy of MoEF Clearance

1. EXECUTIVE SUMMARY

Rohri Cement Private Limited

Rohri Cement Private Limited is the only cement factory located at the cross
roads of 02 provinces namely Punjab and Baluchistan with an installed
cement capacity of 1.8 million Tonnes Per Annum.

Conceived in 2013 to make dream of sponsors of the RCPL into reality, RCPL
has been evolving every day since its first conception from dream to reality
and now all set to become as one of the trusted cement brands, with
significant footprints in southern part of Sindh connecting to 02 provinces
namely Punjab and Baluchistan. Our clientele would be ranged from small
house owners to established real estate developers and from various state
governments to construction majors.

Over the last decades, RCPL had grown organically by developing in-house
expertise and capabilities, across the entire value chain in the cement
industry. RCPL cement plant is fully equipped with state- of-the-art
technology, enabling the company to deliver the superior quality products.

ROHRI CEMENT PRIVATE LTD (RCPL) will be operating a Cement Plant with a
Clinker production capacity of 1.5 million Tons Per Annum (MTPA) at Rohri
District Sukkur.

R C P L manufactures a wide range of cement including Ordinary Portland

Cement, Portland Pozzolana Cement (PPC), Portland Slag Cement (PSC).

RCPL received Environmental Clearance vide MOEF letter no.

The current status of various units of RCPL along with installed production
capacities are given below:

OVERVIEW OF PRODUCTION CAPACITIES OF R CPL

Installed capacity
MTPA
1 Clinker Production Capacity 1.50
2 Cement Production Capacity 2.00
3 Captive Limestone Mining 2.30

RCPL will be obtaining Waste Heat Recovery power plant Once RCPL will
achieve the commercial operations as to ascertain how much heat waste
will be looped for power generation. RCPL has clinker production capacity
1.50 MTPA, cement production 1.80 MTPA. With clinker production
capacity of 1.50 MTP, the limestone requirement would be 2.30 MTPA.

RCPL proposes to meet the limestone requirement from same captive

limestone mining area. The mining lease extends over an area of 400 Hector.,
in Rohri, District Sukkur.
The present proposal pertains to obtaining credit line facilities as to start
commercial operations of the cement plant as per the following table:

PRODUCTION CAPACITY (MTPA)

Unit Present Capacity
(MTPA)

Clinker Cement
Cement Unit –I 1.5 2.0
Plant Total 1.5 2.0

RCPL complex is located in an area of 60 Hector. The unit is located at Rohri

District Sukkur.

RCPL cement plant is supported by their captive Limestone mines to meet the
limestone requirement f o r p r o d u c ti o n o f c e m e n t . The production
capacity of limestone mines will be adequate.

The present water requirement of the plant is 930 m3/day and is sourced from
borewells & mine pit within the plant site.

The project is based on Clink-erization factor of 1.50 on Raw Meal basis with
specific heat consumption of 740 Kcal/ kg clinker.

For transporting cement from the cement plant to the market and
obtaining raw materials like coal, gypsum and other additives, not only well
connected roads but Multan-Sukkur Motorway is just 15KMs away and
railway siding is available.

No solid waste generation from the plant. Only Waste water generated
is only from domestic activities at cement plant. A full-fledged sewage
treatment plant (STP) is in operation designed for a maximum load of 250
m3/day. Treated domestic wastewater is 100% reused for greenbelt
development within RCPL cement plant complex.

The peak power consumption in the RCPL Cement plant complex including
mine is 30 MW. Power requirement is met through a mix of sophisticated
platforms based on just in time strategy by employing coal-based power, 132 KV
dedicated grid Station and Gensets so that supply of power will be uninterrupted
however at the same time Cost effective power generation will be gauged. Further we
are looking forward to bringing the WHR-- Waste Heat Recovery system one of the best
in the industry once RCPL will be operational. There will not be any additional
power requirement.

Plant is expected to be commissioned in 1st quarter of 2023 as construction and

installation of plant have already been completed.

Total working capital requirement is Rs. 1000 million for commencement

of the plant operati on
2.0 INTRODUCTION OF THE PROJECT/ BACKGROUND INFORMATION

i). IDENTIFICATION OF PROJECT AND PROJECT PROPONENT.

Rohri Cement Private Limited (RCPL) would be operating a Cement

Plant with a Clinker production capacity of 1.5 million Tons Per
Annum (MTPA).

RCPL present installed capacity of cement plant is 1.5 million tons

per annum (MTPA) of clinker and 1.8 MTPA of cement. PCIL is
manufacturing Ordinary Portland Cement (OPC), and Sulphate
Resistant Cement (SRC).

ii). Brief description of nature of the project

The Rohri Cement plant is based on process optimization of installing a new

cement plant as greenfield project. All the units in the upstream and
downstream of the kiln will be designed for a clinker production capacity of 4500
TPD on an average of 330 working days basis, the total annual output of clinker
will be about 1.5 MTPA with cement production will be 1.80 MTPA upon
commencement of operations.

The major raw materials for the unit are limestone, coal, pet coke, iron ore/
bauxite, gypsum and fly ash. The storage will be in covered sheds for all the raw
material. Cement manufacturing involves raw material preparation, raw meal
preparation, clinkerisation, cement grinding, blending, cement packing &
storage.

iii). Need for the project and its importance to t h e region.

The cement market has growth potential due to the government policies and
new schemes for housing, road projects. Cement demand growth is anticipated
to increase mainly through rural housing and infra projects. Continuous demand
for exports partnering countries along with the increased requirement of the
domestic sector have leaded all the cement industries in the country to plan for
increased capacities.

Cement is an important sector of the country and is also vital for its economic
development. The country’s infrastructural developments and construction
activities alongside multiple allied sectors (steel, wood, tiles etc.) are directly
influenced by the performance of the cement sector.

In FY21, overall sector gross revenues rebounded by ~35% and were recorded at
PKR~542bln coming off a low base, as in FY20 due to COVID-19 related
restrictions the industry size receded by ~-8.7% to PKR~402bln.

Cement Sector is composed of 17 companies of which 16 companies are

operational. The Sector is divided into two regions; North and South, with North
covering areas of Punjab, KPK and AJK and South including areas of Sindh and
Baluchistan.

Cement sector is organized and is oligopolistic in nature, with most of the players
listed on the PSX, market capitalization of the sector was recorded around
PKR~509bln in March’22.

Overall economic growth and government’s spending on development projects

are the main drivers of the sector’s growth. Pakistan’s per capita cement
consumption is around 215 kg whereas world average per capita consumption is
recorded around 550 kg, more than double the consumption in Pakistan,
reflecting an immense potential for growth in cement demand.

However recent political instability hampered the cement industry as per the
latest data, cement dispatches for Oct-2022 stood at 4.2mn tons (-19% YoY),
taking cumulative dispatches for 4MFY23 to 13.9mn tons, down 23% YoY, over
slow-down in construction activities and impact of floods.

On the other hand, declining trend in international coal prices has been a positive
for the sector as coal is the major raw material for cement manufacturers, which
is expected to offset impact from dull demand. The Richard Bay coal price quote
has declined by ~50% to ~US$185/ton from its high of c. US$360/ton in early
September 2022.

The cement sector will likely stay on radar in coming months over sharp declining
trend in coal. We believe long-term fundamentals stay strong. In our view, the
cement sector will likely stay in the spotlight during the upcoming months over
declining trend in coal prices and prospects for an increase in demand coupled
with additional widespread reconstruction demand brought on by flood
rehabilitation
So, with a view to capture growing opportunity demand, the management RCPL
wants to take up the section wise capacity balancing and optimization. The
commencement of Operations will enable the company to maximize its profitability
by optimum utilization of technology, manpower, present infrastructure and capital.

The cost of production will substantially reduce due to power efficient equipment,
fuel, financial charges and other fixed overheads on account of plant cost have
already been absorbed by the sponsors and large-scale economics due to expected
higher volume of production and sales.

It would also enable the company to withstand against the considerable competitive
pressure from large-scale units in the country and also to create wider brand loyalty
for the product.
PROJECT DESCRIPTION: -

Outline of the Manufacturing & production process

 Cement Plant: - The cement plant will adopt Dry Process Technology for Cement
manufacturing with Pre-Heating and Pre Calciner-Technology.

The major steps in the manufacture of cement are given hereunder:

• Clinker Section The main steps involved in the process are:

 Limestone Crushing
 Limestone Storage
 Raw Mill Feeding
 Raw Mill Grinding
 Homogenizing and Storage Blending Silo
 Cyclone pre-heater
 Kiln
 Cooler
 Coal Grinding
 Clinker Storage
 Cement Manufacturing: -
 The main steps In the Process of the cement Manufacturing are

• Cement Grinding • Cement Blending • Cement Storage and Packing

Technology and Process Description: -

• Cement Plant:-

Cement manufacturing principally involves grinding and blending of raw materials in a

definite proportion - a material containing calcium oxide (such as limestone, chalk, marl)
with a siliceous material (such as clay, shale, sand) along with certain additive or corrective
materials (such as laterite) and then calcining the mixture at high temperatures in a kiln. The
resulting ‘clinker’ is cooled and then ground with gypsum to produce the finished product,
Ordinary Portland Cement (OPC). Gypsum is added to control the setting time of cement.

The RCPL cement plant has adopted Dry Process Technology for Cement manufacturing with
Pre-Heating and Pre-Calciner Technology. Dry process of cement manufacturing offers more
advantages, particularly in fuel consumption and is the most rational and logical choice.

In the RCPL plant, dry process has been selected to manufacture clinker, which comprises of
rotary kiln, pre-heater and pre-calciner. In dry process, the raw materials are dried in a
combined drying-cum-grinding installation to reduce the moisture content to below 1%.
The drying in the grinding unit is achieved by using kiln exhaust gases for normal moisture.

The ground raw mix is then homogenized in silos and fed into the rotary kiln. Heat required
for evaporation of added moisture is eliminated in this process. Well-designed pre-heater
having high efficiency, low-pressure drop cyclones and pre calciner are installed. Suspension
pre-heater achieves better heat economy and therefore, fuel consumption in this process
remains in the range of 700 kCal/kg clinker for kiln with six-stage suspension pre-heater and
pre-calciner. Due to improved designs in various machinery, nowadays it is possible to
achieve a specific power consumption of around 58 KWh/t of clinker.

This process is environmentally friendly and helps conserve natural resources. Hence, the
dry process of cement manufacture rotary kiln with cyclone preheater in conjunction with
pre-calcinator has been considered for the existing cement plant.

Cement Manufacturing: -

The main steps in the process of the cement manufacturing are cement grinding, blending,
storage and packing. The major steps in the manufacture of cement are given hereunder:

The main steps involved in the process are:

Limestone Crushing • Limestone Storage • Raw Mill Feeding • Raw Mill Grinding,
Homogenizing/Blending of raw material • Storage in Blending Silo • Coal grinding and fine
coal dosing • Cyclone pre-heater • Preheating of Raw Meal in the six-stage Preheater with
Pre-calciner • Clinker cooling in Grate Cooler • Clinker grinding • Cement Milling, &
Blending, Cement storage and packing

The typical process diagram for cement manufacturing is depicted in Figure 1.

Process Flow Sheet:-

LIMESTONE CRUSHING AND SCREENING:-

The limestone crushing and screening plant are located in the mines area. From the dump
hopper, the limestone is extracted by an inclined apron feeder for feeding to the crusher at
a controlled rate. Before feeding crusher limestone is screened in Grizzly screen. Crushed
limestone is discharged on a short horizontal belt conveyor, which transfers the material to
an inclined belt conveyor for transporting to pre blending stockpile in the plant.

PRE BLENDING STOCKPILE:-

Pre blending of crushed limestone is done in a longitudinal stockpile, which is provided with
suitable stacking and reclaiming system. The reclaim belt is also provided with an
emergency dump hopper with a feeder so that in case of any problem with reclaimer, the
crushed limestone may be conveyed to raw mill through this hopper.

The same belt conveyor is also be used for transport of additive (sweetner). Crushed
limestone is normally reclaimed by reclaimer and conveyed to raw mill hopper by means of
belt conveyor. With the help of divertor and belt conveyor, sweetner is discharged into
sweetner hopper.

RAW MATERIAL GRINDING: -

Pre blended limestone, sweetener and iron ore are extracted from their respective hoppers
in a pre-determined proportion by weigh feeders, which will discharge on a belt conveyor
for conveying to raw mill. The belt conveyor is suitably provided with a magnetic separator
and metal detector to avoid damage to the mill from any tramp iron. A vertical roller mill is
used for raw meal grinding. The raw mill is provided with a bag house for ground raw meal
collection. Drying of material during grinding shall be done by kiln waste gases. Hot air
generator is provided for raw mill start up. Ground raw meal is conveyed to blending silo by
means of air slide and belt bucket elevator.

LENDING SILO: -

A continuous blending silo of concrete construction is used for homogenization of raw

meal.

KILN FEED SYSTEM: -

Control and metering of kiln feed is done by a solid flow meter. The kiln feed is conveyed to
kiln by air slide and belt bucket elevator.

The belt bucket elevators are used for conveying material from raw mill to blending silo. Kiln
feed from blending silo to preheater is also be fed by belt bucket elevators and these belt
bucket elevators will also be used for recirculation of kiln feed back into blending silo.

PREHEATER, KILN, COOLER AND CLINKER TRANSPORT

A twin string 6-stage preheater with pre-calcinator is used. The preheater however, has
provision to feed kiln feed either in 6thstage or 5thstage. Waste gases from preheaters will
be luidized for drying of raw materials and coal during grinding. Clinker is cooled in grate
type cooler with controlled airflow arrangement.

Cooled clinker is transported to storage silo by inclined deep bucket conveyors. Should a
need arise to avoid conveying clinker to storage silo (e.g. in case of silo being full), it can be
discharged into by-pass silo. The cooler vent air is passed through an ESP / Bag House for
dedusting before releasing to atmosphere.

CLINKER STORAGE: -

Clinker is normally stored in silo. However, in case of clinker silo being full, it is discharged
into by-pass silo.

COAL CRUSHING: -, PRE BLENDING AND GRINDING Coal unloaded from truck by truck tippler
is crushed in a roll crusher and conveyed to pre blending stockpile. A vertical roller mill is
used for coal grinding, luidizer pre heater waste gases for drying, collection of ground
material will be done in a bag filter. Fine coal is conveyed to two bins for firing into kin and
precalciner.

GYPSUM CRUSHING:- Gypsum is crushed in a roll crusher and crushed gypsum is conveyed
to cement mill hopper for feeding to cement mill.

CEMENT GRINDING:- One set of closed circuit Vertical Roller Mill (VRM) is used for cement
grinding.One ball mill is proposed. Cement is conveyed to silos by means of air slides and
bucket elevator.
CEMENT PACKING AND DESPATCH: -

Packing of cement is done by 4 numbers electronic packing machines each having 1 2 spouts
with three discharge arrangement. Hence, twelve separate loading lines are available for
packed bag for loading in trucks and similarly another set of eight separate loading lines will
be available for loading of cement bags into wagons after laying of railway lines. Loading of
cement in trucks and wagons is done by automatic loading machines.

TABLE – 1
SALIENT FEATURES OF THE CEMENT PLANT
Feature Details
Altitude
Longitude Latitude

District, State Rohri District Sukkur Sindh

Annual rainfall725 mm
Nearest water bodies River Indus – 11.4 km – S
Nearest Highway The National Highway connecting to Karachi
Sukkur—Multan Motorway.
Nearest Railway station Rohri
Inter State Boundary Punjab-Sindh-Baluchistan
District Head Quarter Sukkur
Nearest Town Sukkur
Nearest Airport Sukkur Airport

vi. Raw material required along with estimated quantity, likely source, marketing area
of final products, mode of transport of raw material and finished product.

The raw material required for production of clinker is Limestone, Iron ore, Bauxite and Coal.
Available limestone reserves of existing mines. The requirement of raw material per
annum on an average for the production clinker and cement as mentioned above is
presented in below table.

RAW MATERIAL REQUIREMENT (MTPA)

PRESENT
Limestone 2.3
Iron ore 0.02
Laterite 0.08

Gypsum
0.10

Coal
0.26
Slag 0.50

Ash requirement for PPC

0.10
For obtaining raw materials like coal, gypsum, additives and transporting cement from the
cement plant to the market well connected roads & rails are available.

3. ANALYSIS OF PROPOSAL (FINANCIAL RECOMMENDATIONS)

The capital cost, for the commencement of operations works out to Rs. 1000 crores.
Financial institutions will be funding the project.