ReportNo. 1071-A i L tE ur Togo/IvoryCoast/Ghana F g Appraisalof CIMAO RegionalClinker Project (In Two Volumes) Public Disclosure Authorized Volume 11:Annexes June14, 1976 Industrial Projects Department FOR OFFICIAL USE ONLY Public Disclosure Authorized Public Disclosure Authorized Document of the World Bank Public Disclosure Authorized Thisdocument hasa restricteddistribution and may be used by recipients only in the performanceof their official duties. Its contents may not otherwise be disclosedwithout World Bankauthorization. TOGO/IVORY COAST/GHANA CIMAO REGIONAL CLINKER PROJECT CURRENCY EQUIVALENTS WEIGHTS AND MEASURES Except where noted otherwise, all All weights and measures are metric figures are quoted in Francs CFA units, if not stated otherwise US$ = CFAF 225 1 metric ton (ton) = 1,000 kilogram (kg) CFAF 1,000 = US$ 4.444 1 metric ton (ton) = 2,205 pounds CFAF 100 = US$ 0.444 1 kilometer (km) = 0.62 miles CFAF 10 = US$ 0.044 1 meter (m) = 39.3 inches FF 1 = CFAF 50 1 hectare (ha) = 2.47 acres CFAF I = FF 0.02 1 kilo calorie (kcal) = 3.9685 BTU ABBREVIATIONS AND ACRONYMS ADB: African Development Bank (Abidjan) APCM: Associated Portland Cement Manufacturers Ltd. (London) BADEA: Banque Arabe de Developpement Economique en Afrique (Khartoum) CCCE: Caisse Centrale de Cooporation Economique (Paris) CEB: Communaute Electrique du Benin (Lome) CEET: Compagnie Energie Electrique du Togo (Lome) CFT: Chemins de Fer Togolais (Lome) CIDA: Canadian International Development Agency (Ottawa) CIMAO: Ciments de l'Afrique de l'Ouest (Lome) CIMTOGO: Ciments du Togo (Lome) CTMB: Compagnie Togolaise des Mines du Benin EDF: European Development Fund (Brussels) EIB: European Investment Bank (Luxemburg) KfW: Kreditanstalt fuer Wiederaufbau (Frankfurt) MPWM: Ministry of Public Works and Mines of Togo OCAM: Organisation Communaute Africaine et Malgache ORIGNY: Origny-Desvroise (Paris) PAL: Port Autonome de Lome, Togo PEG: Prospective Engineering Gestion (Switzerland) SCA: Societe des Ciments d'Abidjan (Abidjan) SICM: Societe Ivoirienne de Ciments et Materiaux (Abidjan) TPD: Metric Tons Per Day TPY: Metric Tons Per Year VRA: Volta River Authority (Ghana) FISCAL YEAR January 1 to December 31 TOGO/IVO1EYCOAST/GHANA FOR OFFICIAL USE ONLY APPRAISALOF CIMAOR3TOAL CLINKER PROJET TABLEOF CONTENTS VOLTE II ANNEXES I Technical Terms and Process Description 2-1 The Industrial Sector in the Region 2-2 CIMAO - History 2-3 CIMAO - Legal and Organizational Framework 2-4 CIMAO - Organization Chart (during Project Implementation) 2-5 CIMAO - Organization Chart (Operation) 3-1 World Clinker/Cement Trade 3-2 The Market in Western Africa 3-3 The Regional Market of CIMAO 3-4 Distribution and Pricing of Clinker 4-1 The Project - Summary Cost Estimates 4-2 The Project - Summary Disbursement Schedule 5-1 Industrial Complex - Plant Description 5-2 Industrial Complex - Raw Material Availability and Analysis 5-3 Industrial Complex - Utilities 5-4 Industrial Complex - IManpowerand Training 5-5 Industrial Complex - Plant Implementation, Management and Technical Assistance 5-6 Industrial Complex - Implementation Schedule 6-1 CIMAO Power Supply 6-2 Township 6-3 Railway Transport of Clinker 6-4 Port of Lome and Rail/Port Terminal for CIMAO 7-1 Capital Cost Estimates - Industrial Complex 7-2 CIMAO's Working Capital Requirements 7-3 Capital Cost Estimates - Infrastructure Components 7-4 Overall Financing Plan and Terms and Conditions of Loans 7-5 Disbursement Schedule for Equity 7-6 Financing Plan - Allocation of Funds 7-7 Disbursement Schedule of IBRD Loan 8-1 CIMAO - Production Plan 8-2 CIMAO - Revenue Projections 8-3 CIMAO - Operating Cost Projections 8-4 CIMAO - Notes to Financial Projections 8-5 CIMAO - Income Statement Projections 8-6 CIIIAO - Fund Flow Projections 8-7 CItAO - Balance Sheet Projections 8-8 CImAO - Break Even Analysis 8-9 CIMAO - Financial Rate of Return and Sensitivity 9-1 Economic Rate of Return and Sensitivity 9-2 Foreign Exchange Effects This documenthas a restricteddistribution and maybe usedby recipientsonly in the petformance of their officialduties. Its contents may not otherwisebe disclosed without World Bank authorization. -2- MAPS IBRD 11921 - Western Africa and the Region IBRD 11685 - Region; Location of Grinding Plants, Clinker Plant and Terminal IBRD 11686 - SouthernTogo; Location of Clinker Plant and Rail/Port Terminal IBRD 12056 - Plant and Quarry Location ANNEX 1 Page 1 TOGO/IVORYCOAST/GHANA CIMAO REGIONAL CLINKER PROJECT TECHNICAL TERMS AND PROCESS DESCRIPTION A. Technical Terms The following is a list of the most common technicalterms used in the cement industry: CEMENT A hydraulic binding material in the form of an amorphous powder consistingof tri- and bicalcium silicates,tricalcium aluminatesand tetracalciumalumino-ferrites. Cement is pro- duced by heating a mix of raw materials (limestone,clay and sand) which transforms into cement clinker through incomplete fusion at a temperatureof about 1450'C. Clinker is ground together with small quantitiesof gypsum, which acts as a retarder, controllingthe setting time of the resulting cement. The most common cement types are: Ordinary Portland Cement used in ordinary concrete structures. Rapid Hardening Cement used in structuresrequiring early strength which is achieved by quick setting of the cement. Sulphate Resisting Cement used in structuresexposed to sea water or sulfurous materials. Low Heat Cement used in structuresof massive concrete blocks (e.g., dams) to avoid overheating during setting. SuperfineCement used for special structuresrequiring high strengths and for prestressedconcrete. Portland Blast Furnace Cement prepared, in part, from blast furnace slag and used in ordinary cement structures. Oil Well Cement used in the constructionof oil wells (for lining). Mixed Cement used for masonry work (mortar)and small concrete structures. CLINKER Clinkerizationis the process of burning to produce incomplete fusion in the material heated. Less than one-thirdof the material heated becomes fluid. The output of this process is a rocky material called clinker. Clinker is ground with small additions of gypsum to produce cement. ANNEX 1 Page 2 COMBUSTIONAIR Used with fuel to fire the kiln. PrimaryAir is the small amount of air injected into the kiln togetherwith fuel under high pressure. SecondaryAir, which constitutesthe major part of combus- tion air, is provided by fans and is heated up to about 800°C in the cooler prior to flowing into the kiln. COOLER Vessel in which hot clinker leaving the kiln is cooled. The cooler is designed as beat exchangerheating the secondary combustionair. Three major types of coolers are in use: Air QuenchingGrate Cooler: a moving grate, slightly inclined on which the clinker falls from the kiln to be cooled by fans under the grate. PlanetaryCooler: this consists of 8 to 14 cylindrical tubes (incorporatedinto the shell of the kiln) into which the clinker to be cooled falls. Rotary Cooler: (InternalCooler) cylinder of same con- structionas the rotary kiln and located under the firing hood. It rotates on tires. CRUSHING Raw materials are normally quarried in the form of large lumps and blocks and must be subjected to a reduction in size before being further processed into a slurry or raw meal which in turn is fed to the kiln. The reductionof raw materials from a maximum admissiblesize to an aggre- gate of a specifiedsize is achieved in a crusher. Major known types are: Roll crusher: which mills the materials particularly suited for moist material liable to cause clogging. Jaw crusher: which knocks into pieces the material particularlysuited for large size lumps. Impact crusher: such as hammer crusherand hammer mill ideally suited for raw materials of cement manufactureif these are not too moist or too abrasive. This type allows drying during the crushing process. Impeller crusher: which hits the materials against the bars of a gull and overcomes impact resistanceof material. Gyratory crusher: which rotates the materials around a cone in a continuouslyreduced space suitable for hard materialswhich are not too moist, and therefore,liable to clogging. DUST COLLECTION Dust pollutionhas been a serious environmentalproblem posed by cement plants as dust is generatedat nearly every stage of the productionprocess. Furthermore,large quantitiesof emitted dust also representlost production. Appropriate filtershave been developed: Bag filter: A series of chamberswith bags of nylon or other material installed,which dedust the airstreamloaded ANNEX 1 Page 3 with dust particles. A system of valves permits reversal of the air stream in a particular chamber to clean the bag and collect the accumulateddust. Only suitable if tem- peratures of the airstream and particlesdo not exceed 1000 to 1500C. Cyclone: It consists of an upper cylindricalportion and a lower funnel shaped portion. The airstream enters the cyclonic chamber tangentiallyat the upper portion. Through centrifugal force, dust particles strike the wall of the chamber and slide down to the discharge opening of the funnel. The cleaned airstream leaves the cyclone through a central outlet pipe. Cyclone's efficiency can be en- hanced by arranging several units in line (multicyclone batteries). Gravel filter: A filter consisting of a series of chambers filled with gravel. The dust-ladenairstream flows through the filter pockets thereby unloading the dust particles. Cleaning of the filter is by reversal of airstream and simultaneousstirring of the gravel bed. This filter is suitable for temperaturesabove 500°C and, therefore,