24 September 2008

HeidelbergCement makes further investment in Russia

In mid-September, HeidelbergCement acquired 75.1% of the shares in the Russian company OAO Voronezh Rudoupravlenie. In the Strelitsa quarry, 10 km outside the city of Voronezh, the company extracts around 550,000 tonnes of clay and 250,000 tonnes of silica sand per year through open-cast mining. With a population of around one million, Voronezh has excellent links to the road and rail network as well as waterways in southwestern Russia. In addition, the Strelitsa quarry is in a strategically favourable location for HeidelbergCement's activities, between the new cement plant being constructed in the Tula region and the Doncement plant in Ukraine.

"We will use the raw materials from the Strelitsa quarry", explains Andreas Kern, Managing Board member responsible for the Central Europe-Central Asia, "to supply the booming Voronezh region. In the next stage, HeidelbergCement will construct a new, modern cement plant with an annual capacity of 1.2 million tonnes in the region."

In Russia, HeidelbergCement currently operates a cement plant and an import terminal near St Petersburg and also produces ready-mixed concrete there. At the beginning of September, another cement terminal in Kaliningrad was commissioned. The construction of a cement plant in the Tula region (around 130 km south of Moscow) will increase the Group's production capacity by a further 2 million tonnes by the end of next year. In addition, sand and gravel are extracted in Tula.

HeidelbergCement is the global market leader in aggregates and a prominent player in the fields of cement, concrete and other downstream activities, making it one of the world’s largest manufacturers of building materials. The company employs some 65,000 people at 2,700 locations in 50 countries.

1,820 characters

Andreas Schaller

Group Spokesman, Director Group Communication & Investor Relations
+49 6221 481 13249
+49 6221 481 13217
HeidelbergCement AG
Berliner Straße 6
69120 Heidelberg