CEMEX S.A.B. DE C.V.

Cemex strengthens supply chain to support US operations
in their efforts to address cement shortage

Cemex has announced it is optimizing its supply chain to meet shortages experienced throughout the western US. The optimization includes a kiln’s recommissioning at a cement plant in northwest Mexico. This announcement leverages Cemex’s unique supply chain synergies in North America to alleviate cement shortages and project delays in California, Arizona, and Nevada.

Cemex is investing approximately US$ 15 million to recommission a kiln with a production capacity of about 1 million t of cement annually at the CPN cement plant in Hermosillo, Sonora/Mexico. This investment should create more than 130 jobs in Mexico. Using its extensive distribution network in the region, Cemex seeks to consistently supply Portland cement through its terminals in California, Arizona, and Nevada.

Currently, Cemex supplies more than three million tons of cement each year across California, Arizona, and Nevada from its Victorville, California, cement plant, and sea-borne imports. The kiln restart at the CPN plant in Mexico, increased efficiencies at the Victorville cement plant in California, and other supply chain modifications are planned to help the company deliver hundreds of thousands of additional tons of cement through its local supply chain.

The recommissioned kiln is expected to be fully operational and delivering cement by the second quarter of 2021. For now, Cemex continues to import cement through its California marine terminals to help meet its customers’ supply requirements.

www.cemex.com

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