Egypt’s largest private cement maker wants cleaner fuel for its kilns. It has bought into a local firm that turns waste into that fuel.
Heidelberg Materials Egypt has taken a minority stake in ZeroCarbon, a homegrown firm that cuts carbon. The two also signed a partnership. It aims to speed up cleaner, more circular cement making in Egypt. The size of the stake and the deal value were not disclosed.
ZeroCarbon began in 2015. It handles city waste, farm waste, and building and demolition waste. It turns that waste into useful resources, including fuel. Its first treatment plant opened in Islamia in 2015, and it has grown since.
The deal gives Heidelberg Materials Egypt a steadier supply of other fuels. That means less use of fossil fuels. The firm also wants refuse-derived fuel (RDF) to top 30% of its other fuel use. RDF is fuel made from waste that cannot be recycled. The firm runs four plants, in Suez, Kattameya, Tourah and Helwan. It has more than 1,100 staff.
The deal lets ZeroCarbon focus on growth and output. It will back a new RDF plant in 10th of Ramadan City and upgrades to current sites. ZeroCarbon will also make Supplementary Cementitious Materials (SCMs) through its arm, Ready Rocks. SCMs can replace part of the clinker in cement. Clinker is the part that gives cement most of its emissions.
“This partnership will help us expand RDF production and develop Supplementary Cementitious Materials to reduce clinker use and carbon emissions,” said Karim Elsabee, co-founder and CEO of ZeroCarbon. Mohamed Hegazy, CEO of Heidelberg Materials Egypt, said the deal shows a push for “more sustainable building materials.”
The move fits Egypt’s National Climate Change Strategy 2050. It seeks growth with fewer emissions in key sectors.
Why it matters: Cement is a heavy emitter. Plants need steady fuel to cut their use of fossil fuels. A big buyer taking a stake in a local waste firm links both sides. The waste firm gets a sure customer. The cement maker gets a supply it can count on. Other African startups in waste and green materials can study this deal.
What to watch next: the size of the stake, when the 10th of Ramadan plant opens, how fast RDF passes 30% of the fuel mix, and whether other cement makers sign similar deals.
Sources: African-Startups on the ZeroCarbon investment; CemNet, Heidelberg Materials Egypt takes stake in ZeroCarbon; Global Cement, Heidelberg Materials Egypt invests in alternative fuels company.
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