Aventas Group, the renamed former Quinn Group of companies, is to invest €16 million in its Quinn Cement plant in Co Cavan.
Aventas said it has appointed contractors PJ Carey to convert the landmark cement plant which towers 90m over the town of Ballyconnell, to use solid recovered fuel. About 100 construction jobs will be created in the conversion. The investment is part of an overall spend of between €30 million and €50 million which Aventas plans to make in upgrading and maintaining the plant over the next five years.
Aventas is 75 per cent owned by its former creditors – mainly banks and hedge funds – with the remainder held by its principal former lender, Irish Bank Resolution Corporation.
Solid recovered fuel is essentially cardboard and some textiles and plastics found in the household, along with other wastes. The fuel will replace more expensive high quality South African coal and according to plant manager Barry King will reduce carbon emissions by about 20 per cent.
Future of plant
Aventas said confidence in the future of the plant has risen following the performance of the construction industry supplies division of the group. The division is responsible for 10 manufacturing plants employing 500 people in the Ballyconnell/Fermanagh Border area. It recently opened a depot in Rochester from where it is hoping to triple its penetration of the British cement market.
Aventas Group chief executive Paul O’Brien said the British market currently consumes about 10 million tonnes of cement annually, with Quinn Cement due to capture about 1 per cent of that, this year. At about €96 (£80) a tonne, the Quinn cement share is worth €9.6 million.
However, the company hopes to triple its UK turnover in coming years – a hope aided by a very strong take up in the UK of its insulated brick products, made in Ballyconnell.
At a press briefing in Ballyconnell yesterday Mr O’Brien said the Aventas investment in Quinn Cement was “a very positive sign of confidence” in the cement plant, given the over capacity of cement manufacturing in the Irish market North and South.
Mr O'Brien said he believed there were "tentative signs of growth" in the Irish market North and South, but that the construction industry would have to get to double its current output to be on a sustainable basis in Ireland.
Recent attacks
He said everybody knew the recovery in the building industry would come first in the Dublin area, but he believed it would filter out to other areas.
Commenting on recent attacks on Aventas Group property in the Border region, he welcomed the call of former group owner Seán Quinn for whoever was responsible to desist.
