ste genevieve plant tour worlds largest single kiln line cement plant jeff ouhl vice president plant manager september 14 2010 holcim ltd

Ste Genevieve Plant Tour World’s largest single kiln line cement plant Jeff Ouhl – Vice President / Plant Manager September 14, 2010 © Holcim Ltd 2010 Investor / Analyst Capital Markets Event 2010 Agenda Site specific safety training – 10 minutes Quick summary “the making of cement” – minutes Ste Genevieve plant preview – 40 minutes Plant tour – approximately 60 minutes Questions & answers Depart for hotel at 17:15 © Holcim Ltd 2010 Investor / Analyst Capital Markets Event 2010 Summary – site specific safety training Safety first • Holcim believes that the safety and health of all personnel working at our plant is our number one priority • We also believe that zero accidents is achievable and the only acceptable goal • You are responsible for staying with your escort and following the directions of your escort at all times • If you are unsure about a situation, please stop and get clarification 90% of all workplace accidents are the result of a poor or uninformed decision © Holcim Ltd 2010 Investor / Analyst Capital Markets Event 2010 Agenda Site specific safety training – 10 minutes Quick summary “the making of cement” – minutes Ste Genevieve plant preview – 40 minutes Plant tour – approximately 60 minutes Questions & answers Depart for hotel at 17:15 © Holcim Ltd 2010 Investor / Analyst Capital Markets Event 2010 Quick summary – cement and concrete 85% Limestone CEMENT 10% Clay / Sand / Flyash + sand 5% Iron + gravel Add HEAT + water = Clinker Clinker + 5% Gypsum = CONCRETE = CEMENT © Holcim Ltd 2010 Investor / Analyst Capital Markets Event 2010 Cement plant Process Flow Quarry Raw Mills Kiln System “Burning” Cement Grinding Distribution ACE ACE © Holcim Ltd 2010 Investor / Analyst Capital Markets Event 2010 Agenda Site specific safety training – 10 minutes Quick summary “the making of cement” – minutes Ste Genevieve plant preview – 40 minutes Plant tour – approximately 60 minutes Questions & answers Depart for hotel at 17:15 © Holcim Ltd 2010 Investor / Analyst Capital Markets Event 2010 Ste Genevieve plant project goals – simple and clear • Safety No fatalities; no serious accidents No tolerance for unsafe conditions, behaviors, design • Meet our environmental commitments • Execute the project: Maximizing Creation of Value – ROI Meet scheduled start-up dates Meet capital investment commitment Meet operational commitments = volume & costs MAJOR FOCUS = QUALITY Design, Equipment, & Installation © Holcim Ltd 2010 Investor / Analyst Capital Markets Event 2010 Zero accidents is achievable! • Qualified contractors – must meet minimum requirements to bid work • ALL construction workers must have 10/30 hours safety training hours site specific training • 100% pre-employment drug screen / Random testing • Zero tolerance for certain unsafe acts/conditions • Financial penalties and rewards to contractors • Tight access control © Holcim Ltd 2010 Investor / Analyst Capital Markets Event 2010 2001 – 2004 environmental permitting summary • > 40 Environmental studies completed • state and federal regulatory agencies with jurisdiction • Final permits received – June 2004 • Administrative and legal appeals to issued permits Defended appeals cases up to September, 2004 Settlement of permit appeals – October 2004 ã Main permits: Appealed Cleared USACE Đ404 Permit MDNR §401 Water Quality Certificate MDNR Land Reclamation Permit MDNR PSD Air permit • Secondary permits: MDNR Stormwater Permit MDNR Dam Safety Permit 10 © Holcim Ltd 2010 Investor / Analyst Capital Markets Event 2010 Thermal energy (fuel) efficiency continues to improve – MTBF improvement is main driver  2,500  1,500 3,177  3,209  3,238  3,255  3,277  3,277  3,289  3,274  3,274  3,323   1,000 K Tons  of Ck  2,000 3,310   3,550  3,500  3,450  3,400  3,350  3,300  3,250  3,200  3,150  3,100  3,050  3,000 3,484  MJ/T Ste. Genevieve Thermal Energy Consumption 12M Roll  ending on Jun‐10  500  ‐ 32 © Holcim Ltd 2010 Investor / Analyst Capital Markets Event 2010 Environmental – stack tests completed and in compliance with all requirements Actual emissions compared to Permit levels and Holcim Emission Reduction Targets (ERT) Jan 2010-July 31 2010 1600.0 1400.0 m g /N m 1200.0 1000.0 800.0 600.0 400.0 200.0 0.0 NOx SO2 CO THC 309.4 9.31 145.35 20.45 Permit equivalent 667 300 1429 63 Holcim ERT 500 400 Actual 100 33 © Holcim Ltd 2010 Investor / Analyst Capital Markets Event 2010 Port capabilities & river access Key element of success for this plant is river access • Bulk transportation efficiencies (1,500 t barges) for loading & unloading • Allows access to low-cost fuels & raw materials Coal, Petcoke, Gypsum, Fly ash • Utilizes Holcim’s established network of river terminals and barge line agreements for transportation 34 © Holcim Ltd 2010 Investor / Analyst Capital Markets Event 2010 Slack-water harbor on Mississippi River for loading/unloading up to 6M t/y of materials Inbound Unloading North Fleeting Area - 60 barges South Fleeting Area 23 barges Cement Loading 35 © Holcim Ltd 2010 Investor / Analyst Capital Markets Event 2010 Harbor cross section Loading silos Barge loading station 16 m Inbound material unloading station Rail loading station Harbor accommodates >16 m water level fluctuation 36 © Holcim Ltd 2010 Investor / Analyst Capital Markets Event 2010 Harbor water level at normal operating depth with no flooding and all modes of distribution available September 2007 37 © Holcim Ltd 2010 Investor / Analyst Capital Markets Event 2010 Harbor depth at above normal level with no affect to any mode of distribution April 2008 38 © Holcim Ltd 2010 Investor / Analyst Capital Markets Event 2010 Harbor above flood levels with all rail traffic terminated barge loading and unloading is not impacted June 2008 39 © Holcim Ltd 2010 Investor / Analyst Capital Markets Event 2010 © Holcim Ltd 2010 Thank You 40 Investor / Analyst Capital Markets Event 2010 Agenda Site specific safety training – 10 minutes Quick summary “the making of cement” – minutes Ste Genevieve plant preview – 40 minutes Plant tour – approximately 60 minutes Questions & answers Depart for hotel at 17:15 41 © Holcim Ltd 2010 Investor / Analyst Capital Markets Event 2010 Agenda Site specific safety training – 10 minutes Quick summary “the making of cement” – minutes Ste Genevieve plant preview – 40 minutes Plant tour – approximately 60 minutes Questions & answers Depart for hotel at 17:15 42 © Holcim Ltd 2010 Investor / Analyst Capital Markets Event 2010 Agenda Site specific safety training – 10 minutes Quick summary “the making of cement” – minutes Ste Genevieve plant preview – 40 minutes Plant tour – approximately 60 minutes Questions & answers Depart for hotel at 17:15 43 © Holcim Ltd 2010 Investor / Analyst Capital Markets Event 2010 Contact information Bernhard A Fuchs Marco Knuchel Binit Sanghvi Investor Relations Phone +41 58 858 87 87 Fax +41 58 858 80 09 investor.relations@holcim.com www.holcim.com/investors Mailing list: www.holcim.com/subscribe 44 © Holcim Ltd 2010 Investor / Analyst Capital Markets Event 2010 Disclaimer Cautionary statement regarding forward-looking statements This presentation may contain certain forward-looking statements relating to the Group’s future business, development and economic performance Such statements may be subject to a number of risks, uncertainties and other important factors, such as but not limited to (1) competitive pressures; (2) legislative and regulatory developments; (3) global, macroeconomic and political trends; (4) fluctuations in currency exchange rates and general financial market conditions; (5) delay or inability in obtaining approvals from authorities; (6) technical developments; (7) litigation; (8) adverse publicity and news coverage, which could cause actual development and results to differ materially from the statements made in this presentation Holcim assumes no obligation to update or alter forward-looking statements whether as a result of new information, future events or otherwise As part of Holcim's global commitment to compliance with competition laws, please note that this presentation has been comprehensively reviewed by counsel in both the United States and Switzerland 45 © Holcim Ltd 2010 Investor / Analyst Capital Markets Event 2010 Strength Performance Passion 46 © Holcim Ltd 2010 Investor / Analyst Capital Markets Event 2010 ... Markets Event 2010 Cement plant Process Flow Quarry Raw Mills Kiln System “Burning” Cement Grinding Distribution ACE ACE © Holcim Ltd 2010 Investor / Analyst Capital Markets Event 2010 Agenda Site... of the mix 14 © Holcim Ltd 2010 Investor / Analyst Capital Markets Event 2010 Typical quarry operation waste limestone 15 © Holcim Ltd 2010 Investor / Analyst Capital Markets Event 2010 Raw mills... © Holcim Ltd 2010 Investor / Analyst Capital Markets Event 2010 Kiln station, refractory installation and kiln firing, July 2009 20 © Holcim Ltd 2010 Investor / Analyst Capital Markets Event 2010