Lucky Cement's green energy uses will increase in FY23  

AKD Research has termed Lucky Cement Pakistan’s largest cement conglomerate. The year 2023 will be a new milestone year for Lucky Cement with its expanded capacity and adherence to ESG compliance. The company will continue to dominate the market share.

With the completion of the 3.15Mta expansion at its Pezu plant in December 2022, the company's total cement capacity would increase from 12.15Mta to 15Mta, resulting in its market share to increase from 14.8 per cent to 17.3 per cent, according to investment analyst Mohsin Ali.

Presently, Lucky Cement uses an energy mix of 80 per cent thermal and 20 per cent green energy. Still, after the completion of 34MW solar in 2QFY22-23 in Pezu and the addition of 25.3MW in Khyber Pakhunkhwa , the thermal substitution rate would go down to 62 per cent, but green energy increased to 38 per cent.

Export market share in 1QFY23
The export sales volumes of the company decreased by 43.5 per cent to reach 0.3Mt in 1QFY22-23. Exports declined mainly due to suppressed demand in foreign markets due to rising inflation and the challenging global fiscal landscape. During 1QFY22-23, the export market share of the company was 29.5 per cent compared to 34.5 per cent in the same period last year. It exports to Africa, Sri Lanka, Afghanistan, Bangladesh and other countries.