Loma Negra
Encyclopedia
Loma Negra Companía Industrial Argentina S.A. is an Argentine manufacturer and the country's leading maker of cement, concrete, and lime.
deposits by Alfredo Fortabat
at his San Jacinto Estancia led to his decision to open a cement factory in the nearby pampas hamlet of Loma Negra (south of Olavarría
); the choice of location prompted Fortabat to christen his new venture Loma Negra ("Black Hillock"). The cement plant was built in 1927, and by the early 1950s, this facility and one in nearby Barker produced 500,000 tons of cement annually.
New facilities in the Andes
-range cities of San Juan
and Zapala
, opened during the 1960s, made Loma Negra the leader in cement and concrete production in Argentina; in the 1980s, the company opened its first Portland cement
facility (in another Andes-range city, Catamarca
).
Loma Negra lost its founder, Alfredo Fortabat, in 1976, following which his widow, María Amalia Lacroze de Fortabat
, became the company's majority stakeholder, President and Chairperson. Loma Negra enhanced its market leadership position in its industry locally by acquiring the newly-privatized Ferrosur Roca
railway line and a chief competitor, Cementos San Martín S.A., in 1992; that year Fortabat inaugurated the group's new headquarters in downtown
Buenos Aires.
The company diversified into the recycling industry in 1995 by launching Recycomb, whose plant was built in Cañuelas
(west of Buenos Aires). The acquisition of five concrete
producers in 1998-99 made Loma Negra the national leader in that construction staple, as well, and a plant opened in 2001 gave it a 1.6 million-ton production capacity of clinker
for Portland cement
. The Loma Negra Technical Center, opened in March 1999, is the only one of its type in Latin America.
Debts of US$270 million incurred largely during the economic crisis around 2001
and Mrs. Fortabat's own, advanced age prompted the grande dame of Argentine industry to sell her 80% stake in Loma Negra, however. The company was thus transferred to Brazil
ian conglomerate Camargo Corrêa
in May 2005, for just over US$1 billion.
Loma Negra, at the time, accounted for half of the 6 million tons of cement produced nationwide. Following a period of rapid growth in the Argentine economy, nearly 10 million tons of cement were produced in Argentina annually in 2007-08 - of which Loma Negra retained a 48% market share; in 2008, U.S. cement giant Cemex
expressed interest in acquiring a majority stake in Loma Negra.
Despite a modest decline in local construction activity since 2008 as a result of global financial instability, a US$235 million, five-year program to expand capacity by 20% was announced in November.
History
The 1926 discovery of large limestoneLimestone
Limestone is a sedimentary rock composed largely of the minerals calcite and aragonite, which are different crystal forms of calcium carbonate . Many limestones are composed from skeletal fragments of marine organisms such as coral or foraminifera....
deposits by Alfredo Fortabat
Alfredo Fortabat
Alfredo Fortabat was a prominent Argentine industrialist.-Life and times:Alfredo Fortabat was born in Azul, a small city in Buenos Aires Province, in 1894; his parents, Helen Pourtal and Lucien Fortabat, were recently-arrived French Argentines...
at his San Jacinto Estancia led to his decision to open a cement factory in the nearby pampas hamlet of Loma Negra (south of Olavarría
Olavarría
Olavarría is a city in the province of Buenos Aires, Argentina, located. It is the capital of the Olavarría Partido and has over 111,320 inhabitants, per the ....
); the choice of location prompted Fortabat to christen his new venture Loma Negra ("Black Hillock"). The cement plant was built in 1927, and by the early 1950s, this facility and one in nearby Barker produced 500,000 tons of cement annually.
New facilities in the Andes
Andes
The Andes is the world's longest continental mountain range. It is a continual range of highlands along the western coast of South America. This range is about long, about to wide , and of an average height of about .Along its length, the Andes is split into several ranges, which are separated...
-range cities of San Juan
San Juan, Argentina
San Juan is the capital city of the Argentine province of San Juan in the Cuyo region, located in the Tulúm Valley, west of the San Juan River, at above mean sea level, with a population of around 112,000 as per the ....
and Zapala
Zapala
Zapala is a city in the Patagonian province of Neuquén, Argentina with about 32,000 inhabitants according to the .The city is located at the geographic center of the province at the confluence of national and provincial roads, on a route to the Andes and Chile...
, opened during the 1960s, made Loma Negra the leader in cement and concrete production in Argentina; in the 1980s, the company opened its first Portland cement
Portland cement
Portland cement is the most common type of cement in general use around the world because it is a basic ingredient of concrete, mortar, stucco and most non-specialty grout...
facility (in another Andes-range city, Catamarca
Catamarca
Catamarca may refer to:*San Fernando del Valle de Catamarca, Argentina*Catamarca Province, Argentina...
).
Loma Negra lost its founder, Alfredo Fortabat, in 1976, following which his widow, María Amalia Lacroze de Fortabat
María Amalia Lacroze de Fortabat
María Amalia Lacroze de Fortabat is a prominent Argentine executive and philanthropist.-Life and times:María Amalia Lacroze de Fortabat was born in 1921 to a prominent Argentine family; a grandfather, Federico Lacroze, developed Buenos Aires' first tramway line, in the 1880s...
, became the company's majority stakeholder, President and Chairperson. Loma Negra enhanced its market leadership position in its industry locally by acquiring the newly-privatized Ferrosur Roca
Ferrosur Roca
Ferrosur Roca S.A. is a private company which, in December1992, was awarded a concession, granted by the Argentine government, for the operation of freight services over part of the broad gauge rail network built by the British-owned company Buenos Aires Great Southern Railway and run by the...
railway line and a chief competitor, Cementos San Martín S.A., in 1992; that year Fortabat inaugurated the group's new headquarters in downtown
San Nicolás, Buenos Aires
San Nicolás is one of the neighbourhoods of the city of Buenos Aires, Argentina, sharing most of the city and national government structure with neighboring Montserrat and home to much of Buenos Aires' financial sector...
Buenos Aires.
The company diversified into the recycling industry in 1995 by launching Recycomb, whose plant was built in Cañuelas
Cañuelas
Cañuelas is a town in Buenos Aires Province, Argentina. It is the head town of the Cañuelas Partido. It is located near the outskirts of the Gran Buenos Aires conurbation....
(west of Buenos Aires). The acquisition of five concrete
Concrete
Concrete is a composite construction material, composed of cement and other cementitious materials such as fly ash and slag cement, aggregate , water and chemical admixtures.The word concrete comes from the Latin word...
producers in 1998-99 made Loma Negra the national leader in that construction staple, as well, and a plant opened in 2001 gave it a 1.6 million-ton production capacity of clinker
Clinker (cement)
thumb|200px|right|Typical clinker nodulesthumb|200px|right|Hot clinkerIn the manufacture of Portland cement, clinker is lumps or nodules, usually 3-25 mm in diameter, produced by sintering limestone and alumino-silicate during the cement kiln stage.-Uses:...
for Portland cement
Portland cement
Portland cement is the most common type of cement in general use around the world because it is a basic ingredient of concrete, mortar, stucco and most non-specialty grout...
. The Loma Negra Technical Center, opened in March 1999, is the only one of its type in Latin America.
Debts of US$270 million incurred largely during the economic crisis around 2001
Argentine economic crisis (1999-2002)
The Argentine economic crisis was a financial situation, tied to poilitical unrest, that affected Argentina's economy during the late 1990s and early 2000s...
and Mrs. Fortabat's own, advanced age prompted the grande dame of Argentine industry to sell her 80% stake in Loma Negra, however. The company was thus transferred to Brazil
Brazil
Brazil , officially the Federative Republic of Brazil , is the largest country in South America. It is the world's fifth largest country, both by geographical area and by population with over 192 million people...
ian conglomerate Camargo Corrêa
Camargo Corrêa
Camargo Corrêa is one of the biggest Brazilian private conglomerates, composed of publicly traded and closed companies, and shared management, operating in Brazil and in more than 20 countries...
in May 2005, for just over US$1 billion.
Loma Negra, at the time, accounted for half of the 6 million tons of cement produced nationwide. Following a period of rapid growth in the Argentine economy, nearly 10 million tons of cement were produced in Argentina annually in 2007-08 - of which Loma Negra retained a 48% market share; in 2008, U.S. cement giant Cemex
Cemex
CEMEX is the world's largest building materials supplier and third largest cement producer. Founded in Mexico in 1906, the company is based in Monterrey, Mexico...
expressed interest in acquiring a majority stake in Loma Negra.
Despite a modest decline in local construction activity since 2008 as a result of global financial instability, a US$235 million, five-year program to expand capacity by 20% was announced in November.