Sampyo Cement Expands Environmental, Social, and Transparent Management... Leading Sustainable Management in the Industry

Transition to Environment-Centered Management through Eco-Friendly Facility Investment and Technology Development
Promotion of New Businesses such as Real Estate Development and Robot Parking Systems, Enhancing Synergy Among Group Companies

Sampyo Cement is expanding its environmental, social, and transparent management activities for a sustainable future by enhancing eco-friendly facilities with the goal of achieving carbon neutrality by 2050.

Accelerating the transition to an environment-centered management company, it is practicing eco-friendly values by concentrating company-wide capabilities and leading sustainable management within the industry. Synergies among group companies are also expected as a new business promoted at the group level progresses.

Sampyo Cement Samcheok Plant Limestone Storage Facility.
Photo by Sampyo Cement

Solving Environmental Issues through Expansion of Eco-Friendly Facilities and Products

In 2019, Sampyo Cement invested 2 billion KRW to build a combustible household waste fuel pre-treatment facility and donated it to Samcheok City, Gangwon Province. Through this, household waste is being used as a substitute for bituminous coal, a fuel for cement production that emits a large amount of carbon.

About 70 tons per day, or approximately 20,000 tons annually, of household waste is being recycled as fuel for cement production. This facility serves as a model case of local cooperation between local governments and regional companies and is a benchmarking target for other local governments.

Great efforts are also being made to reduce fugitive dust. In 2022, with a budget of 11 billion KRW, a sealed raw material storage facility was installed at the limestone storage yard of the Samcheok plant. This facility has a huge roof like a containment building that fundamentally blocks fugitive dust that may occur during the storage of limestone, the main raw material of cement.

Additionally, a sealed coal ash transfer facility was developed and began operation in August last year. The cement industry recycles coal ash generated from domestic thermal power plants for use in the cement manufacturing process, but fugitive dust occurs during the transfer of coal ash to cement plants. To address this, Sampyo Cement established a sealed transfer facility connecting the nearby thermal power plant and cement plant. Through this facility, coal ash is directly input into the process in a dry state, fundamentally blocking fugitive dust.

Furthermore, last year, with a budget of 6 billion KRW, a dedicated cement ship was introduced at Jeju Port. By establishing the industry's first sealed unloading facility to prevent cement dust, stable cement supply is possible regardless of weather conditions such as rain, improving work efficiency and safety.

Eco-friendly products are also being expanded. Recently, a trademark for the new BI (Brand Identity) of 'BLUE MENT,' a low-carbon eco-friendly special cement, was filed. This cement enables early strength development compared to conventional Portland cement and boasts excellent carbon emission reduction effects. BLUE MENT recently won the grand prize in the eco-friendly cement category at the ‘2024 Korea Consumer Awards,’ and Sampyo Cement received the Gangwon Environment Award in the 'Environmental Conservation and Life Practice' category last year for its contribution to establishing a resource-circulating society.

Environmental, social, and transparent management achievements have also been recognized. Last year, Sampyo Cement received an integrated A grade in the environmental, social, and transparent management evaluation by the Korea ESG Standards Institute. This is the highest grade among domestic cement companies. Notably, it also achieved the distinction of being the first in the industry to be selected as an ‘Excellent Governance Company’ by the Korea ESG Standards Institute (KCGS) in 2023.

Dedicated line for Sampyo Cement.
[Photo by Sampyo Cement]

Efforts for Achieving Carbon Neutrality by 2050 and Coexistence with Local Communities

Sampyo Cement is actively investing in facilities for carbon neutrality. Transitioning from production-centered operations to environment-centered management, it is conducting mid- to long-term eco-friendly facility investments worth approximately 170 billion KRW. Based on this, it aims to reduce greenhouse gas emissions by 21% by 2030 compared to 2018 and achieve carbon neutrality by reducing emissions by 54% by 2050.

In 2023, it achieved an 8% reduction in greenhouse gas emissions compared to 2018. To this end, 34% of the fuel for cement production was replaced from fossil fuels to recycled resources, and the plan is to expand the use of recycled resources to 58% by 2030.

Research and development are also being expanded. Since July last year, Sampyo Cement has participated in a research project to replace bituminous coal fuel used in kilns with synthetic resin, one of the core technologies for carbon-neutral industry development by the Ministry of Trade, Industry and Energy. As this research involves industrial by-product treatment along with CCUS (Carbon Capture, Utilization, and Storage) technology, which is a carbon mineralization technology, it is expected to contribute to the transition to a decarbonized industrial structure in the future.

It is also proactive in using renewable energy. Sampyo Cement produces electricity by recycling the high-temperature hot air generated during cement production as a heat source for boilers through a waste heat recovery power plant established in 2004. Last year, about 66,000 MWh of electricity was produced through the waste heat recovery power plant, replacing 8.3% of the total electricity consumption at the Samcheok plant with renewable energy, thereby reducing approximately 30,000 tons of greenhouse gases.

Sampyo Cement also operates various programs for community return activities such as marine environment cleanup and support for vulnerable groups. In particular, by 2026, it plans to create social value through social contribution activities utilizing the group's expertise, and from 2027, it aims to brand the Cement Industry Social Contribution Foundation and develop it into a representative social contribution project for the local community.

Panoramic view of Sampyo Cement Samcheok Plant.
Photo by Sampyo Cement

Expanding the Base of Environmental, Social, and Transparent Management through Synergy among Group Companies

Through synergy among group companies, the base for environmental, social, and transparent management is also expected to expand. Sampyo Group is a company that has completed vertical integration of construction basic materials from aggregates to cement, ready-mixed concrete, and precast concrete (PC). It is expanding new business areas such as real estate development and robotic parking to create future value.

The main affiliate, Sampyo Industry, is promoting development around Seongsu-dong, Seoul, utilizing the ready-mixed concrete site of the Seongsu plant. The Seongsu-dong area is expected to transform into an innovative hub leading business, tourism, and culture in Seoul.

As the owner of the site, Sampyo Group will play a key role in the area's development. This has attracted industry attention as Sampyo Group, which focuses on construction basic materials, has fired the starting shot for building new business areas.

Another affiliate, SP&Mobility, plans to introduce the advanced robotic parking solution ‘MP System’ to Korea through a partnership with SemperM. The MP System works by having the driver get off at a separate drop-off space, after which a robot lifts the vehicle and moves it to the parking storage room. For the same area, it can increase the number of parking spaces by 20-30% compared to mechanical parking facilities, enhancing efficiency. It also helps prevent safety accidents that may occur when inexperienced drivers or elderly people park.

A Sampyo Cement official said, "Based on our environmental, social, and transparent management strategic goals, we are doing our best to actively practice ESG management and achieve sustainable development. We will continue to lead as an ESG management company by building an eco-friendly resource-circulating society, fulfilling social responsibilities, and creating a fair and transparent corporate culture."

This content was produced with the assistance of AI translation services.