Vicat's US Funding Deal with DOE Falls Through

Vicat's unit failed to secure funding from the US Department of Energy, impacting its cement and ready-to-use concrete production. The company specializes in cement and concrete products, with sales distributed geographically across France, Europe, Americas, Mediterranean, Asia, and Africa. Vicat operates 275 concrete plants, 67 granulate quarries, 17 cement plants, and 5 crushing centers worldwide.

French cement and concrete producer Vicat has faced a setback in its efforts to achieve carbon neutrality. The US Department of Energy (DOE) has terminated its funding agreement for the Lebec Net Zero project, a key initiative aimed at reducing carbon emissions in the construction industry. The cancellation comes as part of a broader announcement by the DOE, which has decided to terminate funding for 24 projects totaling more than $3.7 billion [2].

Vicat, listed on the Euronext Paris market, had planned to leverage the Lebec Net Zero project to advance its decarbonization goals. The company had committed to reducing its direct specific carbon emissions to 497 kg CO2 net per ton of cement equivalent and 430 kg CO2 net per ton of cement equivalent in Europe, using existing proven technologies such as energy efficiency, alternative fuel substitution, and clinker rate reduction [1].

The cancellation of the funding agreement does not directly impact Vicat's overall decarbonization strategy, which remains focused on proven technologies. However, it may slow down the implementation of the Lebec Net Zero project, which aimed to explore innovative solutions like carbon capture and storage.

Vicat operates 275 concrete plants, 67 granulate quarries, 17 cement plants, and 5 crushing centers worldwide, with sales distributed geographically across France, Europe, the Americas, the Mediterranean, Asia, and Africa. The company's strong regional positions and commitment to innovation are key factors in its ability to adapt to such challenges.

References:
[1] https://portal.sina.com.hk/finance/finance-globenewswire/globenewswire/2025/06/03/1202806/vicat-cancellation-of-funding-agreement-for-the-lebec-net-zero-project-by-the-us-department-of-energy/
[2] https://www.tradingview.com/news/reuters.com,2025:newsml_L5N3S608D:0-vicat-s-lebec-net-zero-project-cancelled-by-us-department-of-energy/