MANILA - Holcim Philippines Inc. is maintaining its P1-billion capital expenditure budget for 2010 even as the public works ban ahead of the national elections may affect demand for cement.

Holcim Philippines chief operating officer Ian Thackwray is hopeful that the increasing number of residential and office developments would offset any reduction in local infrastructure projects when the government imposes a moratorium on these on or before March 30.

Until then, however, Thackwray said demand for infrastructure would remain strong, driven by efforts to pump prime the economy amid the global crisis.

Total cement demand for the first half of 2010 is expected to reach between 7 and 8 million metric tons.

To take advantage of this, Thackwray said Holcim has reactivated its second kiln in Lugait, Misamis Oriental.

The second kiln will add another one million metric ton to the company's output.

Aside from Lugait, Holcim also has cement manufacturing plants in Bulacan, La Union and Davao.

For the third quarter of 2009, Holcim's net profit stood at P1.3 billion, up from P855 million in the same period last year, as revenues rose to P5.5 billion from the P4.2 billion.