Malaysia Smelting eyes new tin mines
Why are they targeting Lynas? But not…
SINGAPORE: Singapore-listed tin producer Malaysia Smelting Corporation (MSC) is currently looking to acquire concessions for 3-4 tin mines in Malaysia and Indonesia to tap into strong demand from China’s booming electronics industry.
The company may invest up to RM200 million Malaysian to increase its mining assets in the near term, MSC CEO Datuk Mohd Ajib Anuar told Reuters in an interview.
MSC currently operates two mines in the Malaysian state of Perak and Indonesia’s Bangka Island. It also processes tin at its two smelting plants in Penang and Bangka, which have total capacity of 60,000 tonnes.
“We raised RM104 million from the Singapore listing, and out of that we’ve earmarked RM80 million for financing development of new mines,” Anuar said.
“With that 80 million (ringgit) plus some borrowing, we would have possibly 150-200 million (ringgit) to look for expansion of new mines,” he said, adding that potential locations are Bangka in Indonesia, as well as Perak and Pahang, two major tin-producing states in Malaysia.
MSC, a Kuala Lumpur-listed subsidiary of Singapore’s property and resources conglomerate Straits Trading , sold 25 million shares at S$1.75 each on the Singapore Stock Exchange in January this year.
Tin is widely used in the electronics, food packaging and chemicals industries. – Reuters