KUALA LUMPUR: Malaysia Smelting Corp
Bhd (MSC) expects to fully de-commission its Butterworth smelting plant by mid-2024, according to chief executive officer Datuk Dr. Patrick Yong.
He said the group’s Butterworth smelting facility was being utilised for the smelting of tin intermediates.
“We expect to fully de-commission the Butterworth plant by mid-2024. Until then, we will incur a duplicate of expenses with the running of both plants,” he said.
Yong said the group’s smelting activities were currently undertaken at its Pulau Indah smelter using the more efficient top submerged lance (TSL) furnace.
“This newer technology is expected to lead to higher operational efficiency, lower operational and manpower costs. We have also installed 1.26Mwp solar photovoltaic (PV) panels on the rooftop of the premises, which will not only reduce our carbon footprint, but also contribute to lower energy costs,” he said.
For its mining division, Yong said MSC continued to explore new technologies to enhance mining productivity at its Rahman Hydraulic Tin mine in Klian Intan.
“At the same time, we look forward to higher mining output arising from our acquisition of an adjacent mining landbank, allowing us to expand our existing mining pit further.”
“In conclusion, we remain committed to delivering long-term value to our shareholders. Through our strategic plans, MSC will be well-positioned to capitalise on future opportunities and weather any challenges that may arise,” Yong said.
In the first quarter ended March 31, MSC’s net profit tumbled 45% to RM35.4mil against RM64.34mil a year earlier.
Revenue for the quarter fell 5.4% to RM340mil from RM359.5mil a year prior while earnings per share fell to 8.40 sen from 15.30 sen last year.
“Our 1QFY23 financial performance is commendable considering the lower tin price environment and higher operating costs. Recognising the risks posed by external factors such as volatile tin price movements and global economic trends, we have actively pursued initiatives to optimize our operational efficiencies and cost structure. These efforts have proven fruitful, strengthening our resilience as we continue to grow,” Yong said.
