Wednesday, September 29, 2010

Sumitomo Corp ventures into Sarawak aluminium smelter project

KUALA LUMPUR: Sumitomo Corp will take part in an aluminium smelting project in Sarawak via its proposed acquisition of a 20% stake in PRESS METAL BHD []'s unit Press Metal Sarawak Sdn. Bhd

The capacity of the plant is 120,000 tonnes per year and to be completed by end of 2010. Total investment is US$300 million.

Sumitomo said on Wednesday, Sept 29 that it had entered into a shareholders' agreement with the remaining 80% shareholder, Press Metal to acquire the stake in Press Metal Sarawak

Sumitomo has options to increase its shareholding to 25% and to take part in an expansion project being planned. The capacity is 240,000 tonnes per year while the completion date is end-2012 and total investment: approximately US$ 600million.


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