MALAYSIA PRESS-Cahya Mata plans to expand cement plant-Malaysian Reserve

Cahya Mata Sarawak Bhd (CMS) is considering a "significant" expansion of its cement grinding capacity after deciding to proceed with a joint-venture development of the billion ringgit ferro silicon smelting plant project at the Samalaju Industrial Park in Sarawak.

The company did not state how much additional grinding capacity will be built but it is expected to involve a capital expenditure of up to 150 mln rgt ($48.48 mln).

The expansion will be located at its plant adjoining its clinker plant on the outskirts of Kuching.

The company's cement production capacity now stands at 1.75 mln tonnes per year from plants in Kuching and Bintulu, and in excess of local demand.

The expansion signals a fundamental change in the cement market in the state and CMS believes the urbanisation and industrial development in the state will drive up demand-Malaysian Reserve.

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