PETALING JAYA: Tin miner and metal producer Malaysia Smelting Corporation Bhd (MSC) is investing RM10 million in a new rotary furnace at its Rahman Hydraulic Tin (RHT) mine in Klian Intan, Perak to streamline operations through on-site smelting.
Targeted for completion by the third quarter of FY26, the facility will have a planned processing capacity of 10 tonnes per day.
It will enable the group to convert tin ore into crude tin metal directly at the mine site prior to downstream refining.
Currently, all tin ore from the RHT mine is transported about 400 kilometres to MSC’s smelting facility in Pulau Indah, Port Klang.
The introduction of on-site processing will allow crude tin to be produced at source, improving impurity management while reducing the weight and volume of material transported.
This is expected to lower logistics costs, shorten lead times and improve overall operational efficiency.
Crude tin produced at RHT will continue to be transported to Pulau Indah for final refining into high-purity tin products for delivery to London Metal Exchange warehouses, as well as industrial and electrical and electronics customers.
The groundbreaking ceremony was officiated by Perak Menteri Besar Datuk Seri Saarani Mohamad.
Saarani said the project reflects continued confidence in Perak as a key hub for Malaysia’s mining and mineral processing industry.
“By introducing additional processing capabilities within the state, this investment enhances value creation from our natural resources, supports local supply chains and strengthens Perak’s position as a historic tin-producing region,” he said in a statement.
MSC co-CEO Nicolas Chen Seong Lee said the rotary furnace will strengthen integration between the group’s mining and smelting operations.
“By initiating the primary smelting process at the mine, we can streamline material flow, improve efficiency and provide a more consistent feedstock to our Pulau Indah smelter for final refining,” he said.
Co-CEO Lam Hoi Khong said the investment will improve cost efficiency by reducing the need to transport non-value-adding materials over long distances.
“By shifting part of the processing upstream, we are able to optimise logistics, improve turnaround time and enhance overall efficiency across the value chain,” he added.
MSC said it operates under a strong environmental, social and governance framework, with ongoing initiatives to improve energy efficiency and reduce environmental impact.
At its Pulau Indah smelting facility, the group has installed solar photovoltaic panels with a capacity of 1.26 megawatt-peak to support part of its energy needs. It is also exploring the installation of solar panels at the RHT site to lower energy intensity and carbon emissions.
The Sun Malaysia
