Malaysia: PMB Technology to invest in Bintulu metallic silicon smelter

PMB Technology Bhd, a Malaysia-based manufacturer of silicon metal for the aluminium sector, is set to make significant investments in its phase 3 plant project located in Samalaju Industrial Park, Bintulu. The project aims to enhance the annual output capacity of metallic silicon by 50%, according to an Alcircle report.

With an investment of RM350 million, the phase 3 unit of the smelter will have a capacity of 36,000 tonne (t)/annum. PMB Technology expects to complete the project by the third quarter of 2023.

PMB Silicon Sdn Bhd, a subsidiary of PMB Technology, is engaged in the manufacturing of metallic silicon. It may be recalled here that the construction of the phase 3 project commenced on October 31, 2022, following the acquisition of an additional 25 MW of electricity from Syarikat Sesco Bhd.

In its 2022 annual report, the company highlighted that both phase 1 and 2 are currently operational, resulting in a combined annual installed capacity of 108,000 t. The power supply for these phases totalled 129 megawatts (MW).

PMB Technology, with Press Metal Aluminium Holdings Bhd as its major shareholder, ventured into the metallic silicon industry five years ago with the establishment of the phase 1 plant, capable of producing 36,000 t of metallic silicon annually.

Upon completion and commencement of operations in 2020, the phase 2 facility witnessed an increase in production capacity, reaching 72,000 t/year. Press Metal, with smelting capabilities of 1.08 million tonne (mnt) annually across its industrial sites in Samalaju Industrial Park and Mukah, stands as the 'largest integrated aluminium smelter' in Southeast Asia.

The company emphasised that the expansion of the metallic silicon plant is crucial for cost reduction, improved operational efficiency, and better utilisation of workforce and raw materials during routine maintenance. Furthermore, to stay competitive globally, the business aims to procure raw materials at a more affordable price and achieve economies of scale in production. The company also plans to automate certain production processes as a strategy to cope with the current 'tight' labour market.