By DayakDaily Team
BINTULU, Sept 12: Sakura Ferroalloys today marked a historic leap in its decade-long journey with the groundbreaking of its RM346.5 million refined ferromanganese converter and the official opening of its RM141 million sinter plant at the Samalaju Industrial Park.
The dual milestones reinforce the company’s commitment to diversifying its product portfolio, enhancing production efficiency, and cementing Sarawak’s position as a hub for world-class alloy manufacturing.
According to a media release, the ceremonial event also celebrated the entry of Sakura’s fourth shareholder, JFE Mineral & Alloy Company Ltd, whose refining expertise adds strength to the consortium alongside Assore, Sumitomo Corporation, and China Steel Corporation.
Constructed over 22 months with an investment of US$31 million (RM141 million), the newly commissioned sinter plant is designed to optimise raw material usage, improve furnace performance, and boost metallurgical efficiency.
By ensuring consistent feed preparation for smelting, the plant will stabilise production and strengthen Sakura’s competitiveness in the global alloy market.
Internally dubbed Project Salamander, the RM346.5 million (US$82.5 million) refined ferromanganese converter marks Sakura’s bold entry into specialised alloy markets. Scheduled for completion by mid-2027, the facility will have an annual capacity of 70,000 tonnes, producing both medium and low-carbon ferromanganese to meet evolving customer demand worldwide.
The projects are backed by the Malaysian Investment Development Authority (MIDA) and the Ministry of International Trade, Industry and Investment Sarawak (MINTRED).
MIDA chief executive officer (CEO) Datuk Sikh Shamsul Ibrahim Sikh Abdul Majid said that these milestones achieved by Sakura Ferroalloys are why Malaysia continues to attract strategic, high-value investments.
“The diversification into medium and low-carbon ferromanganese supports the goals of our New Industrial Master Plan 2030, particularly around greener and more sustainable manufacturing.
“The new sinter plant will also enhance efficiency and strengthen production stability. MIDA will continue to support projects that drive innovation, sustainability, and long-term resilience,” he said.
MINTRED Deputy Minister Datuk Malcolm Mussen Lamoh recognised the projects’ pivotal role in accelerating Sarawak’s industrial transformation and securing long-term economic resilience.
“This strategic move positions Sarawak at the forefront of innovation, investment, and sustainable growth, reinforcing our commitment to building a future-ready economy that benefits all Sarawakians,” he said.
Meanwhile, the decision to advance refined ferromanganese production was enabled by JFE Mineral & Alloy Company’s acquisition of a 7.5 per cent stake in July 2025.
“JFE Minerals brings deep industry knowledge and international reach. Their participation reflects strong confidence in Malaysia’s industrial potential,” said Tiaan van Aswegen, chairman of Sakura’s Board of Directors.
In its ten years of operation, Sakura Ferroalloys has earned recognition for high-quality production, more than 4 million man-hours without lost-time injuries, and meaningful contributions to Sarawak’s economy.
These new investments affirm Sakura’s vision of remaining the Company of Choice for stakeholders, clients, and employees while driving innovation, sustainability, and resilience in Malaysia’s alloy industry. — DayakDaily
