Official Launch of East Malaysia's First Integrated Cement Plant

Official Launch of East Malaysia’s First Integrated Cement Plant

Kuching (Sarawak), Tuesday, 8 November 2016 – Cahya Mata Sarawak Berhad (CMSB – 2852), the State’s leading infrastructure facilitator, is pleased to announce that its Cement Division, Sarawak’s sole cement and clinker manufacturer, today achieved a major capacity milestone with the official launch of East Malaysia’s first integrated cement plant. This is CMSB’s third and largest cement grinding plant and it has been integrated with the Division’s adjoining clinker plant. This grinding plant was built at a cost of RM190 million at Mambong outside of Kuching to anticipate the growing demands of a rapidly expanding and developing State.

Officiating the launch was YAB Datuk Patinggi Tan Sri (Dr) Haji Adenan bin Satem, Chief Minister of Sarawak accompanied by other senior Ministers and State dignitaries, CMSB Group Executive Director, Datuk Syed Ahmad Alwee Alsree and CMSB Group Managing Director, Dato’ Richard Curtis.

The 1 million-metric tonnes (MT) grinding plant incorporates state-of-the-art European technology comprising a Ball Mill (with a rated capacity of 150 MT/hour), a high efficiency Separator, 2 units of 10,000 MT concrete silos, 4-line bulk loaders and a 3,000 bag/hour packing and palletizing machine. Its performance promises to maximise efficiency and quality with minimum downtime.

The Engineering, Procurement and Construction contract for this plant was awarded to Christian Pfeiffer Maschinenfabrik GmbH, a leading German company in this sector, in April 2014. Construction began in July 2014, production ramp up commenced in December 2015 and it was fully commissioned earlier this year.

Dato’ Richard Curtis, Group Managing Director of CMSB, said: “Today we respectfully suggest marks another milestone in the transition of our State to become both a major regional economic powerhouse and one where rural economic development has not been neglected. Without a year round reliable supply of cement across the State, development will always be held back. This third plant will increase CMSB’s total annual rated cement production capacity by almost 60% to 2.75 million MT, well above current local demand of around 1.7 – 1.8 million MT.”

“This will enable CMSB to meet growing cement demand in Sarawak, including from big projects such as the Baleh Dam and the Pan Borneo Highway; to have significant reserve production capacity to materially reduce the risk of supply disruptions in the State; to extend our supply into nearby markets; as well as to produce more than one type of cement. Furthermore, with the significant quantities of slag and other waste materials now becoming available in the State, CMSB’s three cement plants will be better able to recycle such wastes into cement and other road and construction materials thus both significantly reducing the State’s levels of industrial waste and supporting a sustainability agenda, something that is of great concern to the international investment community.”

“CMSB’s investment into its Cement Division over the last 10 years has exceeded RM600 million ranging from acquiring this clinker plant, setting up storage terminals in Miri and Sibu, general plant upgrades, three dedicated cement carrying barges and most recently into this plant. All this is testament to CMSB’s sense of responsibility that comes with its position as a major supplier of construction materials within the State. We also have sought to be a responsible corporate citizen engaging with the local community to give back, carefully limiting emissions and ensuring uninterrupted supply of quality cement at market prices.”

“With long term demand for cement set to grow, today’s official launch stands as a testament to CMSB’s sense of responsibility to ensure its cement production capacity retains ample reserves to enable uninterrupted supplies of cement into our State.”

The official launch also included the signing of a Memorandum of Understanding (MoU) between CMS Clinker Sdn Bhd and ZHA Environmental Sdn Bhd, to enter into negotiations for the use of shredded rubber tyres as an alternate fuel in the production of clinker. The objective of this MoU is consistent with CMSB’s commitment towards its sustainability programme.

Before the event came to a close, CMSB Group Executive Director, Datuk Syed Ahmad Alwee Alsree also presented cheques worth RM20,000.00 to each of the four schools located in and around Mambong, namely SK St Francis Xavier, SK St Augustine, SK Sitang Petag and SJK Chung Hua Batu 15.