Sumitomo acquires 2nd phase of aluminium smelters in Malaysia

Sumitomo Corp. (SC) has entered into a share purchase agreement with Press Metal Berhad (PMB) for acquisition of a 20% share in the second phase of the aluminium smelting project in Sarawak, Malaysia. Capacity is 320,000 metric tonnes per year, and is anticipated to be completed by the end of 2013. The project is being developed by PMB through its 100% subsidiary, Press Metal Bintulu Sdn. Bhd.

SC already has 20% equity in the first phase of the PMB’s aluminium smelting project with a capacity of 120,000 metric ton per year). PMB is claimed to be the lead integrated aluminium company in South East Asia and has been promoting vertical integration of its aluminium operations. SC deals with primary aluminium metals widely in Japan and other Asian markets. SC expects this enhanced partnership with PMB will benefit its long term growth strategy in the aluminium business.