Two tin dredgers revamp in Malaysia<\/p>\n
KUALA LUMPUR (AFP): Malaysia Mining Corp. Bhd. (MMC) has
\nannounced plans to revamp ailing associate Berjuntai Tin Dredging
\nBhd. and subsidiary Kramat Tin Dredging Bhd., as depressed tin
\nprices push many miners to quit.<\/p>\n
Kramat Tin, a 79-percent owned unit of MMC, will link up with
\nan Indonesian timber concession, MMC chairman Abdul Sukor Shahar
\nwas yesterday reported as saying in local newspapers.<\/p>\n
Kramat, which stopped mining in November 1988, is to acquire a
\n31.86 percent stake in integrated wood-based PT Artika Optima
\nInti (AOI), which in turn will buy 25 percent of Kramat Tin.<\/p>\n
\"We are now conducting a six-month study on the proposal
\nbefore we make any decisions,\" he said.<\/p>\n
The deal provides for a minimum consolidated after-tax profit
\nguarantee of US$127.32 million a year for Kramat Tin for the next
\nthree years.<\/p>\n
AOI is engaged in logging, wood product manufacturing, as well
\nas trading.<\/p>\n
For Berjuntai, MMC is evaluating several options, Sukor said,
\ndeclining details. Berjuntai Tin, in which MMC has 28 percent
\nstake, ceased mining operations in December 1993 and had since
\ndisposed of all its tin stock before the end of April 1994,
\ncompany officials said Tuesday.<\/p>\n
It incurred a pre-tax loss of 4.65 million ringgit ($1.86
\nmillion) on a turnover of 10.13 million ringgit for the year
\nended April.<\/p>\n
MMC itself diversified out of tin in May last year as the
\nindustry remained in the doldrums plagued by high surplus stocks,
\nlow prices and lackluster demand.<\/p>\n
The conglomerate now concentrates on exploration, engineering,
\ninvestment and mining of other minerals.<\/p>\n
Malaysia, once the world's largest tin producer, excavated
\nsome 76,830 tons a year at its peak in the 1970's.<\/p>\n
In 1993, tin production was 10,384 tons, 28 percent less than
\na year earlier. Output for 1994 is expected to shrink further to
\n8,000 tons, officials said.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/two-tin-dredgers-revamp-in-malaysia-1447893297",
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