KUALA LUMPUR: Sakura Ferroalloys Sdn Bhd announced three major milestones namely the opening of its newly constructed sinter plant and refined ferromanganese converter with a total investment of RM487.5 million, as well as its fourth shareholder JFE Mineral & Alloy Co Ltd.
It said in a statement today that the sinter plant, with investments of US$31 million (RM141 million), will enhance Sakura Ferroalloys’ ability to optimise raw material usage, improve furnace performance and increase overall metallurgical efficiency.
"It (the sinter plant) ensures consistent feed preparation for smelting, contributing to more stable production performance,” it said.
Meanwhile, the company said the refined ferromanganese converter known as Project Salamander with investments of US$82.5 million (RM346.5 million) is scheduled for 21 months of construction, with hot commissioning targeted for April 2027 and full production ramp-up by mid-2027.
"Once completed, the facility will have an annual capacity of 70,000 tonnes of refined ferromanganese,” it added.
Sakura Ferroalloys said the decision to proceed with refined ferromanganese production was made possible through the entry of a new shareholder. In July 2025, JFE Mineral & Alloy Co acquired a 7.5 per cent stake in Sakura Ferroalloys.
It said the project has received strong support from government and industry agencies, namely from the Malaysian Investment Development Authority (MIDA), the Ministry of Investment, Trade and Industry (MITI), and the Ministry of International Trade, Industry and Investment Sarawak (MINTRED).
MIDA chief executive officer Datuk Sikh Shamsul Ibrahim Sikh Abdul Majid said Sakura Ferroalloys’ diversification into medium and low-carbon ferromanganese supports the goals of the 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.
Located in the Samalaju Industrial Park, Sarawak, Sakura Ferroalloys is jointly owned by Assore, Sumitomo Corporation, China Steel Corporation, and JFE Mineral & Alloy Co. - Bernama
