KLANG: Hiap Teck Venture Bhd (HTVB) will soon be the only company in Malaysia and the Asean region to produce steel slabs used in the manufacturing and construction industry.
Its executive director Low Choong Sing said at present there are no companies in Southeast Asia that specialise in making steel slabs and many import them from Eastern European countries such as Ukraine.
"We would be the first in this industry I believe, others are planning but have nothing concrete yet," said Low when met at Wisma Hiap Teck after its extraordinary general meeting (EGM), yesterday.
HTVB said the integrated steel complex in Teluk Kalung, Kemaman, Terengganu, which will start construction next month will be completed by mid-2013.
"For this, we have partnered with China's third leading steel company Shougang Group for the knowhow on this project," he said.
Shougang Group via its Singapore subsidiary Shougang International (Singapore) Pte Ltd holds 40 per cent of the Kemaman complex while the rest is held by Chinaco Investment Pte Ltd.
Low said the reason why Kemaman was chosen for this project is because of its huge land site of 1,200 acres (485 hectares)and its deep sea port.
He said the total steel slab market in Asean is valued at "US$7.2 billion (RM22.9 billion) or 4 million tonnes."
"Once completed, the steel complex in Kemaman is capable of producing up to 700,000 tonnes of steel a year and that is equivalent to RM750 million. So that translates to a market share of about 20 per cent," said Low.
At the EGM, shareholders approved the private placement of RM32.2 million new shares to Shougang Singapore worth RM163.7 million, a proposed renounceable rights issue with free warrants to raise RM220 million and an issuance of RM180 million bonds.
Follow up story: Hiap Teck clarification
IN our report yesterday entitled "Hiap Teck to be Asean's only steel slab producer", the person in the picture is not Hiap Teck Venture Bhd executive director Low Choong Sing.
The company also clarified that its steel complex in Kemaman is capable of producing up to RM1.2 billion of steel slabs a year, and not RM750 million as reported.
The error is regretted.
Its executive director Low Choong Sing said at present there are no companies in Southeast Asia that specialise in making steel slabs and many import them from Eastern European countries such as Ukraine.
"We would be the first in this industry I believe, others are planning but have nothing concrete yet," said Low when met at Wisma Hiap Teck after its extraordinary general meeting (EGM), yesterday.
HTVB said the integrated steel complex in Teluk Kalung, Kemaman, Terengganu, which will start construction next month will be completed by mid-2013.
"For this, we have partnered with China's third leading steel company Shougang Group for the knowhow on this project," he said.
Shougang Group via its Singapore subsidiary Shougang International (Singapore) Pte Ltd holds 40 per cent of the Kemaman complex while the rest is held by Chinaco Investment Pte Ltd.
Low said the reason why Kemaman was chosen for this project is because of its huge land site of 1,200 acres (485 hectares)and its deep sea port.
He said the total steel slab market in Asean is valued at "US$7.2 billion (RM22.9 billion) or 4 million tonnes."
"Once completed, the steel complex in Kemaman is capable of producing up to 700,000 tonnes of steel a year and that is equivalent to RM750 million. So that translates to a market share of about 20 per cent," said Low.
At the EGM, shareholders approved the private placement of RM32.2 million new shares to Shougang Singapore worth RM163.7 million, a proposed renounceable rights issue with free warrants to raise RM220 million and an issuance of RM180 million bonds.
Follow up story: Hiap Teck clarification
IN our report yesterday entitled "Hiap Teck to be Asean's only steel slab producer", the person in the picture is not Hiap Teck Venture Bhd executive director Low Choong Sing.
The company also clarified that its steel complex in Kemaman is capable of producing up to RM1.2 billion of steel slabs a year, and not RM750 million as reported.
The error is regretted.
