MACC to seize 10 million tonnes of bauxite

KUANTAN: The Malaysian Anti-Corruption Commission (MACC) will be monitoring all ports in the country to prevent the export of bauxite.

MACC deputy chief commissioner (operations) Datuk Azam Baki said the move was important as there are ongoing investigations into alleged corruption involving the state Land and Mines Office (PTG) and the Customs Department.

A stockpile of bauxite at a Felda estate in Pahang. The Star File pix

Enforcing the export ban would be tough, he said, but necessary,

Azam pointed out that bauxite mining operators would not be able to do anything with their stockpiles since the ore was not for the local market.

The notices of seizure, he said, would be issued to land­owners, bauxite mining operators and the PTG.

Azam said this would legally prevent anyone from removing any of the estimated 10 million tonnes of bauxite stockpiled on state and private land in Pahang.

“They will have to comply with the notice. We can hold the bauxite stockpile in Pahang for 18 months, once the notices are issued,” he said.

Azam said he had appealed to the Natural Resources and Environment Ministry (NRE) to cancel all Approved Permits (AP) issued to bauxite mining operators and to stop issuing new ones.

The NRE responded that it is tota­lly committed to and will conti­nue to offer full cooperation to MACC.

Its Minister Datuk Seri Dr Wan Junaidi Tuanku Jaafar said the ministry would not entertain any appeals or requests to interfere with MACC’s ongoing investigations.

Azam’s announcement had been lauded by Gerakan Rakyat Hentikan Pencemaran Bauksit (Geram) chairman Ali Akbar Othman.

He said this proved Geram’s assertions that illegal bauxite mining had been taking place despite a Government imposed moratorium.

A Pahang mining operator said they hoped MACC’s investigation could be carried out quickly.

Spring Energy Sdn Bhd mana­ging director Yap Soon Huat said the seizure and possible cancellation of the APs would impact business.

“If we are found to be above board, then the authorities must return our stockpile,” he said.

Yap pointed out there was only a small quantity of bauxite stockpiles left in KotaSAS, where Spring Energy had mined for the ore.

Kuantan Port Consortium (KPC) chief executive officer Datuk Khasbullah A. Kadir also said there was not much bauxite left within the port area.

When asked if KPC had been ordered to halt bauxite exports, Khasbullah explained they were only the port operator.

Khasbullah added that the port would allow the cargo to be shipped as long as it is approved by Customs.

The Star

MSC returns to the black despite lower turnover

(Aerial view of MSC in Penang - The Star filepic)


PETALING JAYA: Malaysia Smelting Corp Bhd (MSC) returned to the black in the second quarter ended June 30 despite seeing a decline in turnover.

The tin metal and tin products manufacturer made a net profit of RM9.02mil in the quarter compared with a loss of RM10.28mil previously.

Revenue reduced by some 22.3% to RM307.88mil.

The company said in its Bursa Malaysia filing that lowered revenue for the quarter was due to a lower sales volume of tin metal on lower production in the second quarter of 2017.

The tax liabilities were booked in the second quarter of 2016.

“Our share of results of associates and JVs recorded a net share of profit of RM0.3mil in the second quarter as compared with a net share of loss of RM30.9mil in the second quarter of 2016,” it said.

It said the quarter saw net profit contribution from its mining operations at the Rahman Hydraulic Tin mine, the largest open pit tin mine in Malaysia, grow by 166% year-on-year to RM9.4mil, driven by favourable tin prices.

The company’s tin smelting segment, however, recorded a pre-tax loss of RM3.7mil in the second quarter compared with a pre-tax profit of RM23.3mil in the previous corresponding quarter.

“This was mainly due to the absence of a favourable inventory valuation adjustment, a lower net foreign exchange gain, a lower production volume, lower sales of by-products, a lower volume and premiums from sales, higher production cost and operating expenses,” it said.

Moving forward, MSC expects market conditions to remain challenging due to currency markets and tin prices that continue to remain volatile.

“We are looking forward to completing the technology upgrade of our smelting furnace, which will improve our cost efficiencies over the long term,” CEO Datuk Patrick Yong said in a press release.

thestar.com.my 8 Aug 2017