Recently, the Cahya Mata Sarawak Berhad (CMSB) awarded a construction, procurement, construction and commissioning (EPCC) contract to Tianjin Cement Industry Design and Research Institute Co., Ltd. (TCDRI) for RM673 million (equivalent to RMB 1.14 billion).
TCDRI will build a second cement clinker line for Cahya Mata Sarawak Berhad in Kuching, Sarawak, which is expected to take 21 months to complete and start first production in April 2027, with full production in June of the same year. It is
worth mentioning that TCDRI is also the builder of the existing first production line in Cahya Mata Sarawak Berhad, which completed the project in 1996.
The new line has a daily capacity of 6,000 tons and will produce 1.9 million tons of clinker for a full year, doubling Cahya Mata Sarawak Berhad's current capacity.
Meanwhile, the company has received approval from the Sarawak government, removing the final regulatory hurdle.
This means that once the second production line is put into production, it will reduce the dependence of Cahya Mata Sarawak Berhad on imported cement clinker.
At present, Sarawak cement clinker is mainly purchased from Vietnam, accounting for 50% of its total demand. By localizing the production of cement clinker, the company not only reduces its dependence on imports, but also supports local infrastructure construction.