MSC's tin mining arm granted new leases in Perak until 2034

Singapore

RAHMAN Hydraulic Tin (RHT), a wholly-owned subsidiary of tin miner and metal producer Malaysia Smelting Corporation (MSC), has received approval from the Perak government in Malaysia for the issuance of new mining leases.

The leases - for several parcels of land spanning more than 700 ha located at Klian Intan in Perak - are for the RHT tin mine, which is the largest hard-rock open pit tin mine in Malaysia.

This tin mine has been in operation for the past 112 years since 1907 and is a "significant contributor" of Malaysia's tin production, said MSC in a news release on Tuesday.

Under the new mining leases, which replace the previous ones that have since been cancelled, RHT will enjoy a longer mining period until Nov 11, 2034.

This is an extra four years from the previous leases that were due to expire on Sept 28, 2030.

"We are delighted to have been granted these new mining leases by the Perak government. The new leases are expected to strengthen the group's future earnings as we raise our daily mining output and overall productivity," said MSC's group chief executive officer Patrick Yong in a statement.

MSC said the tin mining division is a major earnings contributor. In the previous financial year ended Dec 31, 2018, the division represented 76 per cent of the group's profit before tax.

MSC - a subsidiary of The Straits Trading Company - is listed both on the main market of Bursa Malaysia and the mainboard of the Singapore Exchange.

Shares of MSC closed unchanged at S$0.245 on Tuesday.