Timah cancels Myanmar smelter project

IDX-listed tin giant PT Timah Tbk has decided to cancel its earlier plan to develop a smelter in Myanmar due to difficulties in finding the ideal location, Kontan reported on Friday.

The paper quoted company Corporate Secretary Agung Nugroho as saying that there has also been concern over security condition in Myanmar.

The company earlier planned the smelter project as part of expansion strategy in Myanmar after two subsidiaries PT Timah Myanmar Mining and PT Timah Myanmar obtained a 10,000 ha tin concession in Myanmar. However, the company has yet to obtain the entire permits to be able to start developing the concession. ?The permitting procedure is more complicated than initially expected,? Agung said.

Agung said Timah plans to seek a new location with tin reserve potential, and instead of developing a greenfield smelter, the company may acquire existing smelter in the country. (*)