PMB Technology Bhd plans to invest MYR 650 million (USD 133 million) in a silicon-aluminium alloy plant at Samalaju Industrial Park in Sarawak, Malaysia, as the group seeks to diversify its operations following prolonged weakness in its silicon metal business.
The proposed facility is expected to be completed and begin commercial operations by the second quarter of 2027, subject to shareholder approval. The investment forms part of a restructuring plan that would redirect some of the group’s existing power capacity towards silicon-aluminium alloy production while partially suspending silicon metal manufacturing.
The move comes as PMB Technology faces mounting financial pressure from weak silicon metal prices and sluggish demand. By expanding into silicon-aluminium alloys, the company aims to broaden its earnings base and reduce its reliance on a business affected by persistent oversupply and subdued downstream demand.