Completes HPA Site Clearance Work at Johor, Malaysia
- Altech completes HPA site clearance works at Johor, Malaysia
- Key development milestone for Altech's HPA project
Clearing of the site predominantly involved the removal of secondary re-growth vegetation; this activity was the first task in the detailed schedule of works for stage 1 construction. The completion of site clearance is another key development milestone for the Company's proposed Malaysian HPA plant; other key Malaysian development milestones are listed in the table below:
Date: 20 Nov 2014
Development Milestone (Malaysia): Following a global search, Altech selects and secures a ~4Ha site at Johor, Malaysia for its proposed HPA plant
Date: 19 Jun 2015
Development Milestone (Malaysia): Environmental approval (PAT) to develop the HPA plant received
Date: 2 Nov 2016
Development Milestone (Malaysia): Altech opens an office for its Malaysian subsidiary in Johor (Tanjung Langsat)
Date: 25 Nov 2016
Development Milestone (Malaysia): Official lease signing ceremony with Johor Corporation, managers of the Tanjung Langsat Industrial Complex
Date: 16 May 2017
Development Milestone (Malaysia): SMS group appointed as EPC contractor for Altech's HPA plant
Date: 20 Oct 2017
Development Milestone (Malaysia): Design of HPA plant finalised
Date: 21 Feb 2018
Development Milestone (Malaysia): Manufacturing licence for HPA plant approved
Date: 22 May 2018
Development Milestone (Malaysia): Final payment instalments made for HPA plant site, securing the site via a 30-year lease
Date: 12 Jul 2018
Development Milestone (Malaysia): Altech executes stage 1 construction agreement with SMS group
Date: 27 Jul 2018
Development Milestone (Malaysia): Site clearance completed at HPA plant site
The Company's HPA plant site is located in a section of the Tanjung Langsat Industrial Complex in Johor that is designated for chemical processing facilities. The Company selected Johor, Malaysia as the location for its proposed HPA plant based on significant economic and development benefits, including the ready availability of required consumables such as hydrochloric acid, limestone, quicklime, power and natural gas - all at highly competitive prices. The availability of skilled labour, proximity to an international container port and international airports (Johor Bahru and Singapore), and the various investment incentives on offer such as a 5-year corporate profits tax relief period are other important advantages of the selected location.
Renowned as being the most sought-after location for industries in Malaysia, Johor is a dynamic and vibrant industrial corridor and a manufacturing hub in the south-east Asian region. The only state in Malaysia with three ports and an international airport for cargo, Johor is the international metropolis for investment providing political and social stability; fully-developed industrial parks; a growing English-speaking workforce; supportive government policies with attractive tax incentives; and low inflation rates. Johor has the largest concentration of the world's leading manufacturers and exporters of electronic products such as semiconductors and synthetic sapphire products; solar panel and glass products; textiles, rubber and wood products.
Altech's managing director Iggy Tan, commented: "The site clearance caps off an exciting 12 month period for Altech as we take another step towards our goal of becoming a major producer of high purity alumina".
To view tables and figures, please visit:
About Altech Chemicals Ltd
HPA is a high-value, high margin and highly demanded product as it is the critical ingredient required for the production of synthetic sapphire. Synthetic sapphire is used in the manufacture of substrates for LED lights, semiconductor wafers used in the electronics industry, and scratch-resistant sapphire glass used for wristwatch faces, optical windows and smartphone components. There is no substitute for HPA in the manufacture of synthetic sapphire.
Global HPA demand is approximately 25,315tpa (2016) and demand is growing at a compound annual growth rate (CAGR) of 16.7% (2016-2024), primarily driven by the growth in worldwide adoption of LEDs. As an energy efficient, longer lasting and lower operating cost form of lighting, LED lighting is replacing the traditional incandescent bulbs.
Altech Chemicals Ltd