MSM Malaysia is planning to construct a new sugar refinery in Tanjung Langsat, Johor with an investment of around $259m.
Planned to commence operations in the third quarter 2017, the facility is expected to produce two million tons of refined sugar annually.
Said to be the largest standalone sugar refinery in the country, the plant will increase the company's annual production capacity to 3.25 million tons.
MSM has awarded a $95.7m contract to Shakara International, a subsidiary of Thailand's Sutech Engineering, to design and construct the facility.
MSM president and CEO Datuk Sheikh Awab Sheikh Abod was quoted by The Rakyat Post as saying that the annual consumption of sugar in the country is anticipated to increase to to 1.9 million tons from the current 1.4 million tons between 2020 and 2025.
The company is planning to inject around $1.3m in Indonesian upstream business, if it wins a tender to develop a mill there.
"We are proposing a build-operate-transfer model and we will bring in experts to refurbish the mills, improve the refineries because their yields are getting lower," Abod added.
