BUSINESS

TANAKA MEP Breaks Ground On Malaysia's First 4N Precious Metal Refinery

08/10/2026 07:31 PM

BATU KAWAN, Oct 8 (Bernama) — TANAKA MEP Refinery Sdn Bhd broke ground on its RM70 million precious metal refining facility at Batu Kawan Industrial Park here today.

It will be Malaysia's first 4N precious metal refining factory when completed, and will produce precious metals at a high purity level of 99.99 per cent, strengthening Malaysia’s capabilities in advanced refining technology.

TANAKA MEP Refinery is a joint venture between Japan-based TANAKA Precious Metal Technologies Co Ltd and Malaysia-based MEP Enviro Technology Sdn Bhd.

At the groundbreaking ceremony today, MEP Enviro Technology director Sean Ong said: “Through this partnership, we aim to establish a more complete precious metal recycling value chain, from recovery and high-purity refining to returning valuable materials into the manufacturing supply chain."

Commercial operations are expected to begin in the first quarter of 2029. The aspiration is to establish an international-standard precious metal refinery to support the production of high-purity precious metal materials for customers in Malaysia and across ASEAN.

TANAKA Precious Metal Technologies chief operating officer Tomoyuki Tada said the facility will strengthen Penang's capabilities in high-value precious metal recovery and refining. It will also support regional electrical and electronics (E&E) and semiconductor industries.

The facility will also contribute to a more circular industrial value chain by adding high-purity precious metal refining capabilities to Penang's manufacturing ecosystem.

Sited on three acres, it will have a built-up area of 45,000 square feet. Phase One, an investment of RM35 million, focuses on producing 4N high-purity gold and potassium gold cyanide (PGC), essential materials for the electronics and semiconductor industries.

MIDA chief executive officer Datuk Sikh Shamsul Ibrahim Sikh Abdul Majid said the facility will strengthen Malaysia’s capabilities in higher-value precious metal recovery and refining. It will also support downstream industries including the E&E and semiconductor sectors.

More importantly, the partnership demonstrates how investment contributes to a more integrated and circular manufacturing ecosystem by recovering valuable materials and returning them to the industrial supply chain, he said.

“MIDA welcomes investments that deepen Malaysia’s industrial capabilities, introduce higher-value activities and create stronger linkages across the domestic supply chain.

"We will continue to work closely with TANAKA MEP Refinery and our partners in Penang to facilitate the implementation of this project and support its long-term growth in Malaysia,” he added.

Chief Minister Chow Kon Yeow, who attended the event, said gold is a critical input for the semiconductor industry. It is used to plate and connect the tiny components inside the chips Penang makes and ships out globally.

"When a critical input travels thousands of kilometres to reach our factories, every link in that chain is a point of risk. 

"This refinery further localises a critical input for our industry. A shorter supply chain means faster delivery and lower costs for our manufacturers when the world is in turmoil. In uncertain times, what is made close to home is what keeps the production lines running," he added. 

Penang Yang Dipertua Negeri Tun Ramli Ngah Talib officiated at the groundbreaking ceremony.

-- BERNAMA


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