Sapura Industrial Supports Joint Venture for Lithium Battery Plant in Kedah
Sapura Industrial Berhad plans to provide funding to SIB ZZT Sdn Bhd for its lithium battery components facility in Kedah. This financial assistance is critical to avoid project delays and ensure compliance with customer commitments.
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Sapura Industrial Berhad (SIB) intends to finance its 51%-owned joint venture, SIB ZZT Sdn Bhd, for the completion of a lithium battery precision components plant in Gurun, Kedah. The estimated project cost is RM54.1 million, including RM11.4 million for design and construction and RM41.4 million for machinery.
The funding will serve as interim support until external banking facilities can be drawn down, allowing the facility to begin operations by August 2026. The project is expected to fulfill supply agreements with EVE Malaysia, contributing to the production of components for electric vehicles and energy storage systems. Delays in this funding could impact manufacturing timelines and contractual obligations.
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