Jade Marvel inks MoU with Chinese company to explore opportunities in mineral processing and solutions
14 Jan 2022
Jade Marvel Group Bhd is planning to collaborate with Chinese company Shangdong Xinhai Mining Technology & Equipment Inc (Shangdong Xinhai) to explore business opportunities in mineral processing and solutions in Malaysia.
In a bourse filing, Jade Marvel said its wholly-owned Jadem Trading Sdn Bhd has inked a memorandum of understanding (MoU) with Shangdong Xinhai to discuss the terms of their potential collaboration.
Shangdong Xinhai, founded in 1997, is a turnkey solutions provider for mineral processing plants and have successfully undertaken numerous mine projects and mineral processing projects involving engineering, procurement, construction, management and operations, with overseas offices in Asia, South America and Africa, said Jade Marvel.
Jadem Trading, on the other hand, is interested in venturing into mineral processing and is looking into setting up a mineral processing laboratory in Kuantan, Pahang, the filing added.
Xinhai, as a turnkey solutions provider in mineral processing, will provide its expertise to Jadem Trading in its setting up of a mineral processing laboratory, which is intended to have modern advanced testing equipment using multiple testing or processing methods with supporting facilities, it said.
Both parties plan to leverage on each other’s networking and marketing strengths to jointly develop a customer base in Malaysia to provide EPC services. They are targeting small and medium-sized mining companies and mine owners, for whom they can build mineral processing plants and sell/commission equipment.
Jadem Trading will also act as Shangdong Xinhai’s distributor in Malaysia, as the latter has the ability to develop, manufacture and supply various types of mining equipment and products. Jadem Trading, in turn, plans to appoint Shangdong Xinhai as its marketing representative in China for the exports of Jadem’s mineral products.
The parties also plan to set up a one-stop centre in Malaysia, complete with a showroom and laboratory, to showcase the said products and solutions to potential clients.
Jade Marvel shares closed 0.5 sen or 0.73% lower at 68 sen on Friday (Jan 14), valuing the group at RM220.58 million.
Source: The Edge Markets