Malaysia Steel Works (KL) Bhd, (Masteel), is allocating MYR100M (US$31M) for capital expenditure (capex) over the next two years to construct a new steel rolling mill.

The new mill is to be completed by early 2015, and will boost the company's annual steel bar production capacity to 550kt/y from 350kt/y.

The new mill is adjacent to the company’s existing Bukit Raja, Klang, meltshop, and the
capex will be funded with bank loans and the balance with internal funds.

Tai said the company planned to increase dividends to 15% this year from 13.4%
in 2012.