KUALA LUMPUR (June 24): Kanger International Bhd is set to promote the export of river sand and other minerals from Malaysia to mainland China and Hong Kong.

The group said this follows its appointment as an authorised representative by Legasi Lestari Sdn Bhd, one of 11 companies in Malaysia that hold registered approved permits (AP) to export river sand and other minerals to Brunei, mainland China, Hong Kong, Taiwan, South Korea, Vietnam, India, Japan and the Maldives.

The AP is issued by the Ministry of Energy and Natural Resources and is valid until July 2027.

“With this appointment, Kanger is authorised to represent Legasi Lestari in negotiations with prospective customers with regards to the sale, supply and export of river sand and other minerals, both in Malaysia and internationally,” Kanger said in a statement filed with Bursa Malaysia.

For a start, Kanger will focus on developing new sales channels and customers for the export of sand and other minerals from Malaysia into mainland China and Hong Kong, said the ACE Market-listed firm.

Its executive director Joseph Wu Wai Kong said the deal represents a significant milestone in the group’s plan to diversify its revenue stream and fuel the company’s growth and expansion going forward.

“River sand is a widely used construction material and is in short supply in China and Hong Kong due to the rapid pace of construction and reclamation works there.

“Having operated in China over the past 15 years, we have built up solid business relationships with companies across various sectors, especially in the construction industry,” he said.

Kanger said the group and Legasi Lestari are working towards signing a more extensive joint-venture or collaboration agreement within three months from this appointment, which would focus on the financing and development of new mining concessions.

Kanger's share price settled half a sen or 5.26% lower at nine sen, with 4.51 million units done. This values the group at RM111.17 million.