GOPENG: The success of the pilot project for non-radioactive rare earth element (NR-REE) mining in Kenering sub-district, Gerik, allows Perak to balance China's monopoly in the production of high-value materials, lanthanides.
Perak Menteri Besar Datuk Seri Saarani Mohamad said that the extraction and export of NR-REE had generated RM29.73 million in royalties for the state government, proving the industry's vast potential.
He said that apart from Kenering, the state government, with the assistance of the Department of Minerals and Geosciences (JMG), has mapped out locations across the state identified to be rich in mineral content and aims to explore them.
"Currently, more than 85 per cent of the world's lanthanide production is controlled by China.
"We acknowledge that China is a large country, and we are not that big, but when mineral deposits are discovered outside of China, no single country will monopolise the price. Thus, the price of mineral materials won't be determined by just one nation.
"We have begun building a mineral analysis laboratory (Terra Mineral Lab) here to provide users the opportunity not to depend on just one global source.
Perak, in particular, is offering this resource," he said after opening the lab today.
He said that rare earth elements are assets for future technology development as they are widely used in the manufacture of electric vehicle components, solar energy, wind turbines, and various advanced electronic devices.
"With Terra Mineral Lab in Perak, we are on the right path to contributing to the diversification of the global supply chain, thereby reducing the world's dependence on a single source," he said.
Saarani added that Perak also welcomes other state governments and the private sector to utilise the lab's facilities for the benefit of the country's mineral industry development.
"Other states do not need to set up the same labs, as they are expensive. They can come and use the existing lab, and at the same time, more skilled and expert young talents in this field can be nurtured.
"Previously, some had to take their minerals to China or other states, involving transportation costs, logistics, and processes such as customs, immigration, and others.
"However, with this lab, we no longer need to incur costs for that purpose, just pay the service fees," he said, adding that the RM12 million lab houses various high-tech scientific equipment capable of analysing, identifying, and verifying mineral content, especially NR-REE, with high accuracy.