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Sanusi: Expedite REE mining SOP to curb illegal exports

ALOR STAR: The federal government has been called to act swiftly in issuing a standard operating procedure (SOP) for the exploration of rare earth elements (REE) to stem illegal export of the prized minerals abroad.

Kedah Menteri Besar Datuk Seri Muhammad Sanusi Md Nor claimed that certain parties are taking advantage of the absence of an SOP by declaring it as lanthanide, allowing it for export to other countries.

Sanusi said this situation led to a significant loss of national revenue as the minerals could have been processed domestically.

"I am also worried (about misconduct), because what has happened is that REE has been declared as lanthanide. I don't know how much has already been exported, but I think they (the federal government) are aware of this activity.

"It's not just happening in Kedah, but in other states as well. I've mentioned before that there are 25 illegal mines across the country, only one of which was in Kedah.

"There are plenty in other states, but why is it that only the one in Kedah is causing such a fuss? The MACC (Malaysian Anti-Corruption Commission) should go and arrest them, regardless of who they are," he told a press conference after launching the Greater Kedah blueprint at Seri Mentaloon here today.

Present were state assembly speaker Zubir Ahmad, State Secretary Datuk Seri Norizan Khazali and state Industry and Investment Committee chairman Dr Haim Hilman Abdullah.

Sanusi added that the state government already has its own SOP for REE minerals mining, but it cannot be enforced as the matter falls under the federal government's jurisdiction.

He said the SOP covers exploration processes, mining methods, including prohibiting the felling of trees.

"However, if we extract the REE minerals, we can't sell them anywhere without Customs Department clearance because there is no SOP from the federal government.

"One of my counterparts from another state said, 'Let's not bother about them (the federal government), we'll process it ourselves.'

"So, it seems some states are leading the way. If they want to keep delaying things, we'll go ahead and do it first," he said.

Sanusi said the state government frequently enquired about the SOP progress from the Natural Resources and Environmental Sustainability Ministry (NRES), but there has been no update.

He believed that the ministry might be considering various factors, such as REE-related technology which is currently dominated by China and the United States, who are competing in the field.

"At present, China has the most advanced technology for REE processing. They are capable of separating 17 elements (of REE minerals), while the United States can only manage with seven elements.

"We hope that there will be a technology transfer (to Malaysia), but China has a policy of not sharing the technology as they only want the raw materials. I think this is what the ministry is considering.

"If possible, we would prefer to process everything here, from drying and separation to manufacturing. For example, the material could be used to make electric car batteries," he said.

On Friday, Sanusi said the SOP on REE falls under the NRES, not the state governments.

He said this in reply to the call by MACC chief commissioner Tan Sri Azam Baki's call for state governments to establish SOPs for REE mining to curb illegal mining and theft.

https://www.nst.com.my/news/nation/2024/10/1125398/ree-mining-sop-under-....

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