Govt targets domestic REE processing within 3 years

 

Economy minister Rafizi Ramli said if rare earth elements can be processed domestically, it will make it easier for states to regulate and license the mining of REE. (Bernama pic)

PETALING JAYA: 

The government expects rare earth elements (REE) to be processed in Malaysia within the next three years, according to economy minister Rafizi Ramli.

Rafizi said the technology to process REE is available in China and that Prime Minister Anwar Ibrahim is in talks with his counterpart, Li Qiang, on the matter.

“Therefore, we are waiting for the outcome of the discussion so that within two to three years, we can ensure REE is processed in the country.

“If it can be processed (in the country), it will make it easier for states to regulate and license their mining for REE development,” he said after an engagement session with the Kelantan government on the 13th Malaysia Plan in Kota Bharu, reported Bernama.

On Nov 11, natural resources and environmental sustainability minister Nik Nazmi Nik Ahmad said Malaysia had strong potential to expand its role in downstream activities in REE, positioning the country to become a leading producer of super magnets, crucial for the electric vehicle industry.

Rafizi said the latest blueprint for REE, which examined the entire value chain at the upstream, midstream and downstream levels, was recently tabled at the sixth National Economic Action Council meeting for 2024, chaired by the prime minister.

Separately, Rafizi said the government had discussed the possibility of abolishing the packet cooking oil subsidy to address the issue of leakages numerous times.

However, he said the issue falls under the purview of the domestic trade and cost of living ministry and any decision on the matter will need to be presented to the Cabinet at a suitable time.

“Right now, the ministry is going through the process of reviewing the best way to subsidise cooking oil without involving huge leakages.”

On another matter, he said all national border development projects, involving states in the north, Sabah and Sarawak, are being scrutinised at his ministry’s level.

“We need to develop a development format and model first, not only in Kelantan but for all the other states near the borders of other countries. Only then can we determine the allocations and how the border development can be implemented,” he added. - FMT