REE Extraction SOP Proposal Aims To Safeguard State Revenue - Saarani

IPOH, Nov 14 (Bernama) -- The proposal to establish a Standard Operating Procedure (SOP) for the enforcement and extraction of rare earth elements (REE) is aimed at safeguarding state revenue from being siphoned off by irresponsible parties.

Menteri Besar Datuk Seri Saarani Mohamad emphasised that the SOP should incorporate criteria focused on a company’s credibility and experience in managing REE extraction.

“Introducing this SOP is a positive step by the state government to prevent revenue loss and REE theft.

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“However, the SOP should include specific criteria, and any applicant companies must have certification and recognition in the REE industry,” he said after the 56th annual dinner of the Federation of Malaysian Manufacturers (FMM) Perak at Hotel Casuarina@Meru here yesterday.

On Oct 25, Malaysian Anti-Corruption Commission (MACC) chief commissioner Tan Sri Azam Baki suggested that the Federal and state governments implement a dedicated SOP for REE enforcement and extraction.

Azam said the proposal followed an investigation by the Malaysian Anti-Corruption Commission (MACC), which revealed the absence of a specific SOP for REE extraction, leaving room for mismanagement and illegal mining.

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Meanwhile, Saarani highlighted that the SOP would also help complete the existing REE mining regulations, which have primarily focused on extraction methods and processes.

He further noted that the recent success of a pilot REE project with a local company proved their expertise is on par with international industry leaders, particularly from China and Australia.

“This achievement comes shortly after the establishment of Terra Mineral Lab, Malaysia’s first commercial rare earth mineral analysis lab, which is set to become a key reference centre for the country’s mineral industry,” he said.

-- BERNAMA