According to reports in Berita Harian (Nov 4) and The Star (Nov 5), the Negeri Sembilan state government plans to begin pilot rare earth element (REE) mining early next year at two sites in Jelebu. The operation will involve a state-owned GLC and is currently awaiting approval of its Environmental Impact Assessment (EIA) report.
We acknowledge and appreciate the state government’s assurance that this project will be carried out with great caution, without affecting forest reserves (Hutan Simpan Kekal) or local communities. However, the issue is far more complex than it appears.
Environmental Risks of In-Situ Leaching (ISL)
The Standard Operating Procedure (SOP) for REE mining released by the Ministry of Natural Resources and Environmental Sustainability (NRES) in late 2023 promotes In-Situ Leaching (ISL) as a “low surface disturbance” method compared to open-pit mining. Yet, while open-pit mining damage is visible, ISL involves injecting chemical solutions deep underground — a process that is difficult to monitor and even harder to rehabilitate.
ISL can contaminate groundwater, as leaching fluids may mobilize heavy metals, radioactive elements, or other toxic substances, polluting both underground and surface water systems. In Perak, for example, a recent case of river discoloration was suspected to be linked to REE mining. The process can also destabilize soil structures, causing landslides and erosion.
The Question of “Non-Radioactive” REE
Although Malaysia’s SOP classifies REE as Non-Radioactive Rare Earth Elements (NR-REE), this designation is regulatory rather than scientific. It is based on the legal radiation limit of 1.0 Bq/g, allowing REE resources with lower readings to bypass the Atomic Energy Licensing Act 1984. This classification helps portray REE as “green” and “sustainable” for policy and investment purposes.
However, it overlooks the fact that radioactive elements such as thorium and uranium often coexist with REE minerals. During processing, if these by-products are not handled properly, they can generate radioactive waste in the form of dust, sludge, or tailings.
The Lynas plant in Pahang is a clear example: its Water Leach Purification (WLP) residue is officially categorized as Naturally Occurring Radioactive Material (NORM). Although considered “low-level,” millions of tonnes of such waste pose long-term environmental and health risks if poorly managed, especially under heavy rainfall, leaks, or natural disasters.
In short, classifying REE as “non-radioactive” based solely on numeric thresholds ignores local concentration and long-term exposure risks. This “de-radiation narrative” reflects a governmentality strategy—a political tool to neutralize public opposition.
Strategic Narratives and Global Power Interests
REEs are vital raw materials for semiconductors, electric motors, and green energy technologies. Malaysian political leaders often frame REE mining as a strategic national interest to justify extraction. For instance, Minister of Investment, Trade and Industry Tengku Datuk Seri Zafrul Abdul Aziz recently reaffirmed that Malaysia will continue banning the export of raw REE to support domestic downstream industries.
Globally, China currently controls about 69% of raw REE production, over 90% of global processing capacity, and nearly 100% of heavy REE refining used in defence and clean energy. Western powers, particularly the US, are trying to reduce this dependency. Some Malaysian scholars have urged the government to leverage this moment for technology transfer—not only in refining but also in downstream manufacturing.
Yet, such foreign investments often seek cheap labour and lax environmental regulations, leaving pollution and waste in the Global South while finished products are exported cheaply to Western markets. Malaysia risks becoming a low-cost labour and waste zone in this global division of production.
A Call for an Alternative Path
We acknowledge the economic and technological importance of rare earth elements (REE), but their production must not come at the expense of public health and ecological stability.
Instead of remaining a low-cost supplier to developed nations, Malaysia and other ASEAN countries should form a regional economic and scientific cooperation framework, seizing the opportunities arising from the competition among major powers. By leveraging the region’s market strength and population, we can develop REE-based technologies that serve local needs—such as solar panels, medical equipment, and public transportation systems.
This approach reflects the true meaning of decolonisation and just development. The state government also has a responsibility to work together with the Federal Government to develop alternative economic models that reduce dependence on the Global North.
Strengthening Governance and Transparency
Given the Ministry’s limited manpower to oversee mining operations nationwide, the Negeri Sembilan government should take the initiative to:
- Collaborate closely with NRES to strengthen enforcement and monitoring;
- Station officers at mining sites for continuous inspection;
- Train officials and form expert teams to address ISL-related monitoring challenges;
- Establish a state-managed environmental restoration fund using a fixed percentage of mining profits to address potential pollution, disasters, and rehabilitation needs.
In parallel, we urge the state government to attract high-tech industries related to REE downstream production to create quality employment opportunities.
Finally, we call for greater transparency — including disclosure of involved GLCs, board members, and EIA progress. Such openness would not only enhance public trust but also enable meaningful community oversight.
Brian Khow,
PSM Negeri Sembilan
References:
- The Star Malaysia, Nov 5 2025:
https://www.pressreader.com/malaysia/the-star-malaysia/20251105/281758455541017
- Berita Harian, Nov 4 2025:
- Berita Harian, Oct 2025 – Malaysia maintains REE export ban:
- Berita Harian, Oct 2025 – Managing REE amid global power competition:
- Berita Harian, Nov 2025 – River pollution linked to REE mining:
- Friends of the Earth Malaysia (2022):
- The Edge Malaysia (2023):
https://theedgemalaysia.com/node/732068
- US EPA – TENORM: Rare Earths Mining Wastes:
https://www.epa.gov/radiation/tenorm-rare-earths-mining-wastes
