KUALA LUMPUR, Nov 6 — The government has agreed to provide flexibility regarding the existing moratorium on the export of raw rare earth element (REE) materials through the Guidelines for the Conditional Export of Raw Rare Earth Elements in order to attract potential investors.

The Ministry of Investment, Trade and Industry (MITI) said that currently, potential REE investors appear reluctant to invest due to the lack of a guaranteed, stable domestic supply of raw REE materials.

According to the ministry, this export flexibility is limited strictly to research and development (R&D) activities.

“Furthermore, the relevant company must demonstrate a clear commitment to collaborating on the development of processing facilities in Malaysia within three years from the date the export of raw REE materials is approved,” said MITI in reply to a question from Shaharizukirnain Abd Kadir (PN-Setiu) regarding the government’s firm stance on a US$96 million rare earth oxide supply agreement between Lynas and the Pentagon of the United States.