Startup granted permit to ship raw rare earths from Malaysia to US for research: CEO
Malaysia has 16.1 million metric tons of rare-earth deposits but lacks the technology to process them
In Malaysia, a US-owned startup, DTEC Mineral and Metal Technology, has been granted approval to export raw rare earths to the United States for research purposes. This marks the first permit issued under Malaysia's recently relaxed export regulations. CEO Milan Perlly revealed that the company will initially ship around 30 metric tons of rare-earth carbonate from Perak state to US-based companies and research institutions for testing technologies aimed at separating and refining rare-earth elements from the country's ionic clay deposits.
Despite Malaysia imposing a ban on rare earth exports in 2024 to safeguard domestic resources, the nation has permitted certain shipments to China as part of a pilot mining project in Perak. Recently, Malaysia eased its restrictions, releasing guidelines for the conditional export of raw rare earths for research or processing purposes.
This move aims to foster local refining capabilities and leverage the increasing demand from Western nations seeking to diminish their reliance on China. DTEC, which is 51% owned by US citizens, including Malaysian-born Perlly, plans to construct a processing facility in Malaysia within the next three years. The company has also received backing from the US Export-Import Bank for potential financing of up to $650 million for the anticipated Malaysian refinery.
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