French rare earths specialist Carester and Malaysian miner Malaco Mining Group have teamed up to work on a rare earth separation plant, and will also collaborate on rare earth mining, an adviser to French President Emmanuel Macron said in Kuala Lumpur on Wednesday.
The cooperation agreement on the separation plant project, which is in its “pilot stage”, will include technology transfers to Malaco as well as expertise to ensure environmental compliance, said Benjamin Gallezot, an adviser on strategic minerals, after meeting with Malaysian government officials.
Western countries are trying to develop sources of rare earths, used in electric vehicles, smartphones and other high-tech products, to reduce reliance on China, the world’s largest rare earth producer.
Malaysia is looking to foreign partners to help develop its domestic rare earth industry. The country has an estimated 16.1 million tonnes of rare earth deposits but lacks the technological capacity to mine and process them.
Gallezot said the companies would seek to build a Malaysian plant focused on rare earth separation, a process needed before the elements can be used to make advanced magnets for the manufacture of electric vehicles and clean technologies.
Malaco was already in touch with several European magnet makers, Gallezot said, declining to identify the companies. The Japanese government has also expressed interest in the joint project, he said.
Malaco Mining did not respond to a request for comment made outside office hours. The Japanese embassy in Malaysia also did not immediately respond to a request for comment.
Separately, Gallezot said G7 countries would look to hold discussions with foreign partners outside the group on critical minerals during its meetings this year.
“We consider that to diversify the supply chain, international cooperation is key,” he said.
(By Rozanna Latiff; Editing by David Stanway and Jane Merriman)
