Media statement by Lim Guan Eng in Komtar, George Town on Thursday, 28^th April 2011: 

Only PR will place more importance on the people's health and public safety than the blind pursuit of profits by ensuring that there are no nuclear facility or rare earths mines in Penang 

Only PR will place more importance on the people's health and public safety than the blind pursuit of corporate profits by ensuring that there are no nuclear facilities or rare earths mines in Penang. Shocking online revelations that the Perak state government had secretly agreed to allow a Hong Kong company to explore and mine for rare earths in the state, even as controversy is raging over the Lynas refinery in Gebeng, Pahang.

In a filing to the Hong Kong Stock Exchange dated April 18, CVM Minerals Limited announced it had entered into a memorandum of understanding (MoU) with the Perak State Development Corporation (PSDC) to carry out the project in Bukit Merah, Ipoh.

The Hong Kong company, through its local subsidiary CVM Metal Recycle Sdn Bhd, has applied to the state's land and mineral office for a licence to explore the area, covering 250 hectares, for rare earths.

Bukit Merah is the site of Malaysia's last rare earths plant 20 years ago, which is still undergoing a massive RM300 million clean-up. Once the licence is granted, CVM Minerals and PKNP would enter into an agreement setting out the terms and conditions of their participation in the project. According to the proposed joint-venture, CVM Minerals would be the major shareholder while PKNP would control 135,300,000 shares of CVM Minerals, approximately 4.73 percent of the entire issued share capital.

Environmentalists have raised questions over radioactive waste being produced and stored at Lynas's Gebeng plant, fearing a repeat of the Japanese-owned Mitsubishi Chemical's Asian Rare Earth (ARE) plant, which has been linked to eight cases of leukaemia, seven resulting in death. Recently the Federal government had announced a one-month review of the nearly completed Australian-owned Lynas rare-earth refinery in Pahang following health and safety concerns.

Not just the people of Perak but many Malaysians oppose this short-sighted decision.

Clearly BN in its pursuit for blind profits is willing to put aside environmental concerns and place the health and safety of the people at risk. The people of Perak must quickly restore the PR government of Dato Seri Mohammad Nizar Jamaluddin to prevent this rare earth mines from operating in Perak.

First it is Pahang and now Perak, rare earths plants spring up unhindered without proper and full consultation with the people of its possible high risk impact.

Only PR-ruled states have taken a firm and uncompromising stand against rare-earth refineries and mines. PR states like Penang have even gone a step further by writing to the Federal Government opposing any proposed nuclear energy facility to be located in the state.

The Penang state government had written to Dato Sri Peter Chin Minister of Energy, Green Technology and Water, on 21 March 2011 opposing the building of a nuclear plant in Malaysia. The Penang state government had also affirmed the ban on any such facility in Penang.

LIn the light of the nuclear disaster in a highly-advanced country like Japan, the BN government should not proceed. How can BN be trusted to ensure the safety and health standards of such a dangerous and high risk project like nuclear plant, when the BN government can not build a stadium without its roof collapsing or the roof of Parliament leaking?

In his reply to me on 20 April 2011 Dato Sri Peter Chin said that it was unlikely that any such nuclear facility would be built in Penang due to the high population density. However he stated the BN government's determination to proceed with the building of the nuclear plants by 2020 elsewhere in Malaysia.

The people of Penang can sleep safely and be assured of their children's health as long as PR is in power. Unfortunately for those living in BN states, they will likely have a nuclear plant by 2020. Clearly BN is willing to gamble with the people's health and safety.

Only a PR ruled state like Penang is not willing to take such risks. For this reason the people of Perak and Pahang as well as other BN states should learn an important lesson that only a PR ruled state can ensure that there is no rare earths refinery or mines or nuclear facilities to threaten their health and safety of their families.

*Lim Guan Eng, Penang Chief Minister