The Sabah state government has strongly denied allegations of unauthorized silica sand exports, clarifying that the mineral has not been exported in its raw form since 2023. Industrial Development and Entrepreneur Minister Datuk Phoong Jin Zhe dismissed claims circulating on social media, asserting that the government has never secretly approved the export of this valuable resource.

Speaking after the Sabah State Cabinet meeting, Phoong stated that reports from the Customs Department, the Royal Malaysia Police, and the Port Authority confirm that no illegal exports have occurred. The only recorded instance of silica sand exportation was between July and August 2023, when 2,598.93 tonnes were sent to China for trial production and quality testing. The export was part of an official application by SBH Kibing Solar New Materials (M) Sdn Bhd (Kibing), which had initially sought approval for 5,000 tonnes but ultimately exported a smaller quantity.

Phoong explained that since Kibing’s factory at Kota Kinabalu Industrial Park (KKIP) became operational, all silica sand extracted in Sabah has been directed there for processing. "Once the factory was completed, silica sand was no longer exported anywhere, including to West Malaysia. Instead, it was transported to the KKIP facility to produce solar glass," he emphasized.

He attributed the public misunderstanding to the recent transportation of silica sand via a sand barge from the company’s jetty in Sikuati, Kudat, to Sepanggar Port near KKIP. The sight of the barge may have led some to mistakenly believe that the resource was being exported overseas. However, Phoong clarified that the 3,000 tonnes of silica sand transported by sea was solely for local use. "I believe people saw the sand barge and assumed it was meant for export, but in reality, the material was sent to our own processing facility," he said.

Phoong stressed that all silica sand exports require government approval and reaffirmed that no unauthorized shipments have taken place. Instead, Sabah has successfully developed its solar glass manufacturing industry, which has expanded to global markets. "We began exporting made-in-Sabah solar glass last year," he stated, adding that Kibing’s factory initially produced 1,200 tonnes of solar glass daily and has now increased its output to 2,400 tonnes per day.

Looking ahead, the Sabah government aims to further strengthen the local industry by developing a complete solar supply chain. "We are not stopping here. Our goal is to create more downstream activities, including solar panel and battery production, to build a more robust industrial network," Phoong said.

Prior to the completion of the Sikuati jetty, silica sand was transported to KKIP by lorries. The new transportation method via sand barge has shortened the journey to three to four hours, improving logistics while ensuring that the resource remains within the state.