Water, Land and Natural Resources Minister Xavier Jayakumar said the directive, imposed in January 2016, would be retracted “once all stakeholders enforce the standard operating procedure (SOP) in the mining and export of bauxite from Pahang, to ensure that such activities are carried out in a sustained manner”.

In a statement, he said the ministry had revised the SOP to include stricter conditions to protect the industry as well as the environment.

He said the department of mineral and geoscience would not approve any operational mining schemes for concessionaires until these conditions are met, especially the environmental impact assessment.

In February, the government said it would not extend the moratorium due to strong demand for the material which is used to make aluminium.

Malaysia was once the biggest bauxite supplier to top buyer China, with shipments peaking at nearly 3.5 million tonnes a month at end-2015.

But bauxite mining was banned early in 2016 after unregulated mining and run-offs from unsecured stockpiles in Pahang contaminated water sources, turning roads, rivers and coastal waters red.