Lynas Completes Phase 1 Construction of Malaysian Rare Earths Facility, Phase 2 Already 69% Complete

Australian rare earths miner Lynas Corp announced on Wednesday its idled rare earths processing plant facility in Malaysian has been fully completed, with the second phase expansion already underway at 69 per cent.

Although already prepared to receive its first kiln feed, the Lynas Advanced Materials Plant (LAMP) in Malaysia has yet to operationally run as the Australian rare earths mining firm still awaits the final decision of a Malaysian High Court of whether it will rule in favor or not of the presence of the LAMP in Kuantan, Malaysia.

The plant's operation has been placed in an interim suspension order. Lynas cannot operate on the rare earths processing plant until the high court issues a final rule on the injunction application filed against it. The ruling is expected to be released on November 8.

In its quarterly results for the three months to September, Lynas said the construction of LAMP's Phase 2 expansion was already 69 per cent complete at the end of the quarter. Its completion is targeted in early 2013.

Phase 1 is expected to supply about 11,000 tonnes of rare-earth oxides (REOs) in its first year, while Phase 2 would increase production capacity to some 22 000 tonnes per year.

In the same report, Lynas likewise announced an upgrade of its ore reserve at the Mount Weld project in Western Australia, now placed at an estimated 1.14-million tonnes of contained REOs.

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