Australia's Lynas to upgrade Malaysian rare earth refinery amid dispute over operating license

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Australia's Lynas to upgrade Malaysian rare earth refinery amid dispute over operating license
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Australian miner Lynas Rare Earths says it will temporarily shut down most of its operations in Malaysia for upgrades while dealing with a legal battle with the Malaysian government over its operating license.

FILE - Construction vehicles are parked at the site of Lynas' rare earths plant in Gebeng, eastern Malaysia, Thursday, April 19, 2012. Australian miner Lynas Rare Earths said Friday, Oct. 20, 2023, that it will temporarily shut down most of its operations in Malaysia for upgrading as it deals with a legal battle with the Malaysian government over its operating license.

Lynas's operating license was extended by six months until Dec. 31. To again renew its license, Lynas must move its cracking and leaching processes — which produce the radioactive waste from Australian ore — out of Malaysia. It also is not allowed to import raw material with radioactive elements into the country.

It said the upgrade is essential if its license is updated to allow the company to continue to import and process raw materials from Jan. 1. Lynas said it plans to also undertake further maintenance work on the cracking and leaching facility, if operation are allowed to resume as normal. Rare earths are 17 minerals used to make products such as electric or hybrid vehicles, weapons, flat-screen TVs, mobile phones, mercury-vapor lights and camera lenses. China has about a third of the world’s rare earth reserves but a near monopoly on supplies. Lynas has said its refinery could meet nearly a third of world demand for rare earths, excluding China.

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