Lynas to temporarily shut down production at Malaysian rare earth plant following regulatory delay

Rare earths miner Lynas will temporarily shut down production at its Malaysian NdPr plant pending regulatory approval.

A worker walks past the site of Lynas rare earths plant under construction in Gebeng, eastern Malaysia in 2012. Picture: AP

Rare earths miner and processor Lynas Corp says it will temporarily shut down production at its Malaysian Neodymium-Praseodymium (NdPr) plant in December because it has not received approval to increase annual volume.

“One of the business as usual applications that we have lodged is for an increase in the annual volume of lanthanide concentrate that can be processed at Lynas Malaysia this calendar year,” Lynas (LYC) chief Amanda Lacaze said at today’s annual general meeting in Sydney.

“As it is now late November, and we have not received that approval, we are prudently planning for a temporary shutdown of production in December.”

She said the shutdown would reduce NdPr volumes by about 400 tonnes and that production would restart in January.

Today’s AGM is being held on the same day that a Malaysian review of Lynas’s operations is due to be handed to the relevant minister.

“We expect the Minister will take some time to consider the report which will then be considered by the Cabinet,” Ms Lacaze said.

At 11.13am AEDT, Lynas shares were down 4c, or 2 per cent, at $2.