Lynas To Pause Operations Wait For Appeal Decision Says Minister


 
Lynas has been granted a hearing on April 28 as it seeks to overturn the government’s prohibition on its importing and processing of rare earth elements in Malaysia.PETALING JAYA: Science, technology, and innovation minister Chang Lih Kang has declined to comment on a report that Lynas may suspend its operations if it fails to overturn Putrajaya’s licensing conditions.
“Lynas has submitted its appeal and the ministry has fixed the date for the hearing of the appeal. Let’s wait for the decision,” Chang told FMT.
Yesterday, The Star reported that Lynas was planning to temporarily halt or enter a low-production period in Malaysia starting in June if the prohibition to import and process radioactive materials is maintained.
Ads by KioskedLynas said it had already anticipated different scenarios concerning the ban and licensing conditions, including importing feeds from Kalgoorlie, Western Australia.
“(With) absent feed for the continued operation of the Lynas Malaysia cracking and leaching plant, the whole Lynas Malaysia facility will be shut down in mid-July until receipt of mixed rare earth carbonate (MREC) from Kalgoorlie.
“The rate of supply of MREC to the Lynas Malaysia plant will depend on the speed of ramp-up of the Kalgoorlie facility,” the company reportedly said.
Lynas said it expected sales to return to normal rates in Q4 of financial year 2023, which is consistent with the ramp-up rates in the first half of the financial year 2024.
On Friday, FMT reported Lynas had been granted a hearing on April 28 as it seeks to overturn the government’s prohibition on its importing and processing of rare earth elements in Malaysia.
The case is seen as a last-ditch attempt to ensure it can continue operations at its plant in Gebeng, Kuantan, after July 1.
Ads by KioskedOn Feb 14, Lynas’ operating licence in Malaysia was renewed for three years with no changes in the said conditions introduced in March 2020.
Additionally, Chang said the government may revoke Lynas’ licence if it failed to comply with the conditions. He said “no one had the right to continuously produce radioactive waste” in Malaysia. - FMT


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