Lynas signs contract for heavy rare earth plant in the US

Lynas' Mount Weld rare earths mine in Western Australia. Photo: Lynas

Lynas Corporation Limited announces that Phase I work on a U.S. based Heavy Rare Earth separation facility has proceeded to the contract phase and Lynas and the U.S. Department of Defense (“DoD”) have signed a contract for this work.

Phase I funding provided by the DoD will allow Lynas and U.S. partner Blue Line to complete a detailed market and strategy study plus detailed planning and design work for the construction of a Heavy Rare Earth separation facility. In line with DoD Phase I milestones, Lynas expects this workto be completed in the 2021 financial year.

The development of a Heavy Rare Earths separation facility is a key initiative of the company’s Lynas 2025 growth plan, as announced on 21 May 2019. Lynas’ new Heavy Rare Earth facility is an attractive and strategic proposition, providing an expanded product suite as well as the only source of separated Heavy Rare Earths outside China.

Lynas will utilise its inhouse intellectual property and proven track record in Rare Earths separation to design and operate the Heavy Rare Earths separation facility, which will process Heavy Rare Earths material sourced from the Lynas mine in Mt Weld, Western Australia.

Lynas CEO & Managing Director, Amanda Lacaze, commented:

“We are very pleased to have signed a contract with the DoD for this Phase I work. Heavy Rare Earths are essential for the high performance magnets used in electric motors, and Lynas has the feedstock, intellectual property, and track record to deliver a Heavy Rare Earths facility in a timely and low risk manner. We look forward to working with the DoD to progress this project.”