PERMANENT DISPOSAL SYSTEM (PDF) FOR WLP RESIDUES IN MALAYSIA
January 30, 2020 - Lynas Corporation Limited (ASX: LYC, OTC: LYSDY) ("Lynas") is pleased to announce the following updates to the Permanent Disposal Facility (PDF).
1. Approval by the state government
The government of the State of Pahang has given its approval for a location for the residues of the PDF for water lye cleaning (WLP). The approved location is a remote location in the Bukit Ketam area of Pahang state. Based on a preliminary due diligence by Lynas and its advisors, Lynas assumes that the location is suitable as the location of the PDF file.
2. Appointment of the PDF contractor
Lynas Malaysia has contracted Gading Senggara Sdn Bhd (“GSSB”) to manage the entire PDF project, including planning, construction, operation and institutional control during the post-completion period for a period to be determined by the regulatory authorities. GSSB is a member of the Gading Group of Companies and the group is a major Malaysian business conglomerate whose businesses include Aerospace, Defense, Maritime, Development & Construction, Energy & Raw Materials & Trade, and Oil & Gas. GSSB is also a government-appointed concessionaire licensed to dispose of industrial waste for the east coast region of the Malaysian Peninsula.
The total estimated amount to be paid to GSSB to manage the entire PDF project is $ 98 million, as summarized in the table below. No payments will be made beyond the payments in the table below.
Description
Timetable
Estimated US dollars
1. Initial payments and
Refunds of costs incurred.
Year until June 30, 2020
10,000,000
2. Installment payments for construction work.
Years until
June 30, 2021 and
June 30, 2022
34,000,000
3. Ongoing periodic payments for
all aspects of the operation of the facility and
of institutional control over time
after completion of the facility for
one from the regulators too
deciding period.
Business years until
June 30, 2023 to
June 30, 2026
54,000,000
ALL IN ALL
98.000.000
Lynas has deposited a total of $ 50 million in cash and in the form of bank guarantees with AELB. Lynas will seek access to the AELB's $ 50 million cash and bank guarantees to partially pay the above amounts. Payments to GSSB will be made in Malaysian ringgit. The numbers in the table above were expressed in US dollars to match the currency of the AELB deposit. The exchange rate accepted in this announcement is $ 1 = MYR4,07.
If you have any questions about this announcement, please contact:
Jennifer Parker or Lauren Stutchbury, our communications consultant at Cannings Strategic Communications at +61 2 8284 9990.
Andrew Arnold company secretary
THE AUSTRALIAN GOVERNMENT GIVES THE NEW LYNAS PLANT IN WA THE STATUS OF A MAJOR PROJECT
February 3, 2020 - Lynas Corporation Limited (ASX: LYC, OTC: LYSDY) ("Lynas") is pleased to announce that it has received major project status from the Australian government to upgrade its new rare earth processing facility in Kalgoorlie, Western Australia.
The announcement was made by the Minister of Industry, Science and Technology, Karen Andrews, and North Australia's Minister of Resources, Senator Matthew Canavan. The major project status officially recognizes the strategic importance of the project to the Australian economy and provides a single point of contact for Commonwealth approval, project support and coordination, and government approval.
The Lynas project will also provide a foundation for developing infrastructure in Kalgoorlie, including utilities and the production of chemicals used in mineral processing beyond the rare earth industry. Lynas will seek support from government and trade partners to develop local infrastructure. The project is in line with key government policies, including regional development, value added processing and infrastructure development. The project also supports the Australian government's strategy for critical minerals.
The Lynas Kalgoorlie plant will handle the cracking and leaching of rare earth concentrate from Lynas' Mt Weld mine, which is also located in the Goldfields region of Western Australia. Lynas will also be exploring opportunities for additional processing in Kalgoorlie.
The facility is expected to create up to 500 jobs during construction and increase Lynas' workforce in the Goldfields to over 200 people. Lynas intends to fill the plant with local workers and continue to work with Curtin University and the WA School of Mines in Kalgoorlie.
As announced on December 19, 2019, the project was also granted Lead Agency status by the West Australian government. This follows Lynas' announcement on December 9, 2019 that the company has signed an option to sublet a property located in an industrial zone from the city of Kalgoorlie-Boulder.
Amanda Lacaze, CEO and CEO of Lynas, commented:
“Developing a robust and resilient critical mineral and rare earth industry is a priority for the Australian government and Lynas is in a unique position to help, as we are the only significant producer of rare earths outside of China.
“This formal support from the Australian government recognizes the importance of our new rare earth processing facility in Kalgoorlie for Australia's critical mineral endeavors, jobs and investments in regional Western Australia. Lynas will make a significant investment in Kalgoorlie and government support in coordinating and facilitating permits will be very helpful as the project progresses.
“Today marks another step forward and we appreciate the strong support from the Australian Government and the Western Australian Government for the growth of the critical minerals industry in the Kalgoorlie area.
About Lynas
Lynas Corporation Ltd (ASX: LYC) is a proven and profitable producer of specialty rare earth materials. Rare earth is an integral part of global production supply chains, including technologies of the digital age and green technologies such as electric vehicles and offshore wind turbines.
Lynas was designed as an environmentally responsible producer and operates one of the world's highest quality rare earth mines in Mt Weld, Western Australia, and the world's largest and most modern rare earth processing facility in Gibg, Malaysia. Since production started in 2012, Lynas has grown to become the second largest rare earth producer in the world, and its materials are critical to supply chains in production. Lynas materials are sold with a certificate of origin, and Lynas' NdPr is traceable from mine to magnet production.
If you have any questions about this announcement, please contact:
Jennifer Parker or Lauren Stutchbury, our communications consultant at Cannings Strategic Communications at +61 2 8284 9990.
Andrew Arnold company secretary
Lynas Malaysia responds to false statements in the media
February 6, 2020 - Lynas Corporation Limited (ASX: LYC, OTC: LYSDY) encloses a media release from Lynas Malaysia Sdn Bhd dated February 6, 2020 for the information of shareholders.
If you have any questions about this announcement, please contact:
Jennifer Parker or Lauren Stutchbury, our communications consultant at Cannings Strategic Communications at +61 2 8284 9990.
