Join our daily newsletter At The Bell to receive exclusive market insights
- Australian rare-earths mining company Lynas Corporation (LYC) has had to extend its production halt at its industrial hub in Malaysia
- Lynas ships its rare earth deposits from its WA mine to a Malaysian refinery, where it can create a commercial-grade resource for customers
- The news comes after a lockdown extension was implemented by the Malaysian Government
- The Government’s Movement Control Order has been extended until April 14
- However, the original halt was expected to be lifted today
- Lynas said it was already planning for a possibility of a longer shutdown when the initial lockdown was announced
- The company’s Mt Weld facility in Western Australia will continue to operate during this period
- Lynas is up 13 per cent on the market this morning, selling shares for $1.48 apiece
Australian rare-earths mining company Lynas Corporation (LYC) has had to extend its production halt at its industrial hub in Malaysia.
Lynas ships its rare earth deposits from its WA mine to a Malaysian refinery, where it can create a commercial-grade resource for customers.
The news comes after a lockdown extension was implemented by the Malaysian Government.
The Government’s Movement Control Order has been extended until April 14. The original halt was expected to be lifted today.
Lynas said it was already planning for a possibility of a longer shutdown when the initial lockdown was announced.
At all times during this period, the Malaysian plant is in care and maintenance. After the plant resumes production, the company’s main priority will be the safety of staff and the local community.
It will continue to follow the guidelines from the Malaysian Government.
“Lynas is continuously assessing the effects of the shutdown on the essential supply chains to which we contribute,” the company told the market.
“This includes the use of Lynas Malaysia’s products in permanent magnets used in medical devices, including ventilators, and in lanthanum products used in oil refineries for petroleum production,” it added.
The company’s Mt Weld facility in Western Australia is continuing to operate during this period, with essential staff only, and is following government guidelines.
Lynas is up 13 per cent on the market this morning, selling shares for $1.48 apiece at 12:30 pm AEDT.
