Lynas to establishes rare earth separation plant in the United States
Lynas announced the establishment of a rare earth separation plant in the United States, but the company stressed that it will not leave Malaysia, and is confident that Lynas can meet the conditions set by Prime Minister Tun Mahathir, that is, purified raw materials into Malaysia and continue to stay in Malaysia.
Lynas and the Blue Line Company of Texas, USA, issued a joint statement announcing the signing of a memorandum of understanding to set up a factory in Texas next year. The major shareholder of the joint venture is Lynas.Due to the conditions set by the Malaysian government, Lynas will be able to renew its operating license by transporting the accumulated radiation-containing waste from Malaysia in the past few years. Lynas’ signing with the United States is seen as a preparation for paving the way to move the factory to the United States in the face of regulatory issues in Malaysia, but has been denied by Lynas.
Lynas Chief Executive Amanda said in a telephone interview with Reuters that the US joint venture plan is a special market opportunity and will assist Lynas in Malaysia. She stressed that Lynas is "absolutely loyal to" Malaysia. In order to stay in Malaysia, Lynas will also meet the conditions set by Mahathir in April. Mahathir said at the time that the Lynas Rare Earth Plant could continue to operate in Malaysia as long as it agreed to purify the rare earth raw materials and transport them to Malaysia in the future.Lynas also said that based on the situation in Malaysia, the company is considering the processing of raw ore in mines in Australia.
Amanda said that the rare earth separation plant to be established in the United States will be able to eliminate the supply line gap for US manufacturers facing "dangerous" levels.“Every country in the world is interested in setting up a rare earth processing plant, reflecting the importance of this issue.”“Electric vehicle manufacturers are looking for supply guarantees for heavy rare earths and light rare earths, which offers opportunities.”