Lynas Rare Earths Limited Signs Contract Through Its Wholly Owned Subsidiary, Lynas USA LLC to Build US Light Rare Earths Facility
January 21, 2021 at 05:00 pm
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Lynas Rare Earths Limited has entered into an agreement with the United States Government to build a commercial Light Rare Earths separation plant in the United States, through its wholly owned subsidiary, Lynas USA LLC. This collaboration with the Department of Defense is sponsored by the Title III, Defense Production Act program, which sits within the Pentagon's office of Industrial Policy, and will ultimately be directed by the Office of the Undersecretary for Acquisition and Sustainment. This project is scheduled to be completed in accordance with the Department of Defense timetable and as part of company Lynas 2025 plan. Detailed costings are still being finalized; company expect Department of Defense funding to be capped at approximately USD 30 million. Lynas will also be expected to contribute approximately USD 30 million under the agreement. The plant is expected to be located in Texas. Once operational, the plant is expected to produce approximately 5,000 tonnes per annum of Rare Earths products, including approximately 1,250 tonnes per annum of NdPr. The plant will be able to receive material directly from the cracking & leaching plant that Lynas is developing in Kalgoorlie, Western Australia. The signing of this agreement follows the announcement on 27 July 2020, that Lynas had signed a contract with the U.S. Department of Defense for Phase I work on a U.S. based Heavy Rare Earth separation facility. Should that contract proceed to the next phase, the Texas facility would house both Heavy Rare Earths and Light Rare Earths processing facilities. The facilities will serve both the Defense Industrial Base (DIB) and the growing commercial market, including electric vehicles and green technologies made in the U.S. as well as in global markets.
Lynas Rare Earths Limited is an Australia-based company, which is engaged in integrated mining of rare earth minerals in Australia and mineral processing in Australia and Malaysia, and development of rare earth deposits. The Companyâs operations include Mt Weld, Lynas Malaysia, Kalgoorlie and Lynas USA. It focuses on developing the Mt Weld resource, which includes ongoing exploration, production of mixed rare earths concentrates, and an expansion project to increase concentrate feedstock production to support 12,000 tons per annum of finished NdPr oxide. The Lynas Malaysia advanced materials plant is located on a 100-hectare site in the Gebeng Industrial Estate, a purpose-built petrochemical industry zone near Kuantan, on the east coast of Malaysia. Its rare earths processing facility in Kalgoorlie undertakes value-added processing of rare earths. The Company's subsidiaries include Lynas Malaysia Sdn Bhd, Lynas Africa Ltd, Lynas Kalgoorlie Pty Ltd and Lynas USA LLC.
LYNAS RARE EARTHS LIMITED 
