No more extensions for Lynas, says minister

No more extensions for Lynas, says minister

Chang Lih Kang says six-month extension for the rare earths producer to meet the requirements attached to its operating licence is final.

Science, technology and innovation minister Chang Lih Kang says it is legally ‘not doable’ for Lynas to get another extension to meet requirements attached to its operating licence.
CYBERJAYA:
The six-month extension for rare earths producer Lynas to continue cracking and leaching activities is final, says science, technology and innovation minister Chang Lih Kang.

Chang said there will be no further extensions for Lynas, adding that he cannot change his decision to reject Lynas’ appeal to remove the four licensing conditions set by the Atomic Energy Licensing Board (AELB).

“It is not doable by law,” he told reporters when asked if Lynas could get another extension.

The ministry convened a closed-door tribunal on April 28 to discuss Lynas’ appeal to remove four conditions introduced in March 2020, which had prohibited the import and processing of rare earth elements.

As per the Atomic Energy Licensing Act, Chang has the authority to decide on Lynas’ appeal. The ministry yesterday announced that Lynas’ appeal to remove the four licensing conditions had been rejected.

Chang today explained that Lynas was granted a six-month extension to continue carrying out cracking and leaching activities at its factory in Gebeng, Pahang, to avoid affecting the global rare earths supply chain.

The extension was also meant to give Lynas time to complete the company’s cracking and leaching plant in Australia, which he said “is almost ready”.

Chang said the extension accounts for the possibility that the plant is not completed before July.

On Feb 14, Lynas’ operating licence in Malaysia was renewed for three years with no changes in the licensing conditions.

Lynas then submitted an application to remove the four conditions. It was turned down by AELB, leading to the April 28 appeal.

The main condition is that Lynas must relocate the cracking and leaching of lanthanide concentrate to a site outside Malaysia and only refine intermediate materials at its Gebeng facility by July 1.

The six-month extension pushes this deadline to Dec 31.

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