FY16 Financial Report, page-4

If this section, especially the last sentence, does not raise a flag then nothing ever will.

As disclosed in the Financial Report, Lynas’ Financial Report has been prepared on the basis of a going concern, subject to certain risks as outlined in Note 2.2 on page 37. These include production levels, foreign currency exchange rates, regulatory environments in both jurisdictions, and price volatility in the rare earths markets. In addition, Lynas has significant future repayments under the JARE facility and the convertible bond facility, as outlined in Note 2.2 and Note 22. The ability of the Company to continue to meet its financial obligations will depend on the factors summarized above and in addition the Company will require either amendments to the terms of its loan facilities or alternative sources of funding. The Company is in negotiations with both lender groups regarding amendments to the terms of its loan facilities. The financial statements have been prepared on a going concern basis, because the directors and management, including as a result of consultations with relevant advisers, have concluded that there are reasonable grounds to believe that to the extent that either amendments or alternative funding will be required, they will be obtained in a timely manner. The Board expects that any significant restructure of the loan facilities is likely to require shareholder approval before being implemented.