Ann: Quarterly Activities Report, page-42

AUST today:
RARE EARTH PRICES TO STAY WEAK: LYNAS
Nick Evans
Lynas Rare Earths says it expects low rare earth pricing to continue until a recovery in China’s economy is in full swing, saying the company is seeing the lowest pricing for its rare earth oxides in more than three years.
Lynas’s Malaysian refinery produced 1566 tonnes of total rare earth oxides in the December quarter, down from 3609 tonnes in the previous period, as the company idled its Malaysian plant briefly to upgrade its production capacity.
Sales revenues fell to $112.5m, from $128.1m, as the average price for neodymium and praseodymium fell to an average $US60 a kilogram through the quarter, and down to an average $US56/kg in December.
“The rare earth market price continued to be subdued due to low demand in China, especially in the appliance sector (eg, airconditioning) which is affected by the construction downturn,” the company says in its quarterly production report.
“China’s economic recovery is seen as the main factor which could possibly trigger a change in price trend.”
Lynas shares fell 1.34 per cent to $5.87 on Monday.
The company’s chief executive Amanda Lacaze said in December that Australia needed to take steps to increase the sovereign capability of critical minerals and to ensure that local firms didn’t fall into foreign hands.
Lynas is the only non-Chinese processor of rare earths of size, which Ms Lacaze said was the result of historic mistakes made by the West in believing that a developed China would follow a rules-based culture.