China, page-16

There in lies their more concerned strategy. They wish to do only downstream processing - magnets etc and want reo supply from outside.

After 20+ years of huge expenditure in R&D that has resulted in well earned Chinese superiority in REO'S/MAGNETS - GRAPHITE the cost environmentally has been significant to China. We are all aware of overseas investments they have made to secure future oxides outside of China - Myanmar 9not so large and Greenland Minerals which has fallen over to name but 2 in reo's. Graphite is similar as is coal. They have scuttled so many polluting and unregulated mines and now real demand arrives and supply reduced.

Incredible and amazing what China has already invested/achieved in cleaner/greener future. The above is all part of that investment. Whilst nothing will replace the much needed reo's - for China it is about sourcing them or concentrate for refining from other overseas jurisdictions.

Equally what Lynas have achieved environmentally from mine to processing is also amazing/incredible. They had to compete with illegal and unregulated mines feeding cheap stocks to Chinese refiners for many years. China can endorse more supply from others but it simply is not that possible - that simple.