Relocate from Malaysia?, page-34

A good article in the AFR today. Here are some excerpts.

Lynas can be profitable without Malaysia: analyst

Investors over-reacted when they wiped 25 per cent off the value of Lynas Corporation this week, according to analysts who say the company can be profitable without its Malaysian rare earths refinery.
Short-sellers have flocked toward Lynas in the belief it will face headwinds from the recently elected Malaysian government of Dr Mahathir Mohamad, but CLSA analyst Dylan Kelly is standing by his "high-conviction buy" recommendation.

Mr Kelly said he was "bewildered" by this week's sell down, saying Lynas shares were now trading below his valuation of the company under a scenario where it ceased refining in Malaysia and instead just sold rare earths concentrate from Western Australia to third party refiners.

Mr Kelly said there was no shortage of third party refiners that Lynas could sell concentrate from its Mt Weld mine to if it were unable to operate in Malaysia.