Lynas Announce Innovative Shared Value Initiative

August 26, 2012 (Source: Lynas) -- Lynas Corporation today announced plans to invest in a range of programmes aimed at building an innovative approach to creating shared value in host communities.

“Our vision is firmly anchored in the creation of shared value through co-operative economic development,” said Lynas Executive Chairman Nicholas Curtis.

“This initiative has been established to identify further projects that increase productivity and capability within the community.  It has the potential to unleash a new wave of socio-economic growth.”

The economic benefits derived from the Lynas Advanced Materials Plant (LAMP) have already had a significant impact in economic development in the region through the creation of employment opportunities, technology transfer and development of new capacity in service and supply activities by local industries valued at over MYR450 million per annum.

The attraction of new investment in high technology sector and spin-off for a cluster of local industries will add to this under the Shared Value Initiative.

“Our understanding of the potential of shared value is just beginning.  It goes beyond the direct economic impact of our current investments.  

By reconceiving our plant outputs into valuable, new co-products and markets; by redefining productivity in the value chain; and by facilitating local cluster development and the involvement of local entrepreneurs to venture into high tech industry using rare earth products, we can help find profitable solutions that support host community aspirations.”

“We’re looking at our decisions and opportunities through the lens of shared value.  We believe this will lead to new approaches that generate greater innovation and growth for our company – and also greater benefit for the communities in which we operate.”

Today’s announcement follows an earlier commitment to fund additional research and development by investing from revenues generated by the LAMP. 

These research and development activities will be aimed at supporting Malaysia’s economic goals and will see the sponsorship of research activity within Malaysia.

Mr Curtis said, “The promotion of research and development activities in local higher education institutions underscores the importance we place in this area.

“Alliances between business and the education sector can lead to sustainable programs that deliver enormous benefits to the community.

“Lynas views education as crucial to opening up choices in life – it enables young entrepreneurs to seize opportunities, helping them to fulfill their potential.

“As Lynas’ business expands, it is entirely appropriate that our social investment portfolio increases in conjunction.  Lynas firmly believes that our long term success depends on being able to strike equal importance for co-operative economic development, care for the environment and communities, and for social development.”

Pahang Continues To Attract Investor

BENTONG: Pahang continues to attract foreign investors despite the hype by the opposition political parties about the Lynas rare earth processing plant in Gebeng, said Menteri Besar Datuk Seri Adnan Yaakob.

The latest development was the potential investment of about RM1 billion by investors from China to put up a factory and the expansion of Kuantan port in the commercial interest, he said.  

Pahang continued to receive investment of RM2 billion annually, which has opened up many employment opportunities for the people of the state, he told reporters after an Aidilfitri reception he organised at the Bentong Municipal Council hall, here, yesterday.   

"If the setting up of the Lynas factory is hazardous, why are many foreign investors flocking to invest in Kuantan? Even a private Chinese school is to be built in Kuantan soon. 

"This only goes to show that the construction of the Lynas factory is not hazardous and has been politicised by the opposition for the general election," he said. 

Adnan said he had not received any report of people having sold their land or house in Gebeng for fear of the Lynas factory operation. 

Instead, people were coming to see him to seek recommendation for job and contract opportunities at the Lynas and other factories, he said. 

Lynas chose to operate in Malaysia because of its cheaper production costs compared to Australia while China had tightened export of the product. Lynas too had obtained licences to build the factory in the two countries. -- BERNAMA

China Rises Rare Earth Export Quota

August 22, 2012 (Source: The Australian) -- China has increased its 2012 export quota for rare earths for the first time since 2005, issuing an additional batch today to bring the year's total to 30,996 tonnes.

The country's rare-earth export policies are closely watched as it controls 95 per cent of the world's production of the metals, which are crucial in a wide range of hi-tech applications including defence systems, wind turbines and smartphones.

However, the quota increase is largely symbolic as actual exports have fallen sharply - exporters have used up only around half of last year's quota. Customs data yesterday showed exports in the first seven months of this year are down 36.7 per cent.

The Ministry of Commerce said in a statement that it would set the second batch at 9770t, resulting in a full-year quota that's 2.7 per cent higher than last year's 30,184t. The ministry typically issues the quota twice a year.

The second batch includes 8537t of light rare earths and 1233t of medium-to-heavy metals.

North Square Blue Oak analyst Frank Tang said: "International pressure on China (to loosen export controls) has been quite high and the case has reached the World Trade Organisation.

"The government already said last year that it would keep its quota largely unchanged in 2012, and it's now signalling to the wider world not to worry."

Beijing might be re-evaluating the quota's usefulness, and has roped in industry experts for discussions on removing the cap, Mr Tang said.

The WTO said in July that it set a panel to probe China's rare-earth export policies following requests by the US, the European Union and Japan.

Beijing has defended its policy as a means to control a polluting industry, although its export restrictions have boosted prices in recent years.

Still, prices have fallen since last year due to weaker global demand. Prices of bellwether products such as neodymium oxide have more than halved since last year to around $US105t on Monday, according to Australia's Lynas Corp.

Since China began to drastically cut quotas from 2009 to restrict exports, global suppliers have made headway in meeting the shortfall and helped reduce dependence on Chinese supply.

US-based Molycorp has begun production at its California mine, and Lynas is due to start production at its Mount Weld facility this year. The two projects together could potentially account for about a third of global demand.

DAUN REBORN: SMSL Seeks To Transfer Court Case

KUALA LUMPUR: Anti-Lynas group ‘Save Malaysia, Stop Lynas’ (SMSL) is applying to transfer the defamation suit filed by Lynas Corporation Limited and Lynas Malaysia Sdn Bhd, to the Kuantan High Court.

SMSL’s counsel Datuk Bastian Pius Vendargon told reporters here yesterday that they had filed the needed application to transfer the case early this month.

“The court has set Sept 26 to hear the application,” he said after meeting justice Datuk John Louis O’Hara in chambers when the case came up for case management today. — Bernama