ZCZC
BCN-10
MALAYSIA-AUSTRALIA-ECONOMY-MINING
Malaysia renews licence of Australian rare earths plant
KUALA LUMPUR, Aug 16, 2019 (BSS/AFP) – Malaysia on Thursday renewed the
operating licence of a controversial Australian-run rare earths plant for six
months despite concerns from green groups about the impact of radioactive
waste it produces.
Lynas hopes its plant, which has processed rare earths from Australia
since 2012, can reduce Chinese dominance in the market for the materials.
Rare earth minerals are used in everything from missiles to mobile phones,
and Lynas is the only major producer of them outside China.
But environmentalists and the political opposition were against the plant
due to health fears related to the waste.
The opposition launched a review into the plant following a shock election
win last year, but the atomic energy licensing board announced the Kuantan
factory’s licence had been extended for six months with several conditions.
The factory, on peninsular Malaysia’s east coast, had been due to lose its
licence on September 2.
Lynas must transfer part of the production process which generates low-
level radioactive waste to another country, and the new facility has to start
operations within four years, the board said in a statement.
It must also identify a site to build a permanent disposal facility for
waste, and get written approval from local authorities, it said.
The licence renewal had appeared assured after Prime Minister Mahathir
Mohamad last week said Lynas could not be forced out of Malaysia as it would
send a negative message to foreign investors.
“We invite them (to invest) and then we kick them out. Others will say the
country made a promise but, when there is a problem, we kick them out… we
cannot do that,” he was cited as saying by official news agency Bernama.
He also said that 600 workers would lose their jobs if the plant closed.
BSS/AFP/HR/0945