Corporate Office
Telephone:
+61 2 8259 7100
Level 7
Facsimile:
+61 2 8259 7199
56 Pitt Street
Website:
Sydney NSW 2000
ACN:
009 066 648
AUSTRALIA
Page 1 of 1
FOR IMMEDIATE RELEASE
Chinese Rare Earths export quota
down more than 20% in 2008
The Ministry of Commerce of the People’s Republic of China has released 11,376
tonnes of approved Rare Earths export quota for the second half of 2008. The
resulting total Rare Earths export quota for 2008 is 20% lower than the export quota
approved in 2007.
Export quota on Rare Earths products was introduced by the Chinese government in
2003 to limit the export of China’s strategic resource. The export quotas are
released in two tranches – at the start of the year and at mid year. The tonnage of
quota has been decreasing by approximately 10% each year. In 2006, the tonnage
dropped to 48,000 tonnes, and by 2007 the export tonnage declined to 43,574
tonnes.
The Rare Earths export quota granted by the Chinese government for the second
half of 2008 is 11,376 tonnes, which is half the quota tonnage that had been granted
for the first six months of this year, 22,780 tonnes. The total export quota for 2008 is
therefore 34,156
tonnes in total which is an unforseen decrease of 21.6% or 9,419
tonnes from the total export tonnage of 2007.
Such regulatory constraints are adding to the current supply concerns as China
supplies 95% of Rare Earths to the world. This reduction in export quota further
raises questions about the sustainability of supply to products and applications which
rely on Rare Earths, such as the hybrid vehicle and energy efficient light bulbs that
are growing in significance in today’s society.
Executive Chairman, Nicholas Curtis, believes that the reduction of the export quota
will increase the opportunities for non-Chinese projects.
“With the Chinese government imposing these supply constricting regulations, it
provides additional opportunity for Lynas to provide for the supply deficit.
Lynas
owns the richest deposit of Rare Earths outside of China at Mount Weld in Western
Australia and the company is progressing well with mine and plant construction to be
in a position to fill the void by the end of 2009”,
Mr Curtis says.
Corporate Office
Telephone:
+61 2 8259 7100
Level 7
Facsimile:
+61 2 8259 7199
56 Pitt Street
Website:
Sydney NSW 2000
ACN:
009 066 648
AUSTRALIA
Page 2 of 1
About Lynas Corporation
Lynas owns the richest deposit of Rare Earths, also known as Lanthanides, in the
world at Mount Weld, near Laverton in Western Australia. This deposit underpins
Lynas’ strategy to create a reliable, fully integrated source of Rare Earths supply from
the mine through to customers in the global Rare Earths industry.
The first mining campaign is now complete. Lynas has received all environmental
approvals to build a concentration plant at Mount Weld and an Advanced Materials
Plant to process the Mount Weld concentrate through to final Rare Earths oxides in
the Gebeng Industrial Estate, Kuantan, Pahang, Malaysia. The company plans to
become the benchmark for security of supply and a world leader in quality and
environmental responsibility to an international customer base.
‘Rare Earths’ is the term given to fifteen metallic elements known as the lanthanide
series, plus yttrium. They play a key role in green environmental products, from
energy efficient compact fluorescent light bulbs (CFLs) to hybrid cars, automotive
catalytic converters and wind turbine generators. They are also essential in the
development and manufacturing of many modern technological products, from hard
disc drives to flat panel displays, iPods and magnetic resonance imaging (MRI)
scans.
For further information please contact Nicholas Curtis on +61 (0)2 8259 7100 or
NEWS 
