Lynas Rare Earths Progresses with Kalgoorlie Facility Ramp-Up Amid Production Decrease

Tajha Pritchard
Lynas' Mount Weld rare earths mine. Image: Lynas Rare Earths.

Despite a decrease in rare earth production, Lynas Rare Earths remains on track with the ramp-up of the Kalgoorlie facility in Western Australia.

In the June 2024 quarter, Lynas produced 2,188 tonnes of total rare earth oxide (REO) and 1,504 tonnes of neodymium and praseodymium (NdPr). Lynas Managing Director and CEO Amanda Lacaze attributed the production decrease compared to the previous quarter to "essential maintenance" activities at Lynas Malaysia.

"During the June quarter, the ramp-up of the Kalgoorlie facility continued, and the first shipment of mixed rare earth carbonate (MREC) was dispatched to Malaysia," Lacaze said. "While production volumes remain low as processes are stabilised, the ramp-up is proceeding according to plan."

Mining operations resumed at Mount Weld during the quarter. Under a five-year mining services contract awarded in March, Carey Group Holdings subsidiary Carey Mining began removing waste material above the orebody. Carey Mining also brought a new fleet of equipment, including a PC1250 excavator and 785 haul trucks from Komatsu, to the site.

"Mount Weld delivered efficient production of concentrate during the quarter," Lacaze said. "Trucking of concentrate to the Kalgoorlie facility commenced using Lynas' new 'rotainer' container system, which uses half-size containers and mechanical lifting to minimize manual handling requirements at Mount Weld and Kalgoorlie."

Construction activities for the Mount Weld expansion project continued, with Stage 1 (concentrate dewatering) complete and commissioning expected to be finished by the end of September. "The new concentrate dewatering circuit has been integrated into the existing plant. Once commissioned, it will debottleneck the current operation while the remainder of the new plant is constructed," Lacaze said.

"Construction of Stage 2 is ramping up, and the tailings storage facility is now under construction. The balance of Stage 2 (plant construction) is expected to be completed by the end of FY25. Commissioning activities for Stage 2 will progress concurrently with construction as individual circuits are completed."

Lynas ended the quarter with $136.6 million in sales revenue and $117.5 million in sales receipts, reflecting the lower average NdPr price of $US46/kg ($69).