Lynas Rare Earths Plant Gets Backing of Malaysian Parliament: Plant Facility is Safe

The Parliamentary Select Committee (PSC) created to look into the safety of the highly disputed $200-million rare earths processing plant of Lynas Corp. in Malaysia has concluded that the facility is safe and has strongly urged for the immediate release of the temporary operating license (TOL) to finally start the plant's delayed operations.

"The committee found that up to now all the safety, health and environmental aspects in connection with the project... have been met," the seven-member body said in a 74-page report.

It argued it is satisfied with the way Australian rare earths miner Lynas Corp. constructed and handled Lynas Advanced Materials Plant (LAMP) project, saying it complied with the standards and laws in Malaysia, which are equivalent to international practices.

"In fact there are law provisions and standards imposed on the LAMP project which are more stringent than that of the international standards," the report said.

Although it found levels of radiation, these were "low and safe."

"It would need to be monitored, along with air and water quality and public health," the committee's report said.

Along this line, the PSC moved for the issuance of the TOL to Lynas Corp.

"The committee recommends that Class A TOL should be given so that Lynas can process the lanthanide concentrate and can be continuously monitored by enforcement agencies," it read.

The committee however warned the rare earths miner it must adhere to all conditions stipulated to the release of the TOL.

"Data attained at this stage would be the basis for consideration of the next stage of licensing processes," it said, particularly noting the permanent license expected two years from now.

The report, produced after two months of work, came up with 31 recommendations culled from public hearing sessions, a working visit to the plant and views from mining experts.