Lynas Rare Earths Ltd and the Kelantan government’s investment arm, Menteri Besar Incorporated (MB Inc), have signed a memorandum of understanding (MoU) for the supply of mixed rare earth carbonate (MREC).
Lynas said the MoU is non-binding and remains subject to the negotiation and finalisation of definitive agreements.
It said the MoU outlines a framework for both parties to strengthen, promote and develop cooperation to advance the Malaysian rare earths industry in Kelantan, Bernama reported.
“It also provides a basis for MB Inc and Lynas to negotiate a definitive agreement for the supply of MREC feedstock to the Lynas Malaysia advanced materials plant in Kuantan once the project commences production,” Lynas was reported as saying.
Lynas Rare Earths CEO and managing director Amanda Lacaze said Malaysia is already recognised as a rare earths centre of excellence through Lynas’s operations, and the MoU marks a significant step towards developing locally sourced and separated rare earth products.
“This is a significant step for Lynas and the Malaysian rare earths industry, bringing together over a decade of rare earths industry expertise from Lynas Malaysia and Kelantan‘s rare earth resources,” she said.
Lacaze said Malaysia’s ionic clay deposits have strong potential as future feedstock for Lynas Malaysia, particularly due to the high concentration of heavy rare earths, which are in demand for advanced technologies, such as electric vehicles and electronics.
“We look forward to working closely with MB Inc to ensure the MREC produced meets the high environmental and technical standards required by Lynas and our customers across Malaysian and global manufacturing supply chains,” she said.
