Malaysia extends Lynas' rare earths operating license until 2036

Sydney, March 2 (Argus) — Malaysia’s Atomic Energy Department has extended Lynas Rare Earths’ operating license by 10 years until 2036, supporting its continued production of light and heavy rare earth oxides.

The company’s CEO Amanda Lacaze said the license extension provides greater investment certainty for Lynas and its rare earth supply chain partners.

Lynas’s plant in Malaysia uses rare earth carbonate from Western Australia to produce rare earth oxides. From July to December 2025, the company’s sales of rare earth oxides increased by 19% year-on-year to 6,375 tons. During this period, Lynas sold 3,637 tons of praseodymium-neodymium, up 459 tons from 3,178 tons in the same period last year.

However, data from the company’s report released on February 26 shows that total sales of rare earth oxides only increased by 342 tons, indicating a decline in sales of other products. From July to December 2025, Lynas’s praseodymium-neodymium accounted for a larger share of total sales.

Lynas expanded its Malaysian rare earth plant in 2025, building a 1,500-ton-per-year heavy rare earth separation facility. The company began producing dysprosium oxide and terbium oxide at the Malaysian plant in May and June 2025, respectively.

Lynas plans to further expand its refining capacity in Malaysia. Over the next two years, the company will build a phased heavy rare earth separation plant with an annual capacity of 5,000 tons at this site.

In October 2025, the company stated that its goal is to start producing samarium oxide from April 2026, and by 2028, it will expand its Malaysian product line to include gadolinium, yttrium, and lutetium.

Lynas also has other expansion plans in Malaysia. It agreed in May 2025 to collaborate with the investment agency Menteri Besar of Kelantan to develop Malaysia’s rare earth industry.