Lynas to implement recommendations of govt review committee

Lynas will voluntarily implement recommendations made by the government review committee in its Malaysian operation.

KUANTAN: Lynas Corp Ltd (Lynas) said today it will voluntarily implement recommendations made by the government review committee in its Malaysian operation in Gebeng.

Lynas Chief Executive Officer Amanda Lacaze

Lynas Chief Executive Officer Amanda Lacaze said in a statement that this includes the recommendation to be prepared to export Water Leached Purification Residue (WLP) from Malaysia if the permanent disposal facility (PDF) location is not identified or approved.

Lynas also noted the recommendation to determine the location and build the PDF for WLP, including identifying sites for its construction, before the renewal of the next licence on Sept 2, 2019.

Lacaze also referred to the recommendations to prepare and build safe storage sites for Neutralisation Underflow Residue (NUF), and prepare an Environmental Impact Assessment (EIA) regarding NUF.

Other recommendations being noted by Lynas are the continuance of studies into the recycling of NUF, groundwater monitoring and studies on the Sungai Balok aquatic ecosystem, and devising more effective communication strategies to provide accurate and up-do-date facts to the public and non-governmental organisations (NGOs).

Commenting further on the PDF issue, Lacaze said that the potential construction of the facility had always been part of Lynas’s planning and was provided for in its financial statements and by way of the PDF bond in excess of US$34 million (RM141 million) that is held by the Malaysian regulator.

“Lynas’s PDF planning framework and site selection plan have already been approved by the Atomic Energy Licensing Board (AELB), and the state government has given an undertaking to site the PDF in Pahang, should it be required,” she said.

Lacaze said Lynas recognised its duty as a foreign direct investor to provide employment opportunities for local communities and to create economic value for Malaysia.

She added, to date, Lynas Malaysia had created over 1,000 direct jobs and over 4,000 local jobs, with 97% of its staff Malaysian and benefitting from skilled jobs that paid four times the average salary in Pahang.

“Since 2008, Lynas has contributed RM2.6 billion in foreign direct investment, including capital investment in our state-of-the-art plant. In addition, our suppliers have made capital investments of RM300 million.

“We have established a capable supply chain that can be used to develop further downstream local industries. We also contribute to improved education and health outcomes for local community members,” she said.

Lacaze also said that Lynas was pleased the review committee’s report found its operation in Gebeng low-risk and in accordance with applicable laws.

She gave the assurance that Lynas would continue to improve its business based on recommendations received.