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Lynas to Advance U.S. Rare Earths Plan on Pentagon Funding Deal

  • Contract to cover final planning for Texas processing plant
  • Trump administration aims to curb reliance on China imports
Pentagon Losing Control of Bombs to China's Monopoly

Photographer: Nelson Ching/Bloomberg

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Lynas Corp., the key source of rare earths outside China, will aim to complete planning work on a rare earths processing plant in Texas by mid-2021 after it won funding from the U.S. Department of Defense. The producer’s shares surged to a six-month high.

The contract will allow Lynas and partner Blue Line Corp. to carry out studies and finalize designs for the planned heavy rare earths separation facility, the Kuantan, Malaysia-based company said Monday in a statement. Lynas shares advanced as much as 12% in Sydney trading.