Lynas background information


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Setting the record straight on radiation levels, approvals and materials.

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Lynas background information

  1. 1. Background InformationContextThe people at Lynas share a strong set of manner, as well as always respecting andcontributing to the communities in which we live and work.Lynas believes recent public statements made about the Lynas Rare Earths ConcentrationPlant at Mount Weld, Western Australia and the Lynas Advanced Material Plant in Malaysiaare factually incorrect, statements which are taken out of context, and statements which aremisleading to the public.Approvals and RegulationsThe approvals for the transport of Mount Weld Rare Earths concentrate were granted by theEPA in June 2009. The company is confident that our processes and procedures will meet allrequired regulations and are completely safe.The Mount Weld Rare Earths concentrate is:  Not classified as Dangerous Goods by the criteria of the Australian Dangerous Goods Code (ADG Code) for transport by road or rail.  Not classified as a Dangerous Goods for transport by sea (International Maritime Dangerous Goods Code 2006).The Mount Weld Rare Earths concentrate is not considered a radioactive material, the levelsof the naturally occurring thorium are so low in the concentrate that the material is:  Not regulated for transport as classified by the criteria of the Australian Code of Practice for the Safe Transport of Radioactive Material 2001.  Not regulated for transport as classified by the International Atomic Energy Agency (IAEA), Safe Transport of Radioactive Material regulations.Lynas received approvals to process the Rare Earths concentrate in Australia, China and inboth Terengganu and Pahang, Malaysia:  Lynas initially obtained all approvals for this project in Australia. However, there was no suitable, available location with the required infrastructure: access to high-grade industrial chemicals, gas, electricity and a plentiful supply of water for the plant.  Lynas had also obtained approvals for this plant in China. However, the Chinese government imposed export limits on all final products as well as imposing export 1 of 2
  2. 2. taxes. Lynas was unwilling to invest in China and then have the export of final products controlled by the Chinese government.  Ultimately Lynas identified Malaysia as the preferred location for this plant. Lynas completed an Environmental Impact assessment and Qualitative Risk Assessment for the Gebeng Industrial Area location before obtained all approvals required by the authorities for this location.All materials are not the sameLynas Rare Earths concentrate has been compared to Magellan Metals lead carbonateconcentrate.They are like chalk and cheese, there can be no comparison between the two. Magellan’s leadcarbonate concentrate is a toxic material is classified as a dangerous good. The Lynas RareEarths concentrate is not classified as a dangerous good. The ore and concentrate are notsubjected to chemical or thermal processing of any kind in Australia, the naturally occurringRare Earths ore is physically concentrated at Mount Weld.Lynas Rare Earths concentrate has been compared to the raw material processed at the AsianRare Earth Plant in Bukit Merah. The Asian Rare Earth plant used tin mining tailings as itsraw material. This contained high levels of thorium, which was the source of high levels ofradiation, and ultimately this plant’s closure.Under current regulations, the raw material processed at Bukit Merah could not be processedin Australia, Malaysia, nor China today. By contrast, the Lynas raw material contains naturallylow levels of thorium. Fifty (50) times lower than the tin tailings used by Asian Rare Earth.This is due to the unique geology of Mount Weld and associated mineral deposits. · By allinternational standards, the Lynas raw material is classified as safe, non-toxic and non-hazardous.RadiationThe levels of radioactivity are so low that the concentrate is not classified as radioactive bythe International Atomic Energy Agency (IAEA). It is classed as non-hazardous according tocriteria of ASCC (Australian Safety and Compensation Council).In Western Australian terms a person who spent several hours having a picnic near graniteoutcrops in the hills will receive a higher dose of radioactivity than from our Rare Earthsconcentrate.ORThere is more radiation in an equivalent amount of coffee than can be received from briefexposure to our Rare Earths concentrate. 2 of 2