KUALA LUMPUR, Malaysia (AP) — Malaysian officials have granted Australian mining company Lynas Rare Earths a decade-long extension to operate its processing facility, while mandating the elimination of radioactive waste production by 2031.
The Lynas processing plant in Malaysia represents the first rare earth refinery established outside of China, producing essential materials for advanced technology manufacturing. Located in Pahang state’s central region, the facility has been operational since 2012 but has faced ongoing controversy regarding radiation concerns from accumulated waste materials.
Science Minister Chang Lih Kang announced Monday that radioactive waste produced over the next five years must undergo treatment and neutralization through thorium extraction or alternative approaches. He emphasized that no additional permanent storage facilities would be permitted.
The renewed operating permit extends through March 3, 2036, with a mandatory review scheduled after five years. Chang noted the license faces potential revocation if Lynas fails to meet established conditions.
Activist organizations have maintained sustained opposition to the Lynas facility, pushing for the company to remove its radioactive materials from the country. These groups argue that radioactive components, including thorium and uranium, become more dangerous following mechanical and chemical processing.
Lynas received a five-year window to upgrade its infrastructure and expand operations under what Chang characterized as an aggressive but definitive schedule. He reported that laboratory testing has demonstrated encouraging outcomes in waste radiation neutralization through thorium extraction, though implementing such technology on an industrial scale typically requires seven to 10 years.
“We have not gone against our promise to prevent the accumulation of radioactive waste in Malaysia. We remain committed to that position, and through this license renewal, we aim to fully achieve this goal by 2031,” Chang said in a statement.
Chang explained the license approval followed comprehensive technical assessment, considering Malaysia’s strategic priorities and commitments from Lynas. Current radioactive waste will be housed in a permanent storage facility currently under development, expected to be completed by year’s end.
Rare earth elements comprise 17 minerals essential for manufacturing electric and hybrid vehicles, defense systems, flat-screen televisions, mobile devices, mercury-vapor lighting and camera lenses. While China holds approximately one-third of global rare earth deposits, it maintains nearly complete control over supply chains. Lynas has indicated its refinery could supply almost one-third of worldwide rare earth demand, excluding China.
Malaysia’s only other rare earth processing facility — run by Japan’s Mitsubishi Group in northern Perak state — shuttered in 1992 after public demonstrations and allegations linking it to birth defects and leukemia among local residents. The site remains one of Asia’s most extensive radioactive contamination cleanup locations.