Australia in advanced talks on developing rare earths projects
Melbourne
AUSTRALIA is advancing separate talks with the US, Japan and South Korea over the development of local rare earths mining projects in an effort to bolster production outside China, which dominates the output of the materials.
Rare earths, a group of 17 elements needed in components for missile systems to consumer electronics, had been flagged as a potential weapon in the US-China trade tensions, focusing attention on work to develop new sources of supply.
"There is a good case for worldwide cooperation here to diversify the supply of these minerals," Australia's Resources Minister Matt Canavan said on Sunday in an interview with Sky News television.
"The concentration of all these markets could cause a risk to the security and affordability of the supply of these critical minerals."
Australian officials held new talks last week with US counterparts and are considering how best to help projects win access to financing and to secure long-term supply deals, he said. Similar discussions were held last month in Japan and South Korea, Mr Canavan said.
President Donald Trump in July ordered the US defence department to spur production of a range of rare-earth magnets used in military hardware amid concerns that China could restrict exports of the products. US Geological Survey scientists have also visited projects in Australia in the past year, including Northern Minerals Ltd's Browns Range development.
Lynas Corp, the largest supplier of rare earths outside China, has held discussions with US defence department and the Defense Logistics Agency, the producer said in August. The company, with a mine in Australia and processing plant in Malaysia, is considering plans to add a facility in Texas. BLOOMBERG
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Energy & Commodities
Oil jumps, equities fall as Iran blasts fan Middle East tensions
Gold set for fifth weekly gain as geopolitical risks buoy demand
Oil holds near 3-week low as US sanctions interrupt easing tensions
Seatrium unit ordered to pay US$108 million in arbitration over equipment supply contracts
BP reshapes its leadership team as some executives leave
BHP to decide on future of nickel business by August, trims met coal estimates