AUSTRALIA HOPES GOVT REVOKES LYNAS CONDITIONS
Malaysia will make a decision in 3 months, says Dr M
AUSTRALIA has expressed hope that Malaysia will revoke the conditions imposed on Lynas Malaysia Sdn Bhd’s (Lynas) rare earth processing plant in Gebeng Industrial Estate, Kuantan.
Prime Minister Tun Dr Mahathir Mohamad said this was conveyed by Australian Prime Minister Scott Morrison in their meeting at the 35th Asean Summit here yesterday.
“Lynas is an Australian company and has made a large investment in Malaysia.
“They are hoping that we can revoke the conditions imposed on the company. We will do so within three months after we have made a decision.
“We cannot ask them to leave Malaysia but (on the radioactive residue), we will place them in several locations... maybe in Pahang or other places to reduce the (radioactive) intensity.
“In the future, we will ask the company to process the raw materials first so that the waste produced would not be as it is now,” he said here yesterday.
The Malaysian Atomic Energy Licensing Board (AELB) had, in August, renewed Lynas’ operating licence for six months, but imposed three conditions.
AELB said the conditions were decided upon after the Australian federal government and the Western Australian state government informed Malaysia that they would not accept Lynas’ radioactive water leach purification residue.
Among the conditions were Lynas having to relocate its cracking and leaching process, currently conducted in its plant in Gebeng, out of Malaysia.
The company, said AELB, would have to institute a plan to build a cracking and leaching facility abroad, which would begin operations within four years from the date the licence was issued.
Once the facility abroad is in place, the licence holder will no longer be permitted to produce radioactive residue in excess of one Becquerel per gramme in its Gebeng plant.
Dr Mahathir said the government was constantly aware of the impact on foreign investors like Lynas, to avoid affecting efforts to draw foreign direct investment into the country.
“As such, we have to consider the impact on foreign direct investments into Malaysia.
“We do not want them to think that we have broken our promise. The result would be an end to foreign investments in the country,” he said.