ASX 200 | A B C D E F G H I J L M N O P Q R S T U V W X
TO MAKE THE WORLD SMARTER, HAPPIER, AND RICHER.
Founded in 1993 by brothers Tom and David Gardner, The Motley Fool helps millions of people attain financial freedom through our website, podcasts, books, newspaper column, radio show, and premium investing services.
Global demand for NdFeB magnets is expected to grow from 130,000 tonnes in 2020 to 265,000 tonnes by 2030.
You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More
The Lynas Rare Earths Ltd (ASX: LYC) share price is marching higher in morning trade.
Lynas shares closed yesterday trading for $8.88 and are currently trading for $9.43, up 6.19%.
This comes as the S&P/ASX 200 Index (ASX: XJO) rare earths producer announced a half-billion-dollar expansion plan for its flagship project.
The Lynas share price is shrugging off the broader market selling pressure today after the miner announced a $500 million project to expand capacity at its Western Australia Mt Weld mine and concentration plant.
Lynas said the expansion is needed to meet fast-growing global demand for rare earth materials and NdFeB (neodymium) magnets.
According to the release, global demand for NdFeB magnets is expected to grow from 130,000 tonnes in 2020 to 265,000 tonnes by 2030. Most of the increase in demand stems from the fast-growing electric vehicle and wind turbine markets.
The miner said that in order to grow with the market, the “ambitious” 2025 growth plan it announced in May 2019 “must be accelerated and increased”.
As part of the accelerated growth plan, today Lynas announced a project that will substantially expand Mt Weld feedstock capacity, targeting 12,000 tonnes per annum NdPr (neodymium praseodymium) equivalent in 2024.
The initial expansion has been fully scoped and Lynas reported the roughly $500 million investment for this stage of the project is fully funded from cash flow. It added that the expansion project is based on known technology. The company says it will create some 300 jobs during the construction phase and more than 100 ongoing operational jobs.
Commenting on the project expansion plans that look to be driving the Lynas share price higher today, CEO Amanda Lacaze said:
This investment is supported by our high grade, long life and reliable source of feedstock, the remarkable Mt Weld ore body. Having a long life resource is an essential foundation for success in the rare earths market and the recent 1 kilometre deep drilling has demonstrated Mt Weld’s potential to supply feedstock for many years into the future.
The Mt Weld capacity expansion project aims to unlock its true value in the most efficient and sustainable way to 2025 and beyond.
Though struggling in 2022, the Lynas share price remains up 22.8% over the past 12 months. That compares to a full-year loss of 7% posted by the ASX 200.
Motley Fool contributor Bernd Struben has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
The iron ore price has slipped from about US$160 per tonne in March to just above US$100 per tonne today.
What did Global Lithium announce to the market?
The Federal Government is talking up the need for electric vehicles in Australia today.
Lithium miners and explorers have benefited from soaring lithium prices.
The clean lithium developer soared 8% this morning before partially retreating. Here are the details.
There’s a major factor that could impact how well FFI can do.
This ASX copper share has risen 182% since last week alone...
The miner's share price has struggled to make ground in recent months.
In this FREE STOCK REPORT, Scott Phillips, and his team at Motley Fool’s Share Advisor have released a special free report, detailing 5 ASX stocks that they think could be fantastic stocks to own as investors prepare for their retirement.
Sign Up for Take Stock Investment news, stock ideas, and more, straight to your inbox.
Get Started Investing You can do it. Learn about investing with our Investing Education hub.
Win at Retirement Our latest articles and strategies for the post-work life you want.
Listen to Our Podcast Hear our experts take on shares, the market & how to invest.
Join Our Premium Community Join our flagship membership service, Share Advisor.
To make the world Smarter, Happier, And Richer
Founded in 1993 by brothers Tom and David Gardner, The Motley Fool helps millions of people attain financial freedom through our website, podcasts, books, newspaper column, radio show and premium investing services. The Motley Fool launched its Australian presence in 2011, and since then has grown to reach over 1 million Australians.
Read more about us >
This Service provides only general, and not personalised financial advice, and has not taken your personal circumstances into account. The Motley Fool Australia operates under AFSL 400691. For more information please see our Financial Services Guide. Please remember that investments can go up and down. Past performance is not necessarily indicative of future returns. The Motley Fool Australia does not guarantee the performance of, or returns on any investment.
© 2010 - 2021 The Motley Fool Australia Pty Ltd. All rights reserved.
Australian Financial Services Licence (AFSL): 400691
The Motley Fool Australia, PO Box 104, Isle of Capri, Qld 4217
Contact Details: Phone: (03) 8592 4841 Email: [email protected] Our friendly customer service team will happily get back to you as soon as they can.