Lynas Rare Earths (ASX:LYC) has entered a memorandum of understanding (MoU) with JS Link, a Korean permanent magnet manufacturer, to explore a potential manufacturing and supply partnership. The agreement focuses on developing a sustainable rare earth permanent magnet value chain in Malaysia. Lynas Rare Earths is an Australian company specialising in the mining and processing of rare earth minerals. They are known as one of the major producers of rare earth materials outside of China.
The MoU outlines plans for a 3000-tonne capacity NdFeB (neodymium iron boron) permanent sintered magnet manufacturing facility. This facility would be located near the Lynas Malaysia advanced materials plant in Kuantan, Malaysia. Lynas would support the facility through the supply of both light and heavy rare earth materials.
Amanda Lacaze, Lynas chief executive, noted the increasing global demand for permanent magnets and the opportunity this presents. “Manufacturers around the world are actively seeking new suppliers to meet their growing needs for permanent magnets,” she stated. She also highlighted Lynas’ existing role as a supplier of rare earth materials to permanent magnet makers.
JS Link, headquartered in Seoul and listed on the Korea Exchange, is currently constructing a permanent magnet factory in Korea, with initial production anticipated later this year. This partnership aims to leverage JS Link’s technology and expertise in permanent magnet manufacturing to foster the growth of a new industry in Malaysia.
