Looks like Holy Week has not been the best of times for Lynas, the rare earths firm.
On Good Friday today, International Trade and Industry Minister Mustapa Mohamed announced that an international panel of “independent experts” would be set up to probe the safety of the firm’s ‘Advanced Material Plant’ in Gebeng, Pahang. Findings should be out within a month. It is important that the panel comprise competent people of unimpeachable integrity.
Meanwhile, the Pahang Bar is setting up a sub-committee made up of 20 lawyers to carry out an independent study on the Gebeng plant, following a resolution passed unanimously at its EGM yesterday, ‘Maundy Thursday’.
Back in Australia, angry Lynas shareholders want to know how Forge Resource Group, a firm linked to Lynas executive chairman Nicholas Curtis, was selected as the best party to be awarded subleases to develop tantalum-niobium and phosphate deposits within Lynas’ Mount Weld mining lease.
According to The Sydney Morning Herald:
ANGRY shareholders will move for a court injunction and launch a counterbid if Lynas does not call off the contentious sale of a rich rare earths and metals deposit to a related party.
Bob Watson, the chairman of the online recruitment site Seek, has joined Mark Suhr, a Melbourne businessman and fellow Lynas shareholder, to fight the proposed $20.7 million sale of the rare earth miner’s Crown polymetallic deposit to Forge Resources.
The executive chairman of Lynas, Nicholas Curtis, is a 15 per cent shareholder of Forge and stands to vest 24 million performance shares if the deal proceeds, boosting his stake in Forge to close to 40 per cent.