PERTH (miningweekly.com) – Rare earths miner Lynas has applied for approval to operate its Lynas Advanced Materials Plant, in Malaysia, as that country extends its lockdown amid the Covid-19 pandemic.

Lynas in March temporarily suspended operations at its Malaysian plant as part of a country-wide initiative to halt the spread of the pandemic. The Malaysian government subsequently extended its movement control order from March 31 until April 14.

Lynas on Thursday announced that the government has now again extended the movement control order until April 28, but has allowed for additional categories of exemption for critical industries.

Lynas has now applied for approval to operate during this time, and is awaiting a government decision.

The ASX-listed company argued that the products produced at its Malaysian operation were essential to the manufacturing supply chains for critical industries in Malaysia, including the automotive, medical devices, oil refining and machinery and equipment sectors.

Lynas told shareholders that the company’s teams in both Malaysia and Australia have been working diligently during the period, with only essential staff on site. The work has included detailed restart planning for the Malaysian plant, which will be implemented as soon as the company is permitted to do so.

Meanwhile, the company on Wednesday also reported improved production volumes during the March quarter, despite production constraints, with neodymium and praseodymium (NdPr) production in the March quarter reaching 1 369 t, compared with the 1 270 t produced in the previous quarter.

Total rare earth oxide production for the quarter increased to 4 465 t, compared with the 3 592 t reported in the second quarter of the 2020 financial year.

Sales revenue for the quarter reached A$91.2-million, up from the A$85.8-million achieved in the second quarter, despite the lower average selling price for NdPr compared with the previous quarter, with the company telling shareholders that it continued to see strong demand from customers in Japan, Europe and the US.

During the March quarter, Lynas’ operating licence in Malaysia was renewed for a period of three years, until March 2023.