By Rhiannon Hoyle
Lynas Rare Earths reported a surge in the production of rare earths, particularly its core neodymium-praseodymium product, in the fourth quarter of its fiscal year. However, the company experienced a decline in revenue due to weak market prices.
In the three months ending in June, Lynas produced 1,864 metric tons of neodymium and praseodymium, which are essential for magnets. This marked an increase from the 1,725 tons produced in the previous quarter. The overall rare earths production also saw growth, reaching 4,475 tons compared to the 4,348 tons produced in the previous quarter.
Unfortunately, the company faced challenges concerning market conditions. Lynas cited softer demand for neodymium-iron-boron (NdFeB) magnets in Japan, as well as China’s oversupply of lanthanum and cerium (La-Ce), which led to a decline in market prices for rare earth materials during this period.
Consequently, the company’s sales revenue for the fourth quarter amounted to 157.5 million Australian dollars (US$104.9 million), reflecting a decrease from the 237.1 million Australian dollars earned in the previous quarter. Additionally, Lynas noted a drop in its average selling price from A$48.30 per kilogram to A$38.90 per kilogram.