(Reuters) -Australia’s Lynas Rare Earths said on Tuesday it estimates a potential shortfall equivalent to one month’s production during the current quarter at its Kalgoorlie facility in Western Australia following significant power supply disruptions.
The Kalgoorlie Rare Earths Processing Facility has faced a significant rise in power supply disruptions in 2025, with November seeing a sharp increase, resulting in significant production losses of Mixed Rare Earth Carbonate (MREC), Lynas said.
The world’s largest rare-earth producer outside China also expects the disruptions at Kalgoorlie to affect production of finished goods at its Malaysian facility during the current quarter.
The MREC material produced in Kalgoorlie is processed at the Lynas Malaysia advanced materials plant in Gebeng, Malaysia.
While inconsistent power supply at Kalgoorlie has made it challenging to quantify the production loss, the company estimates a potential reduction equivalent to one month’s output in the current quarter.
Additionally, Lynas is urgently exploring off-grid power solutions while also working alongside the Western Australian Government and the state-owned electricity provider Western Power.
Lynas expects to recover lost production within the financial year if it can execute any short-term off-grid power generation solution, it added.
(Reporting by Sherin Sunny in Bengaluru; Editing by Alan Barona)
Comments