Thursday, October 25, 2012

LYNAS ~ Looks like the genie has fled the LAMP!


Rare Earth Future
16 Oct 2012

Back in January this year, investors were becoming dispirited with progress on LAMP completion. I wrote an article for this site called “Where Lynas is at.” My final summation was:

“Clearly, Lynas will no longer be the same company after POL approval. It should be one heavily in demand. At a time when investors are looking for a safe place to invest, yet one with outstanding returns, many will want to be a part of it.”

The article was premature and I strongly regret writing it. 10 months later, the LAMP has been completed less than 2 months, the Pre-Operating Licence has been approved, issued and then suspended. It remains suspended.

Nick Curtis, Lynas executive chairman 
Along the way, I have seen countless strong supporters of the company lose most of their assets as the continued delays and uncertainties have allowed the big players to control the market and manipulate the share price as low as 56 cents.

The uncertainties have been greatly assisted by the poor flow of, at times misleading, information from the company. I will detail what the company has done, how it has poorly informed the market over a considerable period. It has been the light on the hill on a dark night, enticing us to stagger to the top only to see that light extinguished and another one to appear on the next hill. And so on.

The LAMP was originally scheduled to be in production by 30/06/11. Not only is it still not producing, there is not one iota of confidence that it will ever produce.


Photo: Juana Jaafar
Malaysians mobilize to fight Lynas plant