Australian mining company Lynas is nearing completion of a rare earth metals refining plant in Malaysia that would be capable of producing about a fifth of the current global demand for the metals. The Chinese currently control the market for rare earths, but Lynas and North American-based companies like Molycorp Inc. (NYSE: MCP) and Rare Earth Resources Inc. (AMEX: REE) are revving up both to produce and refine the minerals.
Lynas’s plant in Malaysia is due to get an operating license this week, but there have been objections to allowing the refinery to begin operations because it will produce about 20,000 metric tons annually of low-level radioactive waste. So far the company has not offered a plan on how to deal with the waste, according to a report in The New York Times.
Worse, though, are collapsing prices for some rare earths. Many industries that have depended on rare earths have been working to find cheaper substitutes. Toyota Motor Co. (NYSE: TM), for example, has developed a new motor for its hybrid vehicles which does not require any rare earth minerals at all.
Essential Tips for Investing: Sponsored
A financial advisor can help you understand the advantages and disadvantages of investment properties. Finding a qualified financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with up to three financial advisors who serve your area, and you can interview your advisor matches at no cost to decide which one is right for you. If you’re ready to find an advisor who can help you achieve your financial goals, get started now.
Investing in real estate can diversify your portfolio. But expanding your horizons may add additional costs. If you’re an investor looking to minimize expenses, consider checking out online brokerages. They often offer low investment fees, helping you maximize your profit.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Editors' Picks
