The Foreign Investment Review Board (FIRB) has extended the review period for the proposed $252 million investment deal between Australian rare earth miner Lynas Corp and China Nonferrous Metal Mining.
According to a statement released by Lynas late yesterday, the 30-day time period for the FIRB review is now set to expire in early October.
The deal was originally proposed in May this year.
Lynas said that as of 31 August the company has an approximately $8.6 million cash reserve, which is sufficient to cover its cash flow requirements until the end of October.
The company said it is also currently working on funding contingencies should they be needed.
“Lynas is well advanced in finalising interim funding, should interim funding be required to cover its cash flow requirements,” the company said.
China currently controls 95% of global production of rare earth materials, and the deal with Lynas will give the State-owned China Nonferrous Metal a majority stake in the biggest new rare earth mine currently under development in Lynas’ Mt Weld mine in Western Australia.