Lynas Corporation Ltd
(ASX:LYC) says it has secured $30 million of working capital facilities from OCBC Bank (Malaysia) Berhad.
The rare earths explorer advises that the facilities are unsecured and will be used to fund projects such as the ramp-up of the Lynas advanced materials plant in Malaysia, with the first feed of concentrate to the kiln on target for mid 2011.
Both the engineering and construction of the Malaysian plant, as well as the concentration plant in Western Australia, remain within budget.
The announcement follows Lynas warning in April that it may need an additional $25 million working capital facility to fund the projects.
Lynas says it owns the richest known deposit of rare earths in the world at Mount Weld, near Laverton in Western Australia, the deposit underpinning the company’s strategy to create a reliable and fully integrated supply from the mine.
Lynas Corporation recorded a $9.15 million loss for the half year ended on 31 December 2009.
