In 2011, Lynas proposed to mine ores in Mount Weld and ship its waste to Kuantan. Lynas preferred Malaysia over Australia due to certain reasons. Gebeng, an industrial park in Kuantan, had more suitable features to build their Lynas Advanced Materials Plant (LAMP).
The Malaysian government benefits economically from the action of Lynas corporation, as it includes a tax holiday for 12 years and the creation of 350 new jobs.
However, there has been a lot of controversy as a result of their actions. The locals in Kuantan know of the long term harmful effects the waste brings to their environment and people living in Gebeng.
“They believe that the legacy of toxic waste left behind far outweighs any economic gain,” and the local opposition has been supported by many Malaysians alike. Many organizations have been formed to raise awareness regarding the issue.
The operation is scheduled to commence in Q3 2012. Lynas indicates that by early 2013, it will be able to supply 22,000 tons of Rare Earth concentrates per annum.
The actions of Lynas corporation definitely brings huge benefits for the people of Malaysia economically. However, are their actions justified, as it damages the local economic sector and harms the lives of the locals?