Lynas (ASX:LYC) Revised Cost Estimate for Rare Earth Projects in Australia and Malaysia

Sydney, April 20, 2010 AEST (ABN Newswire) - Lynas Corp. (ASX:LYC) Tuesday said its estimated cost to complete phase 1 of the concentration plant in Western Australia and advanced materials plant in Malaysia is A$339.2 million, up from previous estimate in March of A$302.7 million. This is due to a significantly higher Engineering, procurement and construction management fee, which has increased to A$136.4 million from A$100 million in previous estimate.

The revised estimate has resulted from a review of project engineering with contractor UGL Ltd. (ASX:UGL).

Lynas remains its target date of the first ore feed from the Western Australia plant by December. The company also said mobilization to site in Malaysia is due to commence this month. First concentrate feed to the kiln in Malaysia is anticipated early in the third quarter of 2011.

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Michelle Liang Asia Business News Asia Bureau Tel: +61-2-9247-4344 Email: michelle.liang@abnnewswire.net