KUALA LUMPUR – January 30, 2020: Pahang is allowing Lynas Corporation to store its water-leached purification (WLP) residue at a remote site in Bukit Ketam, about 32 kilometres north of Kuantan.
In a filing to the Australian Stock Exchange today, the company stated that it has appointed Gading Senggara Sdn. Bhd. as the contractor of its permanent depository facility (PDF) at the site for a period to be decided by regulatory authorities.
The estimated amount to be paid to Gading Senggara for the job is US$98 million.
Gading Senggara is a government-appointed concessionaire, with a licence for industrial waste disposal in the East Coast.
It is also a member of the Gading Group of Companies, which has units in the aerospace business, defence, maritime, development, construction, energy, commodity, trading and oil and gas.
The construction of the PDF was one of three conditions set by the federal government last August 15 when it agreed to renew Lynas’ operating licence for another six months.
Lynas is also required to relocate the operations of its cracking and leaching (CL) facilities out of the country within four years and to cease all research and development on a soil conditioner fashioned from its residues.
Last December Lynas selected the mining city of Kalgoorlie-Boulder in Western Australia as the site of its new CL facilities which will be built next year.
WLP is a low-level radioactive residue that is produced during the CL process.
All eyes have been on Lynas since the Pakatan Harapan coalition won Malaysia’s national elections on May 9, 2018, due to policy disputes over the company’s waste management.