China already controls over 80% of the world's rare earths market. These metals are used in minute quantities in a vast array of applications. The potential for the Chinese government to 'corner the market' poses a real threat to consumers, but more importantly, a great opportunity for Lynas minority shareholders.....and CEO Nick Curtis. It seems improbable that the Australian government could block the investment given that Australia is not a consumer of these metals. It is possible though that the US or EU governments might ask the Australian government to block the investment. The risk remains...but my understanding is that the criteria used by the Foreign Investment Review Board is 'national interest' as opposed to the EU interest or America's.
For further information of Lynas read the company presentations and broker reports. This project has been around for a long time, and its soon coming to market.
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Andrew Sheldon www.sheldonthinks.com