Lynas Rare Earths Ltd (ASX:LYC) has reported a rise in sales revenues to $141.2 million and sales receipts to $145.9M during the second quarter of the 2025 fiscal year (compared to $120.5M and $127.5M respectively in the last quarter).

In its quarterly activities report, Lynas also said it had reached several important milestones, successfully commissioning and integrated Stage 1 of the Mt Weld Expansion Project (dewatering circuit) into operations, and welcoming Federal Minister for Resources andNorthern Australia, the Hon. Madeleine King MP, to officially open our new Kalgoorlie Facility on November 8.

The sales revenues were icing on the cake, particularly in light of continuing low market prices and subdued inside China demand. Instead, Lynas said they reflected the company’s focus on high value strategic customers and product mix, plus the benefit of favourable foreign exchange rates.

However, the activities report acknowledged that quarterly production of total rare earth oxide (REO) production at 2,617 tonnes and NdPr production at 1,292 tonnes was lower than expected, reflecting low production in December.

This was due to downstream production being completely dependent on mixed rare earth carbonate (MREC) feedstock from Kalgoorlie, in the wake of having an annual (calendar year) lanthanide processing limit in Malaysia for Mt Weld concentrate.

There was sufficient MREC feedstock on hand for December production, but issues with impurities meant the material required additional treatment, and the needed chemical inputs were not available until December 25.

Lynas shares fell after the news, and at 10:58 AEDT, they were trading at $6.70 – a drop of 5.5% since the market opened.

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