SYDNEY, Jan 23, 2026, 17:05 AEDT — Market closed
- After gaining for three straight days, Lynas shares ended up 0.7% at A$16.86
- Quarterly update showed stronger prices, though output was dented by power disruptions
- Next up: policy-driven “price floors” and earnings set for March 4
Lynas Rare Earths (LYC.AX) shares ended Friday 0.7% higher at A$16.86, after reaching an intraday peak of A$17.79. The stock has gained roughly 11% since Tuesday’s close, with heavier trading volumes as the rally in rare earth stocks extended into the weekend and the Australia Day holiday. 1
This matters since Lynas stands as the biggest commercial producer of separated rare earths outside China. Its stock now acts as a barometer for whether Western supply-chain strategies are actually shifting pricing power. Rare earths are essential for magnets in electric motors and wind turbines, and they also have defense uses.
Lynas reported gross sales revenue of A$201.9 million for the quarter ended Dec. 31, boosted by a rise in the average selling price of its rare earth products to A$85.60 per kilogram. Production dropped to 2,382 tonnes of rare earth oxides, hit by power outages at its Kalgoorlie plant and maintenance in Malaysia. Meanwhile, closing cash and short-term deposits declined to A$1.03 billion. 2
Chief executive Amanda Lacaze has revived the debate around government-backed minimum prices. “I think everyone understands that the market settings remain positive,” she told analysts this week, highlighting discussions about “floor prices” — a government-backed minimum designed to keep non-China projects afloat during downturns — and referencing U.S. support already extended to MP Materials. 3
Prices in the physical market have nudged higher once more. Neodymium, essential for permanent magnets, traded near 822,500 yuan per tonne on Jan. 22, according to Trading Economics. Traders are keeping an eye on this as a gauge of the recent surge in equities. 4
China is another key variable. This week’s customs data revealed a steep drop in Chinese exports of rare earth permanent magnets to Japan in December, underscoring how shifts in Beijing’s policies can sway the benchmark prices Lynas tracks and reshape demand across its Asian client base. 5
Risks remain. Lynas recently flagged ongoing uncertainty around its planned heavy rare earths facility in Seadrift, Texas, as it hunts for commercial offtake agreements to back the build. The company is also battling to stabilise power at its Kalgoorlie site following multiple outages. 6
The ASX cash market will skip Monday due to the Australia Day holiday on Jan. 26. Trading resumes Tuesday, with eyes on whether Lynas can maintain its position above the mid-A$16s amid a quiet policy backdrop. 7
After that, the key date on most radars is Lynas’s earnings report set for March 4. Investors want to see if production is heading back to the levels seen in the September quarter and whether there’s any real movement on price-floor agreements or offtake negotiations. 8
