Lynas said it had secured an extension from Ashton so that it could be allowed to further assess the impact of studies being done on the project’s tantalum resource.

Lynas says there is a chance this work will point to the development of joint infrastructure for both tantalum and rare earth ore streams. This could improve the project’s economics and would obviously impact on bankable feasibility work.

“The company would be reviewing this situation in light of the recent feasibility work and would continue commercial discussions with Ashton,” Lynas said a statement.

“The current feasibility study will not be completed as planned by November 2000. The company will keep shareholders advised as developments are made.”