• Significant power supply disruptions affecting Kalgoorlie Rare Earths Processing Facility
• Outage frequency and duration have led to lost production of Mixed Rare Earth Carbonate (MREC)
• Shortfall in MREC feedstock cannot be mitigated by increased production in Malaysia

Lynas Rare Earths Ltd (ASX: LYC, OTCQX: LYSDY, LYSCF) has notified of significant power supply disruptions affecting the Kalgoorlie Rare Earths Processing Facility. The Kalgoorlie facility is supplied with power through Western Power's Eastern Goldfields Load Permissive Scheme (ELPS), which Lynas signed on to in 2021 on the basis of reliable power supply. However, during 2025, there has been a significant increase in power supply disruptions at the Kalgoorlie facility. In November, the outage frequency and duration have been at a level that has led to significant lost production of Mixed Rare Earth Carbonate (MREC). Consequently, production of finished goods at Lynas' Malaysian facility will be affected, as the shortfall in MREC feedstock cannot be mitigated by increased production in Malaysia due to scheduled major maintenance of the Malaysian kilns. Lynas is working with the WA Government and Western Power to identify the causes of the recent outages and options to improve power availability to the Kalgoorlie plant. While these efforts are being progressed, they will not be in place in time to improve this quarter's forecast production. Lynas is also urgently assessing off-grid power solutions, and if implemented, it is expected that the lost production can be recovered within the financial year.

Lynas is working constructively with the WA Government and Western Power to identify causes of recent outages and options to improve power availability to the Kalgoorlie plant. The company is also urgently assessing off-grid power solutions, which if implemented, are expected to help recover the lost production within the financial year.