Lynas Corporation (ASX:LYC) shares are up 150% in 2017 and are trading around levels last seen in mid-2014.
The rare earths miner’s rebound can be partly attributed to strong growth in the rare earths market, especially neodymium-praseodymium (NdPr).
NdPr are two of the most commonly used rare earth elements and their most important application is in the magnets used for electric motors, which is driving demand.
Lynas is the second largest producer of NdPr material in the world and the leading supplier of NdPr to the free market.
The company is an integrated miner and producer of rare earths, operating a high-grade mine in Mt Weld, Western Australia and a chemical processing operation in Kuantan, Malaysia.
Significant operational, cost and balance sheet improvements over past 3 years have delivered record cash flow, sales and production rates.
Record September quarter
During the recent September quarter, Lynas recorded significant improvements on all key measures of operating performance.
Revenue, production and cash flow from operations all reached new record levels.
Invoiced sales increased 108% to $112 million on the prior corresponding period.