SYDNEY: Australia has ordered several China-linked shareholders to divest their stakes in rare earths company Northern Minerals, citing national interest concerns.
According to Beyond Time News, the decision targets investors linked to China, Hong Kong, and offshore jurisdictions amid tighter scrutiny of foreign involvement in critical mineral assets.
Focus on Dysprosium Project
Northern Minerals is developing the Browns Range project in Western Australia, which contains dysprosium, a rare earth element used in high-performance magnets for electric vehicles and advanced technologies.
The project is viewed as part of Australia’s effort to reduce reliance on China, which dominates global rare earth processing.
Government Action
Australia’s Treasurer Jim Chalmers said multiple shareholders have been directed to sell their stakes.
According to Beyond Time News, six shareholders have been identified in the divestment order.
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Ongoing Scrutiny
This is the second major intervention involving Northern Minerals after a similar divestment order in 2024 targeting China-linked investors.
The company had earlier referred itself to Australia’s Foreign Investment Review Board over ownership concerns.
Market Reaction
Trading in Northern Minerals was temporarily halted on the Australian Securities Exchange following the announcement.
The company said it is reviewing the order and will provide further updates.
