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Rare earth miners wary of Malaysia

10 October 2012 Last updated at 05:00 BST

Australian miner, Lynas, which is building the world's biggest rare earth plant in Malaysia, is on tenterhooks.

The firm is waiting to hear if it can resume production after its operating license was suspended because of opposition from environmental activists.

A negative decision could see mining companies avoiding investments in the region in future.

David Lennox, resources analyst at Fat Prophets in Sydney discussed the issue with the BBC's Rico Hizon.