Australia orders Chinese investors to sell stakes in rare earths miner

A disposal order issued by Australia’s treasurer gave the Singapore-registered investment vehicle of Wu Yuxiao 60 days to sell 80 million shares

Other foreign shareholders ordered to dispose of shares in Northern Minerals include Ximei Liu, Xi Wang, and Black Stone Resources, the notice said

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Northern Minerals is developing the Browns Range heavy rare earths project in Western Australia, at a time when the sector has become increasingly strategic for its uses in green energy and defence. Photo: Northern Minerals/Handout

Published: 2:34pm, 3 Jun 2024Updated: 6:13pm, 4 Jun 2024

Australia has ordered several China-linked investors to dispose of shares in rare earths miner Northern Minerals on national interest grounds.

Northern Minerals is developing the Browns Range heavy rare earths project in Western Australia, at a time when the sector has become increasingly strategic for its uses in green energy and defence.

A disposal order issued by Treasurer Jim Chalmers on Sunday said Yuxiao Fund had 60 days to dispose of 80 million shares it bought in September. Yuxiao Fund is the Singapore-registered private investment vehicle of Chinese national Wu Yuxiao, it was previously reported.

The fund had sought Foreign Investment Review Board approval to raise its ownership to 19.9 per cent in 2022, from 9.81 per cent of Northern Minerals, but was declined last year.

Northern Minerals has said the fund was controlled by Wu Tao, the chairman of mainland China-based Jinan Yuxiao Group.

Other foreign shareholders ordered to dispose of shares within 60 days include Ximei Liu, Xi Wang, and Black Stone Resources, the notice said.