Australian rare-earth mining company Lynas said today the claims by activists about dangerous residues produced by the company's operations have been proven false.

Lynas pointed out that Water, Land and Natural Resources Minister Dr Xavier Jayakumar said that the latest tests done around Lynas' plant area have given negative readings for heavy metals.

It also quoted Energy, Science, Technology, Environment and Climate Change Ministry deputy secretary-general Nagulendran Kangayatkarasu as saying the spike in heavy metal readings in the groundwater around the Lynas plant did not originate from the facility.