** Shares of Australia's Lynas Rare Earths LYC.AX rise 6.8% to A$16.290, set for best day since Jan 7 - if current gains hold

** LYC among top gainers in the benchmark S&P/ASX 200 index .AXJO, which is down 0.3%

** The world's biggest rare earths producer outside China posts a 43% yoy rise in Q2 revenue to A$201.9 million ($135.98 million)

** Average selling price for Lynas' product range was A$85.6 per kg, higher than A$49.2 per kg a year earlier

** However, total quarterly rare earth oxide output fell to 2,382 metric tons from 3,993 tons in the previous quarter, as power outages at its Kalgoorlie facility in Western Australia hampered production

** Stock up 31% YTD after a 93.5% jump in 2025

(Reporting by Shruti Agarwal in Bengaluru)

((Shruti.Agarwal@thomsonreuters.com))