Australia ordered the shareholders linked to China to sell their stakes in Northern Minerals, a company that is developing a rare earth mine.
Treasurer Jim Chalmers said he had issued orders on Monday following concerns that Chinese investors had tried to take control of Northern Minerals.
The Australia-based mining company is developing its Browns Range project in the far north of the state of Western Australia to mine significant reserves of dysprosium and terbium.
The six companies are to sell their stake within two weeks.
Chalmer's decision aims to protect the country's national interest and to ensure compliance with its foreign investment framework, he said in a statement.
