Nov. 13, 2015, 5:44 PM
Apr. 24, 2015, 12:47 PM
- China’s decision to scrap export quotas and taxes on rare earth elements may boost stalled demand for the products, Lynas (OTCPK:LYSCF, OTCQX:LYSDY) CEO Amanda Lacaze tells Bloomberg.
- Users have been drawing down on stockpiles while awaiting clarity over China’s policy on the export of the elements, Lacaze says.
- China, which produces ~85% of global supply, announced yesterday it will remove export tariffs on rare earths beginning May 1.
- Lynas, which said March was the first month in the company’s history in which it was cash flow positive, is seeking to restructure its debt before September, the CEO says.
- Relevant tickers: MCP, REE, AVL, GSM, GMO, OSN, REMX
Apr. 23, 2015, 5:47 AM
- China will scrap export duties on rare earths and some metal products.
- Export duties will be removed on a wide variety of metal products, including those on rare earths, molybdenum, tungsten and some aluminum products, effective May 1.
- Beijing is attempting to boost exports, which fell 15% year-over-year in March.
- Currently, China levies export duties between 15% and 20% on rare earths products while molybdenum products carry export duties of 5% to 20%.
- Stocks: MCP, REE, AVL, GSM, GMO, OSN, REMX
Mar. 23, 2015, 8:42 AM
- Molycorp (NYSE:MCP) +22.2% premarket after 60 Minutes aired a report last night on the importance of rare earth elements.
- The basis of the report is that modern U.S. life - from smartphones to cars to defense missiles - depends on rare earth elements, but that China dominates the industry
- Investors may be hoping the telecast sparks renewed interest in legislation in Congress calling for subsidies for the U.S. rare earths industry.
- Also on watch: REE, AVL, GSM, GMO, OSN, REMX
Jan. 5, 2015, 8:15 AM
- China has dropped its decade-old quotas limiting exports of rare earths, as it moves to comply with a WTO ruling last year that the country's tariff and quota system was discriminatory and gave unfair advantage to domestic consumers.
- Under the new guidelines, rare earths will require an export license but the amount that can be sold abroad will no longer be covered by a quota.
- China has ~30% of global deposits of rare earths but accounts for more than 90% of production.
- Related stocks include MCP, REE, AVL, GSM.
Mar. 26, 2014, 3:38 PM
- Analysts say rare earth elements will continue to fall this year after China loses a trade dispute over its export controls, as new mines boost output and while demand in high tech products disappoints.
- A price war could break out after the U.S., EU and Japan won their case over export restrictions they said gave Chinese companies an unfair competitive edge in key sectors, says Ryan Castilloux of Adamas Intelligence; China's "only tangible defense becomes competing head-to-head on price with emerging global producers."
- Investors already are concerned about excess supply as Molycorp (MCP -3%) and Lynas (LYSCF -12.5%) boost output at their new mines; MCP aims to boost output to 20K metric tons/year after producing ~1K metric tons in Q4 2013.
- Also: REE -0.6%, AVL -2.4%, GMO -3.7%.
Dec. 27, 2013, 2:13 PM
- Rare earth miners Rare Element Resources (REE +12.9%), Avalon Rare Metals (AVL +3.7%), and Quest Rare Minerals (QRM +11.7%) have joined Molycorp (previous) in rallying sharply. Equity markets have doled out plenty of punishment to the group this year.
- SA contributor Hawkinvest has provided a bullish write-up on Molycorp, arguing a short-covering rally could take place in early 2014.
- The Rare Earth/Strategic Metals ETF (REMX +0.7%) remains down 32% YTD.
Oct. 25, 2013, 5:42 PM
- Greenland's parliament has removed a 25-year-old ban on uranium mining, paving the way for an industrial boom the Arctic island hopes will help it gain independence from Denmark.
- Greenland wants to boost its mining of rare earths, but uranium often is found mixed into rare earths, so the ban was blocking key mining activity.
- One rare earth deposit being explored by Greenland Minerals (GDLNF) could be the largest outside China; the company thinks it could extract up to 40K tons/year of rare earth metals.
- Rare earths: REMX, REE, MCP, SHZ, AVL, GSM.
- Uranium: URA, NLR, BWC, SHAW, URS, FLR, LTBR, URG, UEC, URRE, USU, DNN, CCJ.
Sep. 24, 2013, 9:54 AM
- Rare earth stocks (REMX) start strong after reports overnight say China is likely to purchase billions of yuan of rare earth minerals starting next month to bolster its strategic reserves.
- Six large rare-earth producers - including Baotou Steel, China's largest rare earth producer by output - are on the list for the purchasing program, which was launched last year.
- Also, one of China’s largest rare earth producers says it plans to raise funds through private placement to build a plant with the capacity to produce 7K tons/year of rare earth oxides.
- MCP +3%, REE +3.7%, AVL +8.8%.
Sep. 17, 2013, 10:36 AM
Aug. 5, 2013, 11:10 AM
- Avalon Rare Metals (AVL +9.9%) shoots higher on a report suggesting it could build Canada's first rare earth mine, based on a stream of news recently released by AVL about its Nechalacho Rare Earth Elements Project at Thor Lake, Northwest Territories.
- The news, as well as rising rare earth prices, have contributed to recent bullishness on AVL; "Investors would do well to keep Avalon on their watch list of companies considered to have the potential to turn rare earth deposits into mines."
Jul. 31, 2013, 12:53 PM
- A spike in Molycorp (MCP +6.7%) is attributed to an article that says China rare earth prices skyrocketed in the past week.
- Dysprosium oxide jumped 79% in the past week, according to MetalMiner's price index; yttria climbed 47%, terbium rose 34.5%.
Jul. 10, 2013, 6:35 PM
Molycorp (MCP) +1.8% AH after surging 16% during regular trading, as other rare earth (REMX) names also rose today: REE +11.7%, AVL +15.2%. A Euro Pacific analyst ties the move to reports from China that say the price increase in rare earth relates to a government campaign to shut down unlicensed mines in China's Ganzhau; funds may be buying a basket of related companies. (earlier)| Jul. 10, 2013, 6:35 PM | 4 Comments
May 21, 2013, 9:10 AM
May 21, 2013, 8:05 AM
Molycorp (MCP) +5.4% premarket on a report that China exported 2,196 metric tons of rare earth in April, a 28% rise from March, and 6,112 tons in the first four months of this year, double the year-ago volume. The data indicates bargain hunting may be reviving global demand for rare earth metals.| May 21, 2013, 8:05 AM
Apr. 17, 2013, 7:50 PM
Avalon Rare Metals (AVL) says the results from feasibility studies for its Nechalacho rare earth elements project confirm that it's "technically feasible and economically robust." The company said total project construction capital costs are $1.575B, which is inclusive of a 13% contingency and $122M in sustaining capital. Operating costs will average $264.5M per year, while revenue sould average $645.8M per year. Shares +2% AH.| Apr. 17, 2013, 7:50 PM | 2 Comments