Innovation Metals Finishes Plans For Critical Rare-Earth Element Separation Facility

Innovation Metal's Rare-Earth Element Separation Facility

QUEBEC (AZOM) --On 5 October 2012, Innovation Metals announced the completion by GENIVAR Inc. of a set of process flow diagrams ("PFDs") for the extraction and purification stages of IMC's future critical rare-earth element (REE) separation facility in Becancour, Quebec. Starting with a mixed REE carbonate feedstock, produced by blending individual feedstock received from various future REE producers, the process starts with an acid-leaching phase, to solubilize the REEs, followed by a cascade of separation stages based on solvent-extraction techniques. As a result, the process creates formation of thirteen distinct high-purity rare-earth chloride products.
Source: IMC Collaborates to Develop PFDs For Rare-Earth Element Separation Facility (Reliability: High)

Comment: According to Patrick Wong, CEO of IMC, IMC is now one of the only companies outside of China with detailed quantitative designs for a critical REE separation plant.

Crossland Uranium Mine's Charley Creek Project A Potential Early Rare Earth Producer

Figure taken from Crossland website showing drill
sites in Charley Creek with a high potential TREO

NORTHERN TERRITORY, AUSTRALIA (STEEL GURU) -- Crossland Uranium Mines recently completed heavy mineral concentrate pilot test work at its Charley Creek Project in Northern Territory and the results obtained reinforce Crossland's ability to turn the project into an early low cost and long term producer of valuable rare earth oxides.  The results of the study also confirm that the Crossland can successfully concentrate the xenotime and monazite rare earth bearing minerals at Charley Creek using low cost technology commonly used in the mineral sand industry.  Crossland also identified simple flowsheet improvements to improve Total Rare Earth Oxide (TREO) recoveries during the next phase of test work. Source: Crossland Uranium Mines' Testwork Shows Charley Creek Could Be Early Rare Earths Producer (Reliability: High) 

Comment:  According to Steel Guru, potential buyers have already approached Crossland for output from Charley Creek, and Crossland plans to further develop xenotime and monazite concentration production.  Since the mineralization is found in alluvial deposits (free digging) Crossland can conduct mining operations at a low cost.   

China Pursuing Arctic Mineral Riches

NUUK, GREENLAND (New York Times)--Although China does not currently hold any Arctic territories, it is deploying its wealth and diplomatic clout to secure a foothold. The country sees its involvement as important so that it is not shut out of mineral and shipping decisions. The Arctic region has risen rapidly on the country's foreign policy agenda: this year alone diplomats have visited Denmark, Sweden, Iceland, and also Greenland, where Chinese companies are investing to create a mining industry. Retreating of Greenland's ice cap has made accessible deposits of many valuable minerals; so far there has been little exploitation of Arctic resources. Greenland's proximity to the US is also of concern to American officials, who have accordingly stepped up diplomatic efforts with Arctic countries. Source: China Joins Nations Seeking Treasure in Warming Arctic (Reliability: High)

Comment: If China is successful in establishing a significant presence in the Arctic region, the supply of critical minerals such as cobalt and rare earth minerals, over which China already holds considerable control, will almost certainly become more skewed in favor of the Chinese. Furthermore, in light of the recent flare-up of the Senkaku (Diaoyu) Islands dispute with Japan, China will highly likely double its efforts to gain Arctic territory, and its scramble for Arctic territory will likely be a source of diplomatic tensions among prominent nations.

New Mineral Processing Plant To Be Built In Canada

A piece of processing equipment at
the new processing plant in Saskatoon

SASKATOON (TSP) -- The Saskatchewan Research Council (SRC) plans to construct a mineral processing plant in Saskatoon designed to improve the processes involved in recovering valuable metals and minerals.  According to Craig Murray, VP of SRC's mining and minerals division, the company expects the plant to be fully operational in the next few months and says the plant will support companies across the globe involved in processing minerals such as potash, gold, base metals, and especially rare earth minerals. SRC expects that the plant's pilot scale demonstrations  will increase mining yields and decrease overall cost of production.  According to Lynne Yelich, minister of state for Western Economic Diversification, the facility increases the SRC's ability to develop, test, scale-up and demonstrate more efficient ways for companies to extract and process rare earth minerals. Source: SRC To Build New Mineral Processing Plant In City (Reliability: High)

Comment: According to Yelich the new processing plant will be the only one of its kind in Saskatchewan and one of the very few within Canada with the ability to process rare earth minerals.

China To Reduce Rare Earth Mining Permits By 40 Percent

According to MIT, China controls 97
percent of Rare Earth production

CHINA (CD) -- In its latest effort to curb excessive mining, the Ministry of Land and Resources, a major regulator of China's rare earth industry, cut its issuance of mining permits for the industry. On 13 September 2012,  the ministry issued a statement that it reduced the number of Rare earth mining permits from 113 to 67, or 40 percent less. Ganzhou Rare Earth Mineral Industry Co Ltd, a major conglomerate of rare earth miners, saw its number of permits reduced by half, from 88 to 44.  A white paper released by the Chinese State Council last month said that the amount of rare earth metals exported from China in 2011 was 2.2 times higher than the official amount recorded by Chinese Customs. Source: Rare earth mining permits reduced by 40% (Reliability: Medium)

Comment: Industry experts say the reduction of permits is unlikely to effect actual mining production as illegal mining operations are prevalent in the industry.

Mineral Rich Afghanistan Contains Promise And Problems

Infrastructure must be created throughout
much of the country before mining efforts
may commence.

AFGHANISTAN (NYT) -- It is estimated that Afghanistan possesses nearly one trillion USD in untapped minerals such as gold, lithium, and copper. Though there is potential for Afghanistan to use these resources to become a self-sustaining country and player in the global market, overwhelming concerns regarding government corruption, lack of existing infrastructure, and violence overshadow this hope. Fears of a countrywide civil conflict exist as various factions recently started fighting over mineral rich territory, scaring off international investors. The government rejected legislation that it considered too favorable to Western interests. However, it since allowed Chinese companies to mine for oil, copper, and rare-earth, all while arguing other contracts awarded through spoils and regional political influence. In addition, there are concerns about proven illegal mining and smuggling of minerals to neighboring countries in order to fuel insurgencies.  Despite the negatives, the people of Afghanistan eagerly await for more mining to begin, as it is estimated that such activity could bring as many as 50,000 jobs helping to lift many of the families out of poverty and provide education to their children. Source: Potential for a Mining Boom Splits Factions in Afghanistan (Reliability: High)

Comment: As long as Afghanistan continues to experience violence and instability, the mining industry will be very slow to come to fruition, if ever, crushing the hopes of the people who want a better life.

Alaska Geologists Map Locations of Strategic and Critical Minerals

Geologists mapping Alaska's rare earth elements

FAIRBANKS, AL (NEWSMINER) -- Several geologists with the Alaska Division of Geological and Geophysical Surveys, part of the Department of Natural Resources, are taking part in a $3 million state effort to create a detailed map of strategic and critical minerals, including rare earth elements, cobalt, platinum, tin, and yttrium, in order to determine their potential in Alaska.  The growing issue of rare earths to national security is causing a rush to determine Alaska's rare earth potential.  More than 95 percent of the rare earth elements are used in a variety of military hardware.  This mapping effort is aimed at kick starting in-state development of Alaska's resources.  The mapping project is already paying large dividends to the state in a new boom of resource development and a third of all strategic mineral exploration occurred in Alaska in the last two years.  Source:  Alaska Geologists Part of Effort to Map Locations of Strategic and Critical Minerals (Reliability: Medium)

Comment:  The mapping project in Alaska began last year and will continue through the end of this year and through next year. 

Critical Mineral Substitutes

UK (AZOM) - Supply constraints on critical elements needed for industries ranging from communications to healthcare is characterized by a fragmented and uncoordinated input from end users and policy makers. A new report by Cientifica and Material Value, "Simply No Substitute," takes a critical look at the current technology and policy landscape in this vital area, and attempts to develop substitutes for critical materials. The report looks at advances in life sciences and nanotechnology to engineer a way around current bottlenecks. Source: Simply No Substitute? Realistic Alternatives to Key Strategic Materials And Rare Earths. (Reliability: High)

Comment: Critical mineral use will likely continue to increase and with finite sources, engineered alternatives seems like a proactive method to increase supply.

Greenland, Supplier of Rare Earths

VANCOUVER, CANADA. (RAREEARTHINVESTINGNEWS.COM) -- Greenland hosts enough of the rare earth minerals to supply a quarter of global demand for the next 50 years. While it has a rich history with minerals - very little has been done to advance projects. However, one of the biggest challenges is that only 15% of Greenland is free of ice.

Mining and exploration in Greenland is limited
to the coastal portions of the island.

According to Dr. Damien Degeorges (an academic who has worked extensively on Greenlandic issues) 25% of demand could be met by Greenland each year until 2062. Greenland is looking to become more financially independent from Denmark and mining could be a big part of that freedom.
Although there is not a great deal of mining going on already - there is a wealth of potential as the government is pro-mining and hosts gold, base metals, rare earths and diamonds. Greenland is similar to Canada and includes Archaean craton (a crust layer known for its riches in minerals). Despite its geological appeal - it is still vastly unexplored.
The bulk of Greenland is frozen under the Inland Ice Cap and has thus far hindered exploration. Mining would be limited to coastal portions of the island. There are also concerns as to whether mining could occur without damaging the country's pristine Arctic environment. One further problem could be the dispersion of Uranium dust which may be found whilst mining for minerals.
Source: Rare Earth Mining in Greenland. (Reliability: High)

Comment: It is reported that there is favorable mix of rare earths, yttrium and heavy rare earth oxides. According to the latest survey, a lot of rare earths were overlooked in the 1990's when exploration began.

China Raises Rare-Earth Export Quota

China's decreasing export quota

NEW YORK (WSJ) - For the first time since 2005, the Chinese Government reduced its restrictions on rare-earth exports.  China's Ministry of Commerce reported that they now export 2.7 percent more volume of rare earth, equivalent to 30,996 metric tons, than in 2011.  The tighter limits imposed by China in 2005, led to price surges two years ago leaving some of the exported elements more valuable than gold.  A complaint filed with the World Trade Organization by the U.S., the European Union, and Japan, and accepted in July of this year, put pressure on China to lower their restrictions during a time when other trade disputes exist between China and the U.S. ranging from cars to solar panels.  However, industry observers believe that China's rare-earth exports are less important because manufacturers are looking to reduce their use of Chinese-produced minerals.    Colorado based company, Molycorp Inc., said they will be producing rare earths at a rate of 19,050 metric tons annually by the end of this year.  Molycorp Inc. believes that rare-earth oxide production could fall by 20 percent this year causing China's concern to be production quotas and not export quotas. 

Source: China raises rare-earth export quota for first time since 2005 (Reliability: High)

Comment: China is continuing to see a decrease in the exports, which is currently less than their quota.

Rare Earth Source Unlocked in Malaysia

SYDNEY (WSJ)—Australian company, Lynas Corp., won their battle to open a strategic minerals’

Lynas Corp plant in Pahang, Malaysia

processing plant in Malaysia. The Malaysian Atomic Energy Licensing Board (AELB) statement approving  a two-year temporary operating license for a rare-earth refinery in Pahang was released on 3 September 2012.  The processing of rare earths from Western Australia's mines is planned to begin next month. . The AELB held off final approval of the project after protests concerning the perceived radioactive waste hazard.  Source: Rare Earth Boost From Lynas Win (Reliability: High)

Comment: Shares in Lynas closed up 41 percent a share on Thursday. Lynas intends to produce one-sixth of the world’s supply of rare earths after reaching full capacity. 

India Makes Rare Earthy Pitch To Rival China

Arial image of Mountain Pass RE mine in California.
The mine was recently reopened after closing in 2002.

NEW DELHI (DNA) -- India might emerge as one of the countries that can challenge China’s rare earths (REs) hegemony. China overviews 97% of RE production; however, US Geological Survey estimates that China has half of the world’s reserves at 55 million tons (MTs). Forecasts show that the currently estimated world consumption of 136,000 tons/year is likely to grow to 185,000 tons/year by 2015. Based on current estimates, the US has 12% (13MTs) of global reserves, Australia (1.6 MTs), and Commonwealth of Independent States (19 MTs). Latest Indian government statistics show that India may have 9% (10.7MTs) of global RE reserves. India used to be the world’s leading RE producer in the 1950s, followed by the US through the 1960s and 1980s. Source:  DNA special: India makers rare earthy pitch to rival China (Reliability: Medium)

Comment: As a consequence of Chinese export restrictions on REs, some countries are likely to reopen their RE mines, which were closed down because of low-cost Chinese production. This will results in higher costs compared to Chinese domestic production; however, foreign companies do not have to worry about the theft of their trade secrets in China.

Activists Threaten Protests For New Malaysian Rare Earth Refinery

Kuantan, Malaysia is east of Kuala Lumpur

KUALA LUMPUR (NYT) -- Malaysian activists, worried about radioactive byproducts from a newly constructed rare earth refinery near the town of Kuantan, Malaysia, have threatened to "to paralyze the whole port until the raw materials leave our port."  Lynas, the Australian company that owns the refinery, plans to begin processing activities in October 2012.  The company is currently seeking to address the core concerns of the protestors and claims that there are no radiation hazards.  Source:  Protests Promised Over License for Malaysia Rare Earth Plant (Reliability:  High)

Comment:  Lynas, one of Australia's largest companies, claims that it is providing the first new source of rare earths from sources outside of China from its mining operations at Mt. Weld in western Australia.