a good time to go short ?, page-71

"I'm not sure about this, especially for the basket that Lynas is trying to produce. The current slight price increases, I believe, are brought about by the shortfall in the expected supply following the failure of Lynas to produce."

Yes that is correct BUT you are looking at the REE price NOW. Which is at the floor of the ree market. What is the ree price 1 year or 2 years from now? I reckon it will be higher and thats a much safer bet then betting ree prices will go lower.

I am still confident Molycorp wont make it in the REE space. Keep in mind making REE ON SPEC is a major hurdle itself and Lynas has it sorted out with the 25 approval from customers. Lynas just needs to focus on the mech issues that's it.

Molycorp not only has to focus on Mech, They have to worry about getting their REE ON SPEC, they have to worry about debt and also their Cerium and Lanthanum make up is total crap. You can't view Lynas a Light REE company, you have to view Lynas as a more middles REE company due to the rich Neodynium and Praseo make up.

I am not selling Lynas now because its ridiculously stupid of me to sell out at the bottom of the cycle. Its like me buying a house then my house drops 30% and i sell it.