Ann: Ngualla Project Update, page-21

Report from SP Angel today. Aussie market seems to have ignored the news:

Rare earth stocks surge as China acts to ban Myanmar imports

• Domestic China rare earth companies climbed the biggest intraday gain since April 2016 as imports of rare earth ore from Myanmar through Tengchong in the nations Yunnan province were halted on May 14, according to SMM Information & Technology Co.
• China Minmetals Rare Earth Co., China Northern Rare Earth Group High-Tech Co. and Xiamen Tungsten Co. all climbed 10%, the daily limit.
• The location acts as the sole entry point from Myanmar into China, and there is no time frame quoted for trade to resume, with Chen Zhanheng, vice secretary-general of the Ministry of Natural Resources and Environmental Conservation, said in March that the trade would stop from mid-May.
• China produces about 70% of the world’s mined rare earths and has strict limits on domestic output.
• Lower first-round quota’s for domestic production are placing higher dependence on import to make up a potential shortfall in mined rare earths, according to Chen.
• The industry will have a clearer picture on supply once the second round of production quotas is issued by the end of June.
• Chinese dominance and variable import/export controls only serve to highlight the importance of reliable, long-term supply from ex-China projects. Importance sources of rare earths under development include Mkango Resources’ Songwe Hill project in Malawi, currently undergoing it DFS.