lyc expected to meet 1/3 of world ree demand

I was new to to LYC and doing some research on the background on the refinery liencsing in Malaysia and found this wiki article interesting. Just like to share with the forums, especially the newbies to REE like myself.

http://en.wikipedia.org/wiki/Rare_earth_element


"These concerns have intensified due to the actions of China, the predominant supplier. Specifically, China has announced regulations on exports and a crackdown on smuggling.[18] On September 1, 2009, China announced plans to reduce its export quota to 35,000 tons per year in 2010–2015, ostensibly to conserve scarce resources and protect the environment.[19] On October 19, 2010 China Daily, citing an unnamed Ministry of Commerce official, reported that China will "further reduce quotas for rare earth exports by 30 percent at most next year to protect the precious metals from over-exploitation".[20] At the end of 2010 China announced that the first round of export quotas in 2011 for rare earths would be 14,446 tons which was a 35% decrease from the previous first round of quotas in 2010.[21] China announced further export quotas on 14 July 2011 for the second half of the year with total allocation at 30,184 tons with total production capped at 93,800 tonnes.[22] In September 2011 China announced the halt in production of three of its eight major rare earth mines, responsible for almost 40% of China's total rare earth production.[23]

As a result of the increased demand and tightening restrictions on exports of the metals from China, some countries are stockpiling rare earth resources.[24] Searches for alternative sources in Australia, Brazil, Canada, South Africa, Greenland, and the United States are ongoing.[25] Mines in these countries were closed when China undercut world prices in the 1990s, and it will take a few years to restart production as there are many barriers to entry.[18] One example is the Mountain Pass mine in California, which is projected to reopen in 2011.[12][26] Other significant sites under development outside of China include the Nolans Project in Central Australia, the remote Hoidas Lake project in northern Canada,[27] and the Mount Weld project in Australia.[12][26][28] The Hoidas Lake project has the potential to supply about 10% of the $1 billion of REE consumption that occurs in North America every year.[29] Vietnam signed an agreement in October 2010 to supply Japan with rare earths[30] from its northwestern Lai Châu Province.[31]

Also under consideration for mining are sites such as Thor Lake in the Northwest Territories, various locations in Vietnam,[12][17] and a site in southeast Nebraska in the US, where Quantum Rare Earth Development, a Canadian company, is currently conducting test drilling and economic feasibility studies toward opening a niobium mine.[32] Additionally, a large deposit of rare earth minerals was recently discovered in Kvanefjeld in southern Greenland.[33] Pre-feasibility drilling at this site has confirmed significant quantities of black lujavrite, which contains about 1% rare earth oxides (REO).[34]

In early 2011, Australian mining company, Lynas, was reported to be "hurrying to finish" a US$230 million rare earth refinery on the eastern coast of Malaysia's industrial port of Kuantan. The plant would refine "slightly radioactive" ore - Lanthanide concentrate from the Mount Weld mine in Australia. The ore would be trucked to Fremantle and transported by container ship to Kuantan. However, the Malaysian authorities confirmed that as of October 2011, Lynas was not given any permit to import any rare earth ore into Malaysia. Within two years, Lynas was said to expect the refinery to be able to meet nearly a third of the world's demand for rare earth materials, not counting China."[35] The Kuantan development brought renewed attention to the Malaysian town of Bukit Merah in Perak, where a rare-earth mine operated by a Mitsubishi Chemical subsidiary, Asian Rare Earth, closed in 1992 and left continuing environmental and health concerns.[36] In mid-2011, after protests, Malaysian government restrictions on the Lynas plant were announced. At that time, citing subscription-only Dow Jones Newswire reports, a Barrons report said the Lynas investment was $730 million, and the projected share of the global market it would fill put at "about a sixth."[37] An independent review was initiated by Malaysian Government and UN and conducted by IAEA between 29 May and 3 June 2011 to address concerns of radioactive hazards. The IAEA team was not able to identify any non-compliance with international radiation safety standards.[38]"