INDUSTRY BULLETIN: CBS '60 Minutes' airs segment on rare earths security of supply
In our ongoing efforts to provide you with broader communications and industry information, this Bulletin brings to your attention a twenty-minute program segment on CBS’ 60 Minutes broadcast on March 22, 2015 entitled “Modern life’s devices under China’s grip?” The video and transcript can be found at:
The program focuses on the security of supply issue created by China’s virtual monopoly on rare earths production. One of the key points raised is that the US defense technologies increasingly rely on rare earths, putting US national security at risk to supply shortages. The segment closed with a comment on the current financial challenges facing the only current US producer, Molycorp.
However, the program did not make the distinction between the light and heavy rare earth elements and the fact that the heavy rare earth elements such as Dysprosium, Terbium, Europium, Lutetium and Yttrium are even more vulnerable to supply shortages, since neither Molycorp nor Australia’s Lynas Corp. are producing significant quantities of these heavy rare earths. This remains the market opportunity that Avalon Rare Metals intends to serve with its Nechalacho Heavy Rare Earths Project in the Northwest Territories of Canada.
Other commentary on this subject provided by Avalon can be found in previous Industry Bulletins “Avalon comments on World Trade Organization ruling on China – rare earths dispute” (April 7, 2014) and “Avalon comments on China abolishing the rare earth export quota system and implementing a new export license process” (January 7, 2015).
About Avalon Rare Metals Inc.
Avalon Rare Metals Inc. is a mineral development company focused on rare metal deposits in Canada, with three advanced stage projects. Its 100%-owned Nechalacho Deposit, Thor Lake, NWT is exceptional in its large size and enrichment in the scarce “heavy” rare earth elements, key to enabling advances in clean technology and other growing high-tech applications. Avalon is also advancing its Separation Rapids Lithium Minerals Project, Kenora, ON and its East Kemptville Tin-Indium Project, Yarmouth, NS. Social responsibility and environmental stewardship are corporate cornerstones.