It looks like the United States has finally decided to try and break China's grip on the supply of Rare Earth Elements after global concerns were raised of the Red country's monopoly.
News of the likelihood of finding rare earths supplies by Greenland Minerals and Energy which could possibly pose a large challenge to the Chinese supply has send the rare earths sector into a tizzy.
Europe has finally acknowledged that there is a serious problem in the rare earths sphere. But what can it do to tackle it? Analysts are divided in their opinion.
The time has come for other participants, besides China, to re-enter the REE sector. Several European and US producers need to get back into REE production.
With China seriously contemplating stopping exports of rare earths, a move that could impact the manufacture of low carbon technology, REE is set to soar to new heights in 2010.
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Rare Earth is likely to spark off a new global policy issue, especially those from China. But Canadian miners such as Great Western Minerals and Avalon Rare Metals, with high concentrations of the heavy rare earth, stand to benefit in the geo-political tangle.
Wednesday, February 10, 2010