Press release from the German Institute for rare earths and strategic metals from the 26.11.2013
26.11.2013 Dusseldorf - The British company First European Minerals, headquartered in London, has started a storage program for rare earths and strategic metals in cooperation with German companies. Both private and institutional interested parties have the opportunity to physically buy, trade and store these rare elements in German industrial standards.
As we all know, over 90% of all rare earths still come from the People's Republic of China. The demand for the elements, which are urgently needed above all in high-performance electric motors, in the semiconductor industry, in modern photovoltaic systems, fiber optic cables, the laser and LED industries, is increasing by around 15% annually. At the same time, the People's Republic is forecasting annual economic growth of 8%. Should the growth of the Chinese economy continue to increase in a linear fashion, 2020 China will depend on 100% of its rare earth production at the latest in the year.
Despite all efforts, a delivery guarantee can not be guaranteed. Recycling of rare earths is a big topic in the Western world outside of China. It can be assumed that by 2020 around 30% of the demand can be secured by recycling. More 30-40% will come from new sources. Despite these positive developments, a supply shortage will arise. This supply shortage will be compensated by the year 2025 by further development of recycling and funding opportunities.
The difficulties in the promotion are on the one hand the extremely long exploration times until a body in the soil is discovered and measured. Second, the separation of the rare earths from their carrier material is a very filthy affair, which under no circumstances finds a consonance with the environmental awareness of the Western world.
Exactly in this forthcoming problem sees the First European Minerals compelling action. International politics has repeatedly discussed whether there should be national camps for these rare metals and elements at the state level. But the policy remains true to their line, not to interfere in the economy. Large corporations have in part built their own camp on these elements in order to counteract an impending shortage. But what happens to the middle class who is unable to stockpile a warehouse for several years? The European demand for rare earths is huge and growing.
The partners
First European Minerals has sought well-known partners for this project. Tradium in Frankfurt is one of the largest rare earth and metals traders in Europe. Tradium is ISO 9001 certified and known in business for consistently consistent quality. Metlock is a high security camp, also in Frankfurt. The old air raid shelter from the Second World War was extensively converted into a security camp that overcomes all the needs of German insurers. The Institute of Rare Earths and Metals in Düsseldorf provides advice. From here the First European Minerals receives all information about rare earths and their disposal / needs in the near future. With the help of this information, the shopping carts are filled, which the prospective customer can finally acquire.
The shopping cart
The shopping carts are filled with dysprosium oxide, gallium, germanium, indium and terbium. These five elements have one thing in common, they are rare and delivery problems are expected. Dysprosium is mainly used in high performance electric motors. The used magnets with dysprosium retain their magnetic effect even at high temperatures. The annual production of dysprosium is 500 tonnes worldwide. Gallium is used in the semiconductor, solar, electronics and LED industries. Increasing LED usage worldwide, a fast-growing photovoltaic industry and the rapidly growing demand for mobile devices such as smartphones, tablet computers and game consoles are increasing the demand for gallium. Gallium is already very rare today. The worldwide consumption of 280 tons of gallium comes from 78 tons of annual production, 90 tons of recycling and 112 tons of reserves. Germanium is one of the rarest metals on earth. Without germanium, there would be no fiber optic cable or infrared optics. The annual production of germanium is only 140 tons per year. Only 100 tons of the coveted metal come from China. At the same time, by the year 2030, the Fraunhofer Institute expects an eightfold increase in the fiber optic cable requirement. Indium is used in display technology and thin-film photovoltaics. At present, 1000 tons of indium are produced annually, half of which comes from recycling activities and 300 tons come from China. The European Commission for supply bottlenecks put Indium on the list of endangered technology metals. Terbium is used for doping semiconductors and serves as an activator for fluorescent phosphors. The US Department of Energy predicts a medium-term coverage gap.
The sequence
The prospective buyer receives over the First European Minerals www.fem.uk.com all information regarding the inventory program. According to the purchase and storage contract, First European Minerals orders the corresponding amount of rare earths and metals from the Tradium in Frankfurt, which then transports the goods to the high-security warehouse Metlock, also in Frankfurt, for storage there. After a minimum holding period of two years, the metals can be stored, sold or picked up.
The Institute of Rare Earths and Metals is pleased to accompany this exciting and extremely innovative program in an advisory capacity. The First European Minerals has recognized the signs of the times and reacts with decisive action.
