The former CEO of Neo Material Technologies Inc. said shortly before the acquisition by industry giant Molycorp that Rare earth not because they are rare, but because it is very difficult to extract these elements individually and that it takes a great deal of expertise to be successful.
Today we released a new one Research Report through Commerce Resources Corp., which analyzes the latest corporate news story, highlighting why Commerce is one step ahead of all other rare earth development ("REE") development companies. Commerce is still rated quite cheap, you look at the many other REE shares, which are taken in the comparative analysis under the microscope.
In addition, two other REE shares are being analyzed, which are also capable of producing a mineral concentrate above 30% TREO. But even in comparison with these two well-known stocks Commerce performs much better.
For a few days, Commerce has been able to produce a commercial grade mineral concentrate that is in desperate need of all global REE smelters or processors. However, these smelters only buy concentrates from mines that contain at least 30% TREO and have a recovery rate of at least 60%.
Commerce announced a few days ago that low-cost standard processes can produce a mineral concentrate with more than 40% TREO on 70% recovery. None of the other REE development companies are also capable of doing so, so we expect to see a joint venture partner in the foreseeable future, with which the Ashram deposit in Quebec, Canada, can be put into production. Because Commerce made it clear that a detailed cost statement will be published next, in which it should be immediately apparent how lucrative it would be to buy the mineral concentrate produced by Commerce.
This could lead to a commitment from a well-known group before the pre-feasibility study is completed, as well as explaining why the Quebec government would soon need to invest in Commerce stock. Indeed, we expect a share stake from the government of Quebec, as the so-called "Plan Nord II" was recently re-launched by the new liberal government and provides for about $ 10 billion in the development of the next 90 years northern Infrastructure to invest from Quebec. In addition, $ 1,5 billion is available in a state fund to invest in stocks of promising development projects, so that the entire population of Quebec can benefit from an increase in value. Commerce could benefit twice in the future from the Plan Nord II.
Conclusion:
"Commerce and its ashram deposit continue to be our top REE candidate because we see by far the greatest potential for achieving profitable production. According to our research, there is no significant development project in the entire REE market with any prospect of success any time soon - with the exception of Commerce, which is the only one capable of producing a sufficiently high grade mineral concentrate that meets the needs of buyers. This unique circumstance, coupled with the soon to be expected cost details, should attract the first interested parties to the light, because it is well known that wins only the first. "
In the foreseeable future, a strategic partner could be presented to finance the development of the mine. Such a communication is likely to cause a stir in the entire REE market, as only Molycorp and Lynas have made it to production. Meanwhile, the analysis explains why Molycorp and Lynas have such a hard time and why Commerce should not have such problems.
The full company analysis titled "What needs the REE market urgently? (Out of mind) " can be downloaded as a PDF on rockstone-research.com, or directly with the following links:
German:
http://www.rockstone-research.de/research/RockstoneREEupdate6deutsch.p …
English:
http://www.rockstone-research.de/research/RockstoneREEupdate6english.p …
Source: http://www.wallstreet-online.de/nachricht/6959082-seltene-erden-markt-dringend-ausser-verstand
