Tuesday, April 5, 2011

China Releases Rare Earth Quota & Eliminates New Mining Licenses

Mon, Apr 4, 2011 Feature Articles, Rare Earth Articles

By Michael Montgomery

—Exclusive to Rare Earth Investing News

Last month Chinese officials stated that information on this year rare earth quotas would soon be released, with a special consideration of the world’s rare earth needs. The story was covered on Rare Earth Investing News on March, 22. Over the weekend China announced that the total output quota for 2011 would be 93,800 tonnes, an increase of over 5 percent in comparison with 2010. The Chinese output quota of 93,800 tonnes from mines equates to 80,400 tonnes of ‘light’ rare earths, and 13,400 tonnes of ‘medium and heavy’ rare earths. The government has also stepped up enforcement of illegal mining which added an estimated 10,000 tonnes of material into the market. If the government can eliminate all the illegal sales, this increase in production may be null and void in relation of supply and demand fundamentals. Article source here

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