Chinese Threat on Rare Earth Minerals Could Revitalize U.S. Mines

Science ^ | 23 September 2010 | Robert F. Service

[epithermal]

Action is heating up in the world of rare earth minerals. China has blocked exports of rare earths to Japan over a fishing dispute between the two countries.

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"It is precisely this type of vulnerability in the overall rare earths supply chain [for geopolitical reasons and others] that makes it important for Japan and other countries to diversify their supply chains for rare earths," adds Hatch.

That diversification may soon get a jump start. Today, the House of Representatives Science and Technology Committee approved legislation to authorize funding by the U.S. Department of Energy (DOE) for a $70 million research and development center to study new ways to mine and process rare earths. The bill also contains authorization for DOE to fund a loan-guarantee program designed to restart U.S. rare earth-mining operations.

The last U.S. rare earths mine was shuttered in 2002 because of a combination of environmental concerns and the fact that they could not compete with the cheaper prices for rare earth minerals being offered by China.

[Ben Ficklin]

MolyCorp began mining and processing rare earths at the Mountain Pass mine in 1952 with a 50 year permit. In the early 90s they decided to expand and produce for another 35 years. As they were re-permitting they had a major enviro spill so it was 2004 before they got their new permit. But they really haven’t begun operations as yet because of depressed prices. You should go their website, it explains alot of the problems the industry is facing. Another company, US Rare Earths, has extensive deposits of rare earths that have never been mined.