Posted on 03/06/2020 9:37:20 AM PST by weston
The gavel is coming down on Mountain Pass tomorrow, as the only producing rare earths mine in the United States goes up for auction.
The California mine formerly owned by Molycorp closed in 2015, when the Colorado-based company, once valued at $6 billion, went bankrupt.
According to Wyoming Business Report there are two rival groups bidding for the mine: ERP Strategic Minerals, Swiss private equity firm Pala Investments and Peak Resources (ASX:PEK), an Australian rare earths company. The other potential buyer is a group of Molycorp’s creditors including QVT Financial of the US and Chinese rare earths mining company Shenghe Resources.
ERP Strategic Minerals was selected as the “stalking horse bidder” by the Chapter 11 trustee for Molycorp Minerals LLC, a unit of Molycorp, at the end of April. A stalking horse bidder is the first bidder to make a bid out of a bankruptcy.
Mountain Pass was the only rare earths mine operating in the United States, before it went bankrupt in 2015 – a victim of low rare earth oxide prices. At the time Molycorp listed $1.7 billion in debt. Through bankruptcy proceedings Molycorp was restructured, allowing it to receive $130 million in debt financing.
Molycorp then moved Mountain Pass into care and maintenance, while continuing to serve customers through its production facilities in Estonia and China.
Mountain Pass was expected to be America’s flagship source of rare earths. In 2010 Molycorp sensed an opportunity to capitalize on reduced rare earth oxide exports from China – which supplies about 90 percent of the world’s rare earth minerals – which had caused the prices of REOs to spike. When China subsequently relaxed export rules, however, prices fell, leaving Molycorp to pay the bill for a $1.25 billion state-of-the-art processing facility.
Hit by lower rare earth prices, Molycorp warned it might not have enough money to remain in business. Three months later, it filed for chapter 11 bankruptcy protection.
https://www.mining.com/producing-u-s-rare-earths-mine-goes-block-tomorrow/
I remember keeping up with this when it was having troubles. Because of the cost of regulations, especially being in California, they couldn’t compete with China’s low prices. So when they were put out of business, China increased their prices.
Excuses!! Excuses!!!
I didn't forget that you admitted you were a blond, or was that used to be?
I read a lot when I’m in...also watch movies. Last Spring I stayed pretty much in the house for over a month sick and double vision. I was just happy to be alive. At least today I can enjoy reading my books. God is great!
U.S. NEWS 5.7-magnitude earthquake shakes Salt Lake City, Utah, and surrounding areas
I saw that - great job by the President (as always).
https://twitter.com/lookner/status/1240412476329603077?s=21
The U.S. Congressman who tested positive for coronavirus participated in House votes on Friday 3/13, one day before he developed symptoms
I should think an AMERICAN company would be the only one who be allowed to buy the mine.
Just as Nancy says,
Testing, Testing , Testing you kids.
LOL was born blonde, bottled dark blonde now.
>>>Which county is Milpitas.? My cousin lives there.
Santa Clara county
Thank you
California - Napa, YOLO, and San Luis Obispo counties, and the city of Fresno, are the latest areas to issue “shelter-in-place” orders.
I read a lot also, mostly news and then I still can’t keep up!
AZ..De...one Republican..one Democrat..tks
I balance with fiction.
Schweikert (R-AZ) currently represents Arizona’s 6th congressional district, which includes most of northern Phoenix as well as Scottsdale, Paradise Valley, and Cave Creek.
I find it very weird that only pubbies have been exposed and are having to quarantine, so very strange.
Someone brought it into CPAC hoping to wipe out conservatives.
https://www.cdc.gov/coronavirus/2019-ncov/cases-updates/cases-in-us.html
Cases in U.S.- CDC
Updated March 18, 2020
This page will be updated regularly at noon Mondays through Fridays. Numbers close out at 4 p.m. the day before reporting.
Good site. Thanks for posting.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.