Today’s news comes out of the good ol’ United States of America. One pretty interesting subject here is Molycorp and their Mountain Pass rare eath plant.
The Mountain Pass rare earth mine in California has been shut down with no forseeable date for restart. The area is being put into “care and maintenance” by Oct. 20 which is shocking considering Mountain Pass was thought of as America’s flagship source of rare earths. The company has not turned a profit since 2011 and rare earth prices have constantly declined over the past 4 years; Molycorp decided to file for chapter 11 bankruptcy protection in March. In the last 3 months, the stock has lost 80% of its value.
It’s sad that stories like these are not uncommon, however, Evans Equipment believes that every fall in the market is answered by a rise. Hopefully that said rise is around the corner and shows up sooner rather than later!
*All information for this story was taken from mining.com or wsj.com.