Rare Earth Investors: Molycorp, Neo Material Deal Could Spark Major Rally

A significant development has arisen in the rare earth sector which is entering into a new global orbit.  With one revolutionary move Molycorp (MCP) and Neo Materials Technologies (NEM.TO) makes a dramatic step into The European, Asia and North American regions.  Gold Stock Trades is talking bread and butter here and not pie in the sky.  For weeks we have called for a major move in the rare earth stocks and how demand is unstoppable.  Well, today we are witnessing a major catalyst for the sector as it may be completing the bottoming process.

The gauntlet has been thrown directly in the face of the Chinese as a challenge to their world domination of the control of the rare earth hegemony.  Cutting to the chase, Molycorp is getting Neo Material’s processing technologies and Neo Material no longer requires the light rare earths from China and now has access to Mountain Pass.

The story for our subscribers does not end there.  Implicit, in the “marriage contract” in what may be regarded as the initial opening plan of attack.  The next phase may well be the realization that the all important “heavy rare earths” are significant by their absence.  This is the syndrome of “the dog that did not bark”.  The heavies may represent the jewel in the crown of the entire equation.

Technical analysis reveal that the rare earth sector is bottoming as well as our other carefully chosen sectors.

We have predicted for some time that the heavy rare earth assets with decent infrastructure and strong support would be the place to be.  Today, that vision is beginning to be realized.

See The Video Below on Gold, Silver, Rare Earths and Uranium.

Check out my recent interview with Tasman CEO Mark Saxon discussing the recent progress on metallurgy on its Norra Karr project in mining friendly Sweden announced on 2-9-12.  Click here to read the press release.  Tasman recently released encouraging metallurgical results and should soon publish a Preliminary Economic Assessment (PEA) which may come to the notice of Moly-Neo. It’s a large HREE project—the fourth-largest HREE element project in the world and the only NI-43-101-compliant REE mineral resource in mainland Europe.

Disclosure: Long TAS
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