Buried treasure

The new discovery of a rare earths deposit in Canada has the potential to revolutionize this restricted market. There has been intense interest in rare earth elements (REE) ever since September 2010, when the Chinese government declared plans to restrict exports. With China producing virtually all of the traded rare earths, the announcement caused grave concern to manufacturers dependent upon their supply. The decision to restrict REE exports instigated intense global activity to find and develop alternative resources, from Australia to Canada. Driven by escalating prices - particularly for the heavy REEs, which command tenfold higher prices - a number of companies either have or are in the process of raising capital. REEs, like other rare metals, such as tantalum and niobium, are found in geological settings that enable them to pass through from the mantle where they are enriched, through the crust to the surface.