US Australia ambitious project to create a supply chain for Rare-Earth Metals.
                     US AUSTRALIA AMBITIOUS PROJECT TO CREATE 
A SUPPLY CHAIN FOR RARE-EARTH METALS
INTRODUCTION
• The U.S. and Australia have launched an ambitious project to create a 
supply chain for rare-earth metals.
• The project does not involve China, an effort that has drawn strong 
market interest but could face cost obstacles.
Source: Mining.com
CONTRACT
• Australian rare-earth mining company Lynas announced that it 
has signed a first-phase contract with the U.S. Department of 
defence to build a Texas processing facility.
Source: Asia Review
FUNDING
• Lynas and American partner Blue Line will build a facility for such 
heavy rare earths as dysprosium, used in magnets.
• The funding from the Defence Department will go toward "a detailed 
market and strategy study plus detailed planning and design work" 
for the facility.
Source: Mining.com
OPPOSING CHINA
• It is a great deal to be able to have a heavy-rare-earth production 
facility outside China.
• Chinese producers have a big competitive advantage in separation 
and refining technology, as well as in production costs.
Source: South China Post
RARE EARTHS
• Rare earths are 17 elements, classified into heavy and light categories 
by atomic weight. 
• Supplies of heavy rare earths are especially dependent on China, 
whose market share is thought to reach 90%. 
Source: Mining.com
COST
• A heavy-rare-earth project got off the ground in France, according to 
Shimizu, only to be later abandoned over such issues as cost. 
• Lynas' plant in Texas is expected be the sole project of its kind not 
financed with Chinese money.
Source: Macdonald
NATIONAL SECURITY
• High performance magnets are found in military-vehicle motors. 
• In the interest of national security, the Pentagon looks to secure a 
rare-earth supply chain that excludes China.
Source: Brooking Institutions
TRADERS
• Commodities traders have likened mining heavy rare-earth metals to 
buying an entire cow just for the sirloin. 
• The light rare earth neodymium had a spot price of about $55.20 per 
kilogram in July, against $344.40 for dysprosium.
Source: Finance Magnates
HALF A TONNE OF RARE EARTHS
• Australia’s defence capability is affected through the staged purchase 
of F-35 Joint Strike Fighters from US, which have been reported to 
contain around half a tonne of rare earths.
Source: Calixin global
RARE EARTHS CONTROLLED BY CHINA
• China controls at least 80 per cent of the global trade in rare earths 
and has threatened to slash exports in retaliation for US President 
Donald Trump levying fresh tariffs against Beijing.
Source: CNN.com