are better than Mountain Pass, which is a hard fact."

Marong Zhang also pointed out that the above analysis has not been considered by the Chinese rare earth export quotas and export tariffs effect "when considering these two factors, the domestic rare earth products in the international market to increase the cost of about 20%."
But Zhang said the Mountain Pass mine in Bayan Obo ore reserves only "a few tenth", "partition on Mountain Pass Baiyunebo nor worse than that." In addition, although the Bayan Obo mine cut-off grade is low, but the "highest grade can reach 17% to 18%, some even higher," "no matter which side, are better than Mountain Pass, which is a hard fact."
He also cited the company's publicly available data Linus: Linus annual capacity of 22,000 tons, the product cash cost of 14-15 USD / kg (oxide), equivalent to about 90,000 yuan / ton, but only when the company put into production, the cost can be further reduced. "But all of production now seems elusive. 90,000 yuan / ton light rare earth ore, and domestic enterprises, especially the Baotou Rare Earth, compared to a lot higher." Zhang said.
A rare earth industry experts said Bayan Obo mine also has the advantage that it can be "mined with iron", which is very rare, and almost all foreign rare earth ore is rare for a single product items. "Is equivalent to the refining of rare earth iron waste of Baotou Steel Group is concerned, is tantamount to 'recycling' low cost is normal."
The expert told reporters, "but other Chinese rare earth mining business costs, can not follow the conditions of the Baotou Rare Earth to count." He believes that Marong Zhang and Zhang is not the same angle of the station, "are justified."
Many projects to China
Looking for partners
"If in 2011 the stock market last longer some more projects abroad early on. ...... Now the price, foreign to continue to overweight (capacity), or will first consider what is."
"If in 2011 the stock market last longer some more projects abroad early on." The expert said, "Now the price abroad to continue to overweight (capacity), or will first consider what is."
Since last year, the global economic slowdown, also downstream rare earth industry downturn, coupled with soaring prices of rare earth in 2011 really made application of rare earth enterprises to eat boring boxing, rare earth prices has basically come down to the level of the initial price.
"June 2011 is the highest point of rare-earth prices, the profit level reached the highest value product now withering profit margins, the tungsten carbide plate price level for Chinese enterprises, there is a certain profit margin, for foreign rare earth project is difficult for the Relay. "Zhang said some foreign in the exploration phase of the project most difficult, a lot of projects to China looking for partners.
Zhang analysis, due to oversupply of light rare earth products, especially products of lanthanum and cerium, in the current price trend, the large-scale expansion will further squeeze profit margins.
Cost and price of course is to determine the main factors of production, but experts have warned that the rare earth industry, and foreign difference is that Chinese enterprises is not enough emphasis on sustainable development.
"Everybody says that some foreign ore before discontinued because of cost competition, but China, environmental costs far higher than China, etc. But I think, if not profitable, not mine so many years ago, after all, is not environmentally friendly from 2002 (Note: Mans Pass mine shut down in 2002) began. "he said.
"Since the (Chinese) have cheap rare earth, why do I still mined? Keep for future re-sell it more expensive!" He said, "like rare earths such resources, will certainly keep price increases because it is not the same and iron , are non-renewable, recycling is only part not 100% recycled. "
Policy is difficult to break
The scope of the 12th Man
Continue to join the ranks of rare earth industry, the company will intensify competition in the market worldwide, "the world's rare earth price war is inevitable."
June 2012, the State Council Information Office published entitled "China's rare earth conditions and policies," the White Paper: "23% of China's rare earth resources to bear more than 90% of the world market supply." Meaning behind this statement is that China at the same time in the development of rare earth industry, the need to protect resources and the environment to the position of the premise.
When the project started abroad increased supply, obviously, the entrepreneur himself.