EDITOR: | July 24th, 2019

Avalon Advanced Materials on rare earths and critical materials in North America

| July 24, 2019 | No Comments
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With China producing 70%+ of the world’s rare earths and most rare earth based magnets, US President Donald Trump has ordered the Department of Defense to develop and purchase equipment to boost output of the magnets for use by the U.S. military through a Presidential Determination intended to integrate rare earths into the Defense Productions Act of 1950. This was published on the White House site on July 22, 2019 under the heading Presidential Determination Pursuant to Section 303 of the Defense Production Act of 1950, as amended.

When asked to respond to President Trump’s recent announcement Don Bubar, President, CEO and Director of Avalon Advanced Materials Inc. commented: “President Trump is providing some much needed leadership toward creating new rare earths supply chains outside China. Unfortunately, the private sector was unable to achieve this independently 8 years ago during the first rare earths supply crisis. Proactive US government support will help ensure that it happens this time.”

Rare earths are key components in most electronic devices and hence the US defense

Avalon Advanced Materials

Avalon Advanced Materials Inc. (TSX: AVL | OTCQB: AVLNF) is a mineral development company focused on metals and minerals for use in clean energy and new technology. Avalon’s most advanced project is the Nechalacho Rare Earth Elements Property. All their projects are in Canada.

Avalon’s projects

  • Nechalacho Rare Earth Elements Property (At Thor Lake, Northwest Territories, Canada). A rich polymetallic rare metals resource, with potential for economic recovery of the heavy rare earth elements, neodymium, praseodymium, lithium, zirconium, beryllium, niobium and tantalum. Feasibility Study completed in 2013.
  • Warren Township Anorthosite Project (100 km west of Timmins, Ontario). The tenement hosts a significant resource of high purity anorthosite, consisting of up to 98% high calci
  • um plagioclase feldspar. The PFS was completed in 2003.
  • East Kemptville Tin-Indium Project (45 km northeast of Yarmouth, Nova Scotia). PEA completed in 2018.
  • Separation Rapids Lithium Project (70 km by road north of Kenora, Ontario). The Separation Rapids deposit is one of the largest “complex-type” lithium-cesium-tantalum pegmatite deposits in the world, unusual in its enrichment in the rare, high purity lithium mineral petalite. PEA completed in 2018.
  • Lilypad Cesium Property (150 km northeast of Pickle Lake, Ontario). Exploration stage with cesium-lithium-tantalum mineralization.

Projects location and summary

Avalon’s project pipeline

Nechalacho Rare Earth Elements Property (FS completed)

In recent news Avalon Advanced Materials has entered a collaborative development agreement with Cheetah Resources on the Nechalacho Rare Earth Elements Project. With a focus on magnet rare earths, this innovative collaboration model, alongside Cheetah, allows for the rapid initial development at a small pilot scale, with low capital requirements and minimal environmental impacts. Once it has been established as a reliable long term source for rare earths, the business can then grow to become a new North American supply chain source.

In conclusion, Avalon Advanced Materials offers investors a diverse critical metals and minerals property portfolio in the safe jurisdiction of Canada. There is excellent exploration upside with exposure to the key magnet rare earths neodymium, praseodymium. Added to this are lithium, tin, indium, tantalum, niobium, zirconium, and cesium.

Avalon Advanced Materials is headquartered in Toronto, Canada; and has a market cap of C$ 17 million.


Matthew Bohlsen

Editor:

Matthew Bohlsen is a Senior Editor for InvestorIntel.com. With a Graduate Diploma in Applied Finance and Investment (similar to CFA), and a Graduate Diploma in ... <Read more about Matthew Bohlsen>


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