Week-in-Review: Rare Earth sector hits 52-week low and investors pencil in Graphite winners
The REE Leaders Index (Bloomberg Ticker: REEL) was down -2.56% (312 to 3014) for the week closing on Friday, November 22, 2013. I called the market bottom earlier this year in July, but clearly as Jack Lifton pointed out in his compelling argument on the value of rare earths and other technology metals in his piece yesterday – I too, was wrong. In fact, 304 is the 52-week REEL low for the top 15 trading rare earth stocks from a 52-week REEL high of 702 on January 7th — the rare earth sector is down 57% from the year’s REEL high. Already down -13.88% for the month, who is going to rally and lead in this correction?
Jack Lifton writes: “In the history of the world technology has never taken a step backwards. Do you want to bet that will be reversed anytime soon? Those nations that do not encourage long term investments in the production, refining, and fabrication of technology metals will not be high tech consumer product producers much longer.”
The InvestorIntel Rare Earths & Critical Materials members’ average was down -6.01% for the week, but it seems the Americans are leading the recovery charge with Texas Rare Earth Resources Corp.’s OTCQX: TRER up +17.78% and U.S. Rare Earths Inc.’s OTCQB: UREE up +10.20%. Combine in rising tensions between China, Japan and the East China Sea and as Dan McGroarty writes this weekend – rare earth rising price déjà vu all over again?
Texas Rare Earth Resources Corp. has been updating shareholders regularly and they are responding favorably proving that it’s not absence that makes the heart grow fonder. On November 20th Texas Rare Earth Resources announced results from column leach tests conducted by Resource Development Inc. for its Round Top Project and reported significant lithium and beryllium recoveries.
Additionally this last week they announced (November 19th) that Dr. Nicholas Pingitore, a board member and Professor at the University of Texas at El Paso’s Department of Geological Sciences, will present two posters featuring the Company’s Round Top Project at the 46th Annual Fall Meeting of the American Geophysical Union in San Francisco, California. Then they followed this up with an announcement on the 21st that TRER’s Chairman Anthony Marchese will present at the Sixth Annual LD Micro Conference taking place on December 3-5, 2013 in Los Angeles, California.
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While U.S. Rare Earth didn’t have any news this last week, it was just the week before last on November 13th when they announced that assays from surface channel sampling, returned Total Rare Earth Oxide (TREO) grades as high as 10.3% with Critical Rare Earth Oxide (CREO) grades running between 1.4 % and 1.2 % in a known eighteen by four mile mineralized trend in its North Fork properties.
InvestorIntel Rare Earths & Critical Minerals Week-in-Review:
I am writing this week’s column from the Graphite & Graphene Summit here in NYC and I am looking forward to updating you on this sector from the group gathered here. This spotlight is timely as InvestorIntel Graphite & Graphene members’ average were up +13.11% last week.
Lomiko Metals Inc.’s OTCQX: LMRMF moved up+45.33% while their TSXV: LMR was up an equally impressive +22.22%. What did they do right? On November 22nd Lomiko Metals announced formation of Graphene 3D Labs Inc. to focus on the development of high-performance graphene-enhanced materials for 3D Printing. Dr. Daniel Stolyarov of Graphene Laboratories Inc. was appointed CEO and Dr. Michael Gouzman, a leading expert in 3D Printing, was appointed VP of Engineering and Technology. Our audience and anyone watching tech is interested in 3D printing.
Mason Graphite Inc.’s OTCQX: MGPHF was up +21.81% and TSXV: LLG moved north +20.97% this last week on no news. This said Mason has had well known Jim Rogers and Larry King publicizing Mason’s strong and experienced management team recently in interviews that is attracting interest and they just started trading on the OTCQX earlier this month (November 12th).
Zenyatta Ventures Ltd.’s TSXV: ZEN was up +13.91% and OTCQX: ZENYF moved +13.66%. Speaking of leadership, on November 19th Zenyatta Ventures announced the appointment of Dr. Bharat Chahar to position of VP Market Development with responsibility for advancing marketing opportunities for the unique High Purity graphite products from the Company’s 100 percent owned Albany Deposit located in north-eastern Ontario, Canada.
Nouveau Monde Mining Enterprises Inc.’s TSXV: NOU rose +13.64% on no news, but the November 6th metallurgical results from its Matawinie graphite property has garnered interest from the graphite audience.
Flinders Resources TSXV: FDR was up +5.26% again this last week and has been moving on the Woxna Graphite Project production plan news approved less than 2-weeks ago by their Board on November 14th. Here is the InvestorIntel’s Graphite & Graphene week-in-review:
An accomplished entrepreneur and corporate finance professional, Tracy Weslosky is the CEO for InvestorIntel Corp. and the VP of Business Development for Bellotti Capital Partners ... <Read more about Tracy Weslosky>