Arafura MD on the rekindling of market interest in the looming rare earth shortage
Gavin Lockyer, Managing Director of Arafura Resources Ltd. (ASX: ARU) (“Arafura”) in an interview with InvestorIntel CEO, Tracy Weslosky discuss the global rare earths market and more specifically, the rising demand for magnetic metals neodymium (Nd) and praseodymium (Pr). Discussing increasing demand for more efficient lithium batteries in motor vehicles, Gavin explains how rare earth magnets are required in the motors to make them efficient. Having just completed a $1.6 million capital raise that is being focused on Arafura’s feasibility study, Gavin provides an update on Nolan’s NdPr pilot program in Northern Australia.
Tracy Weslosky: It seems like there seems to be a rekindling of interest in the looming rare earth shortage. What do you think is happening right now?
Gavin Lockyer: I think there is many things going on. We are seeing the effects of the Chinese consolidation of the industry really starting to impact on supply and that has had a flow through impact on the NDPR our price in particular which has been well received by the markets. We are also starting to see that the Chinese are actually using more and more of their own domestic production for Chinese magnet manufacturing. This is going to start putting some real pressure on the rest of the world in the next few years. We are starting to see ourselves a bit of a renewed interest in the whole technology metal space.
Tracy Weslosky: In the last month Gavin we have noticed you have had an onslaught of basically news releases. One news release after another, every other day it is Arafura. Of course, your stock price is really getting the support from the shareholders. Can you talk to us about your recent private placement announcements and what you are planning on utilizing the funds for? …for the rest of the interview, click here
Disclaimer: Arafura Resources Ltd. is an advertorial member of InvestorIntel Corp.