Rare Earth Minerals (REM)

RARE EARTH MINERALS (REM)

INTRO
(Alison in black leather and dark eyeliner dancing around and throwing very big, backcombed hair around in Rock chick style....
She stops and looks at the camera before holding up a large stone..)

“I’ve always been into heavy rock”

DESK
Any mining investor worth their salt would have caught wind of rising rare earth metal prices of late.
And that includes music businesses apparently.
In November last year, Rare Earth Minerals was borne out of loss-making music business Zest Group, after the board made the bold decision to change tack, from heavy metal to rare metal.
It was a move that paid off and the company’s share price quadrupled by the end of the year.
Rare earth elements are 17 naturally occurring metallic elements used to improve the performance of everything from mobile phones to hybrid cars.
In the past decade, their use has doubled.
But despite their name, rare earth elements are not actually all that rare. In fact the the British Geological Survey put their natural abundance on the same level as copper or lead.
Traditionally, the market has been dominated by China and geographical surveys show it holds 37% of the world’s estimated reserves, allowing it to cause several price spikes by reducing exports.
But explorers are happily looking elsewhere, including Russia, Australia, India, Brazil, the US, Malaysia and most recently, Japan.
In July this year scientists there discovered huge deposits, immediately reducing concerns about supply and demand.
Our intrepid explorer, Rare Earth Minerals, has declared that it will consider investment opportunities anywhere in this world.
To this end, it announced in May that it had agreed to acquire interests in five claims in Saskatchewan, Canada.
The claims are situated in the Midjatik domain, an area which has seen several periods of intensive exploration activity and has revealed interesting mineral showings.
Under the agreement with the individual vendors named the Cup Lake Syndicate, the company stands to earn up to a 51% interest in the properties, are paying a cash settlement of $50,000 and absorbing exploration expenditures of at least $30,000 within three months.

STATS PACK
To boost its coffers, the company raised £2.1 million through a share placing last month, placing a total of 300 million new shares.
The company racked up pre-tax losses of £196,000 for the six months ended 31 March.
Shares currently cost around 0.5p up from a 52-week low of 0.1p last July but lower than the 52-week high of 1.77p reached last December.