Corporate Update - August 31, 2018
Canada Rare Earth – In the Business of Rare Earths - Corporate Update - August 31, 2018
Canada Rare Earth Corp. (“Canada Rare Earth” or the “Company”) (TSX.V: LL) is developing an international rare earth business based on our commodity-trading platform and our unique connections to existing and planned rare earth processing facilities.
Important achievements over the most recent two months include:
Strategic Relationship with Talaxis Limited
Our strategic and financing relationship with Talaxis Limited (“Talaxis”), a wholly owned subsidiary of the large Asian-based commodity trading company, Noble Group, continues to gain momentum on a number of fronts including:
- building supply volumes from existing and prospective sources in Asia, Southeast Asia, North and South America, and Africa;
- leveraging the Noble Group’s global network of commodity providers;
- completing our first purchase from Talaxis and simultaneously closing on the hedged sale to a major customer (scheduled for the week of September 3, 2018); and
- Talaxis acquiring an initial 3.4% equity position in the Company through the conversion of $300,000 of its debt into shares and warrants.
Rare Earth Supply Chain
We currently have over 400 metric tons of inventory in our supply lines and a further 150 metric tons of raw materials about to enter the supply chain.
We recently completed the sale of a test order with a major North American based organization. We understand the results are favourable and are expected to lead to larger orders in the near future.
Rare Earth Production – Enhancement and Separation
We have two key initiatives underway for establishing proprietary enhancement and separation facilities:
- Laos – we co-facilitated several tours by government officials and bureaucrats to a similar, existing refinery and continued to exert pressure on the approval process for the Laos refinery; and
- A new opportunity has been presented to us that is similar to but larger than the Laos refinery and is scheduled for completion and commencement of operations in mid- 2019. We have commenced discussions.
We are also in early stage discussions for two other proposed refinery projects.
Financing for Capital Projects and Working Capital
About Canada Rare Earth Corp.
Canada Rare Earth is developing an international integrated business within the global rare earth industry. Our immediate key focus is to generate revenues and positive cash flow from a variety of profit centres in the rare earth production and sales chain by sourcing, adding value and selling rare earths in all stages and forms. We are in the process of establishing our own mining, concentrating and refinery capabilities in addition to working with affiliated and third party organizations.
On behalf of the Board
Tracy A. Moore, CEO and Peter Shearing, COO
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. Forward-looking statements in this release are made pursuant to the ‘safe harbour’ provisions of the Private Securities Litigation Reform act of 1995. Investors are cautioned that such forward-looking statements involve risks and uncertainties.
For more information on the Company, interested parties should review the Company's filings that are available at www.sedar.com.
FOR FURTHER INFORMATION PLEASE CONTACT:
Tracy A. Moore
Chief Executive Officer
Chief Operating Officer
Tel: (604) 638-8886