U.S. Government Investing In Rare Earth Mining Stocks
Jeb, the U.S. Department of Defense (DOD) recently took the unusual step of contracting with Ucore Rare Metals Inc. (UCU:TSX.V; UURAF:OTCQX) to conduct a mineralogical and metallurgical study on the company’s Bokan Mountain heavy rare earth element (HREE) property in Southern Alaska. Tell our readers why that matters.
Jeb Handwerger: It matters because the DOD is now a huge potential partner for Ucore. After researching and studying all domestic rare earth element (REE) assets, it identified the company’s Bokan Mountain project as the key HREE resource. It put a stamp of approval and credibility on Ucore as the primary resource for its domestic supply chain.
What this means for UCU investors is obvious. It can be seen in Ucore’s stock price and volume and the way that it’s performing against all other REE miners, recently hitting new 52-week highs on very strong volume. This at a time when the Market Vectors Rare Earth/Strategic Metals Exchange-Traded Fund (REMX:NYSE.A) and many of the other larger REE miners are hitting 52-week lows (see chart below). The stock action is a huge testament to the value and credibility of what the Ucore management team has done to develop the Bokan property so far. By the way, the DOD could eventually become an ideal offtake partner for Ucore.
Read the full interview by clicking here…