VANCOUVER, BRITISH COLUMBIA--(Marketwired - March 23, 2017) - Canada Rare Earth Corp. (TSX VENTURE:LL) ("Canada Rare Earth" or the "Company") is pleased to announce increasing momentum in its concentrate trading business.
The Company has entered into the next set of hedged contracts to purchase and sell 310 metric tons of rare earth concentrate with locked in gross profits. This volume of concentrate is twelve times the amount currently in international waters and scheduled to arrive at our customer's selected port in early April, 2017.
Peter Shearing, Chief Operating Officer of Canada Rare Earth explained, "we are confident of the ongoing buying we have arranged and we are driving to secure immediate, dependable supply meeting the specified criteria (price, quantities and array of rare earths) in the order of 300 metric tons to 500 metric tons per month on an ongoing multi-year basis."
Canada Rare Earth is also developing sources to supply medium and longer-term needs such as providing feedstock to the Company's prospective proprietary rare earth processing plants. These facilities are designed to produce and supply high quality and high purity rare earth products such as individual oxides, metals and custom products especially to the non-China market.
Peter Shearing continued, "regarding the second set of contracts, 272 metric tons of concentrate are scheduled to leave the mine sites within seven days, be loaded on a vessel on April 7, 2017 and arrive at the ultimate buyer's selected port in mid-May 2017. The balance of 38 metric tons is being completed and will be shipped near the end of April 2017 along with product for a third set of transactions we are negotiating with the same supplier."
Tracy A. Moore, Chief Executive Officer of Canada Rare Earth remarked, " we are thrilled with the trading momentum we have established so far and are building on it to establish a robust and consistent supply to our customer. The current set of orders will generate over $500,000 of revenues with determined gross profits and cash flow for our Company."
Canada Rare Earth is developing an international integrated business within the global rare earth industry. Our 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.
