This article on Rare Earths touches on lot facts / details that expose the stupidity of the environmental / liberal rush to “Green Energy” to avoid use Oil imports from countries hostile to US who exploit price! Like everything environmental it is more hype & hyperbole than factual.
As article mentions 97% Rare Earths now come from China who isnt afraid to use it as political weapon (case Japan & Chinese fisherman spy fall 2010). US at one time was worlds leader but our Government allowed it to be undercut by China’s advantages like its pegged currencies/no requirement environmental investment or regulation – major deal here where China criminal gans operate mines/China government subsidy for Refineries-Fuel-many sectors.
If you don’t recognize the “Rare Earths” name or their link to “Green Energy” – article spells out several of 17 elements for you like: Lithium/Lanthanum/Cerium/Neodymium which are required to make batteries/fuel cells/catalysts for the hybrid & electric cars that are to free us from “Evil Oil and Opec imports” – given 100% now comes from China & Russia to this sector think I will stay with OPEC thank you because even Oil at $147/Bbl hasn’t risen +650% that Cerium Oxide has!
The same goes for all other “Green Applications” – Wind Turbines, thin film Solar, LED’s and high performance batteries all tie back into these Rare Earths …… not to mention most like Wind Turbines are ~mfg in China because of its edge on cost with Rare Earths on-top of all other advantages perviously mentioned (which by the way violates China WTO requirements to be member).
And then there is still the Cell Phone & all military applications for modern day war (radar/missile guidance/navigation & night vision goggles/drone technology) – and these are 97% controlled by China & Russia?
Anyone remember how outsourced producer Finland compromised Persian and/or Iraq war because it wouldn’t release US chips needed for SCUD’s / Cruise Missiles (See article on US Strategic Myopia)?
Nothing should move in the “Green Energy” sector until mines like Molycorp’s Colorado mine gets cranked back up & our supply Rare Earths get back to parity with demand – what conditions & demands these Green/NIMBY/Environmental/Liberal idiots have for Oil should apply DOUBLE for any new unproven/costly replacement. We at least have 50% Oil demand from domestic production & nearly 2/3 imports from neighbors like Canada, Mexico & Venezuela.
And BTW – beware of a Molycorp stock investment until its capability rises to current speculated over-value, because fundamentals / finance sheets don’t match up.
Regards
