Molycorp shares jump on China’s denial it interfered with rare earth prices • Shares of Greenwood Village-based Molycorp rose more than 8 percent Wednesday after China denied it was interfering with rare-earth prices, saying increases reflected higher customs costs and demands by foreign companies for better-quality products. China, which exports most of the world’s rare earth supplies, also challenged foreign estimates of its resources, saying it has just 23 percent of world totals, not the 36 percent that the U.S. has estimated.
China’s state economic planners are considering ways to reshape the country’s program of stockpiling strategic materials and could include metals such as rare earths in the program, according to sources. The lingering uncertainty around Chinese exports sent Molycorp’s shares up nearly 9 percent to close at $22.43 on the New York Stock Exchange. Molycorp is in the process of modernizing and reopening the Mountain Pass rare earth mine in California, which is expected to come online later this year.
China produces more than 90 percent of the world’s supply of rare earths, essential for everything from smartphones to LED screens.Reuters
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