Molycorp and DOE's Ames Laboratory Sign Cooperative Research and Development Agreement on Rare Earth Magnets
Molycorp, Inc. (NYSE: MCP), the Western hemisphere′s only producer of
rare earth oxides, today announced that it has entered into a
cooperative research and development agreement with the U.S. Department
of Energy′s Ames Laboratory. The Molycorp-Ames effort will focus on
developing new methods to create commercial-grade rare earth permanent
magnets.
The collaboration combines Ames Laboratory′s 60+ years of experience in
the critical materials science field with Molycorp′s 58+ years of
experience in developing and commercializing innovative rare earth
processing technologies.
'We are looking forward to a highly successful partnership between
Molycorp and the Ames Laboratory that will incorporate new techniques,
processes, and materials into U.S. supply chains,' said Debra Covey,
Ames Laboratory associate laboratory director for Sponsored Research
Administration.
'This is a significant first step toward a long and mutually beneficial
relationship between these two committed entities,' said Karl
Gschneidner Jr., who will lead the research efforts at Ames Laboratory.
'The Ames-Molycorp partnership will serve to re-energize applied rare
earth research in the U.S., and will begin to ameliorate the current
void in intellectual infrastructure in rare earths by training
undergraduates, graduate, and post-doctoral students and providing them
with research opportunities.?
Ames Laboratory scientists will investigate several compositions of rare
earth materials and processing techniques with the goal of making
permanent rare earth magnets with properties comparable to currently
available neodymium-iron-boron magnets. The material combinations
studied will correspond with the relative concentrations of rare earth
elements in Molycorp′s Mountain Pass mine, using techniques that are
more cost effective and leave a smaller environmental footprint than
current methods.
'For more than 60 years, the Ames Laboratory has sought out solutions to
energy-related questions through groundbreaking research and
development,? said Dr. John L. Burba, Executive Vice President and Chief
Technology Officer of Molycorp, Inc. 'It is my hope that this
cooperative agreement will lead to breakthroughs in rare earth material
manufacture that can advance the state of the art in rare earth magnet
design and manufacture as well as strengthen our nation′s productive
capacity of these and other critical rare earth materials.?
Gschneidner, Vitalij Pecharsky, Ames Laboratory Senior Scientist, and
Dr. Burba will serve as principle investigators on the project.
About Ames Laboratory
The Ames Laboratory is a U.S. Department of Energy Office of Science
national laboratory operated by Iowa State University. The Ames
Laboratory creates innovative materials, technologies and energy
solutions. We use our expertise, unique capabilities and
interdisciplinary collaborations to solve global problems.
About Molycorp
Colorado-based Molycorp, Inc. is the only REO producer in the Western
Hemisphere and currently produces approximately 3,000 metric tons of
commercial rare earth materials per year. Following the execution of
Molycorp's 'mine-to-magnets' strategy and the expected 2012 completion
of Phase 1 of its modernization and expansion efforts at its Mountain
Pass, California processing facility, Molycorp expects to produce at a
rate of approximately 19,050 metric tons of REO equivalent per year. The
Company expects to achieve an annual production capacity by the end of
2013 of approximately 40,000 metric tons of REO equivalent per year
after the completion of Phase 2. Molycorp intends to provide to the
market a range of rare earth products, including high-purity oxides,
metals, alloys, and permanent magnets.
This press release contains forward-looking statements that represent
the Company′s beliefs, projections and predictions about future events
or its future performance. You can identify forward-looking statements
by terminology such as 'may,' 'will,' 'would,' 'could,' 'should,'
'expect,' 'intend,' 'plan,' 'anticipate,' 'believe,' 'estimate,'
'predict,' 'potential,' 'continue' or the negative of these terms or
other similar expressions or phrases. These forward-looking statements
are necessarily subjective and involve known and unknown risks,
uncertainties and other important factors that could cause the Company′s
actual results, performance or achievements or industry results to
differ materially from any future results, performance or achievement
described in or implied by such statements. Factors that may cause
actual results to differ materially from expected results described in
forward-looking statements include, but are not limited to: the
Company′s ability to secure sufficient capital to implement its business
plans; the Company′s ability to complete its Phase 1 modernization and
expansion efforts and Phase 2 expansion efforts and reach planned
production rates for REOs and other planned downstream products;
uncertainties associated with the Company′s reserve estimates and
non-reserve deposit information; uncertainties regarding global supply
and demand for rare earth materials; the Company′s ability to maintain
appropriate relations with unions and employees; the Company′s ability
to successfully implement its 'mine-to-magnets' strategy; environmental
laws, regulations and permits affecting the Company′s business, directly
and indirectly, including, among others, those relating to mine
reclamation and restoration, climate change, emissions to the air and
water and human exposure to hazardous substances used, released or
disposed of by the Company; uncertainties associated with unanticipated
geological conditions related to mining; the success of the
Ames-Molycorp partnership, and other risks discussed in the Company′s
filings with the U.S. Securities and Exchange Commission, including the
Company′s Quarterly Report on Form 10-Q for the period ended December
31, 2010, which filings are available from the SEC.
Any forward-looking statement you read in this press release reflects
the Company′s current views with respect to future events and is subject
to these and other risks, uncertainties and assumptions relating to the
Company′s operations, operating results, growth strategy and liquidity.
You should not place undue reliance on these forward-looking statements
because such statements speak only as to the date when made. The Company
assumes no obligation to publicly update or revise these forward-looking
statements for any reason, or to update the reasons actual results could
differ materially from those anticipated in these forward-looking
statements, even if new information becomes available in the future,
except as otherwise required by applicable law.
Photos/Multimedia Gallery Available: http://www.businesswire.com/cgi-bin/mmg.cgi?eid=6664766&lang=en
Molycorp:
Jim Sims
Director of Public Affairs
+1
(303) 843-8067
jim.sims@Molycorp.com
or
Ames
Laboratory:
Breehan Gerleman Lucchesi
Ames Laboratory
Public Affairs
+1 (515) 294-9750
breehan@ameslab.gov