Quantum CEO Sees China's Rare Earth Restrictions as Opening for Obama to Act

Discussion in 'China' started by huaxia rox, Jun 25, 2011.

  1. huaxia rox

    huaxia rox Senior Member Senior Member

    Apr 4, 2011
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    VANCOUVER, BRITISH COLUMBIA, Jun 24, 2011 (MARKETWIRE via COMTEX) -- Quantum Rare Earth Developments Corp. /quotes/zigman/589180 CA:QRE -1.85% (otcqx:QREDF)(frankfurt:BR3) -

    "President Barack Obama should counter China's actions and move aggressively to set up a U.S. stockpile of rare earth materials," said Peter ****ie, CEO of Quantum Rare Earth Developments Corp. ( http://www.quantumrareearth.com/ ).

    "China's activities go far beyond a wake-up alarm. The time to act is now," ****ie said. "The combination of a crackdown on mining activities in China and that country's own stockpiling are causing chaos in markets for rare earths, which are vital to high-tech industries. We can't have just one country, China, producing 97 percent of the world's rare earths without a strong response to ensure North American supply."

    Quantum currently is conducting drilling operations in southeastern Nebraska, in the Elk Creek community, to determine the extent and composition of both niobium and rare earth elements ("REE's"). Recent tests have shown that a large deposit of niobium exists on the project area, and Quantum is hopeful that previous drill results on REE portions of the property, such as Drill hole EC-93: 155.5 metres of 2.70% Total Rare Earth Oxides ("TREO"), including 54.9 m of 3.30% TREO can be successfully followed up on through the current drilling campaign.

    Niobium is used as a steel hardener for high-strength, low-alloy steel, including 'super alloys' for aerospace and defense industries, and as a steel hardener in natural gas pipelines. It is also used in high-tech magnets, included those in MRI machines. The U.S. government considers niobium to be a strategic metal.

    The United States Geological Survey (USGS) has stated, "The Elk Creek carbonatite, located south of Lincoln (Nebraska), has the potential to be one of the largest global resources of niobium and rare-earth elements (REE)."

    Quantum also supports activities in the U.S. government and Congress to strengthen the nation's rare earth materials security, including the National Strategic and Critical Minerals Policy Act of 2011, legislation by U.S. Rep. Doug Lamborn (R-CO). The bill directs the Department of the Interior to coordinate a government-wide assessment of the nation's mineral resources and availability for critical mineral needs.

    In addition, Quantum has also voiced its strong support for a provision in the Fiscal Year 2012 U.S. defense authorization bill that directs the Department of Defense to set up an inventory of rare earth materials and supply sources. The language was authored by Rep. Mike Coffman (R-CO).

    On Behalf of the Board,

    Peter ****ie, President, CEO

    "Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release."

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