South Africa rare earths mine hopes for boost from US-China feud
2019-08-29 10:09:19 [Print]
The Steenkampskraal Mine may be about to become piping hot mining property thanks to some of the world's highest-grade deposits of rare earth metals.
The mine, located about 350 kilometres (220 miles) north of Cape Town, used to produce thorium, a component of nuclear fuel, in the 1950s and 60s. But now it's been found to also have monazite ore which contains extremely high grade rare earth minerals including neodymium and praseodymium -- elements vital to cutting-edge industries.
"Steenkampskraal will become a very important source of rare earths for the global industry," said Trevor Blench, chairman of Steenkampskraal Holdings Limited.
China produces the largest share of so-called "tech minerals", with a domestic output of 120,000 tonnes in 2018. That's vastly more than the United States, which relies on China for about 80 percent of its rare earth imports. But now Beijing has threatened to cut off the supply as trade frictions mount, prompting US President Donald Trump on July 22 to give the Pentagon an executive order to find other sources of the crucial elements.
Steenkampskraal Mine could just be the answer to growing demand, Blench suggested.
"We have an abundance of rocks in which rare earth elements are found," Mosa Mabuza, CEO of the Council for GeoScience, which surveys mineral deposits.
Steenkampskraal has secured all the licences required to start mining. It plans an initial production of 2,700 tonnes a year once funding of $50 million (45 million euros) has been secured, with further plans to expand.
The mine, located about 350 kilometres (220 miles) north of Cape Town, used to produce thorium, a component of nuclear fuel, in the 1950s and 60s. But now it's been found to also have monazite ore which contains extremely high grade rare earth minerals including neodymium and praseodymium -- elements vital to cutting-edge industries.
"Steenkampskraal will become a very important source of rare earths for the global industry," said Trevor Blench, chairman of Steenkampskraal Holdings Limited.
China produces the largest share of so-called "tech minerals", with a domestic output of 120,000 tonnes in 2018. That's vastly more than the United States, which relies on China for about 80 percent of its rare earth imports. But now Beijing has threatened to cut off the supply as trade frictions mount, prompting US President Donald Trump on July 22 to give the Pentagon an executive order to find other sources of the crucial elements.
Steenkampskraal Mine could just be the answer to growing demand, Blench suggested.
"We have an abundance of rocks in which rare earth elements are found," Mosa Mabuza, CEO of the Council for GeoScience, which surveys mineral deposits.
Steenkampskraal has secured all the licences required to start mining. It plans an initial production of 2,700 tonnes a year once funding of $50 million (45 million euros) has been secured, with further plans to expand.
