Hu Zesong (middle). Colin Nexhip (2 from left), CEO of MPMO. Peter Landi (3 from left), Chief Engineer
Mr. Hu Zesong, President of Shenghe Resources, visited Mountain Pass Rare Earth Mine in California, US. After a tour in the mine, dressing plant, smelting workshop, and power plant, Mr. Hu and his team had an in-depth communication with Dr. Colin Nexhip, CEO of MP Mine Operations llc (MPMO), and Peter Landi, Chief Engineer of MPMO.
(Mountain Pass Mine)
Mountain Pass is one of the biggest light rare earth mines operated outside of China. The ore reserve of Mountain Pass is 16.69 million tons, 1.3 million tons of REO, with average grade of 7.98%. Mountain Pass is the biggest supplier of rare earth from 1960s to 1980s. It was closed in 2002 due to global competition and price fluctuation. In 2010, Molycorp invested hugely to reopen the mine, but failed due to the influence of market, technology, financial costing, etc. since the reopening of Mountain Pass, Molycorp suffered sustained deficit, eventually leading to its bankrupt in 2015.
MPMO is established by JHL, QVT, and Shenghe Resources. MPMO bid the assets of Mountain Pass in June 2017. The transaction was fulfilled in July 2017, and resuming production has been under way ever since.
Dr. Clolin Nexhip welcomed Mr.Hu and his team. He and Peter Landi elaborated the operation and development plan of Mountain Pass. According to Dr. Nexhip, the production work of Mountain Pass is stable, with May 2018 yielding the highest production record since the mine reopened. And they optimistically expect higher production in near future.
Hu Zesong gave his gratitude to MPMO team for their work to reopen the Mountain Pass. He congratulated the achievement made, gave constructive advice to the development plan of Mountain Pass, and provided his thoughts on the future of global rare earth industry.