Altona Rare Earths Share Discussion Threads

[hyper al] 16/12/2010 09:29

TARGETRIGHTON

Thanks for all your help and doing those calculations, certainly had not appreciated the value of these REE!

[targetrighton] 16/12/2010 01:03

The formula for calculating % distribution of rare earths in a deposit and the percentage of TREO's per ton is done the following method.

ppm defines exactly what the abbreviation indicates 1,000,000 parts of something
therefore ore containing 5330(PPM)of cerium, the percentage of cerium content in the deposit is calculated by multiplying 0.0001 by 5330 which gives you .5330%.
How did I get 0.0001 as a factor to be used in calculating ore concentration. Once again 100% would equal 1,000,000 parts, therefore (1) one part is equivalent to 0.0001%, 100/1000000. Simple math which some of us hated. I loved it, graduated in High School with Honors in math back in my days in the mid 50's.

Once you have calculated the percentage of rare earths in the deposit you now have to calculate the percentage of distribution and value content of each rare earth and that is done by first determining the total of (ppm) of all rare earths in the deposit and then dividing the (ppm) of each of the individual rare earths by the total (ppms).
When I added all the (ppms) of what Hyper Al provided I came up with 13,043 (ppm) of rare earth or 1.3043% multiplied 13043 by 0.0001.
Now the the deposit contains 5330 (ppm) of cerium, therefore the percentage of distribution of cerium in the rare earth content is 5330 divided by 13043 which comes to 40.865% of cerium in the TREO distribution.

[targetrighton] 15/12/2010 20:08

Forte Energy Analysis is now viewable at

[hyper al] 15/12/2010 19:41

TARGETRIGHTON

Blimey, was not expecting a sum like that, that's quite significant added value!

[targetrighton] 15/12/2010 19:32

Hyper Al, Using the numbers in your post and using the Nov. 30, 2010 pricing of the various rare earths per kilogram I come up with a value of $900.00 per ton of ore mined. Which as a by-product would be beneficial to the overall uranium operation.
I will post the summarization of the data at Other Information on

[hyper al] 15/12/2010 17:10

How about this REE discovery by Forte Energy (FTE)?



It's complicated because it's mixed in with their Uranium resource! "The Firawa resource currently stands at a JORC compliant Inferred Resource of 17.7Mt at 296ppm for 11.6Mlbs U3O8 (100ppm cut-off), but remains open in all directions."

Would welcome some comments? Are these values good?

"This process however could be complicated by the recently discovered Rare Earth Element (REE) potential (see table at bottom of announcement) which the Company
is in the process of ratifying. ...........

Rare Earth Elements (REE):
Cerium Ce (ppm) 5330
Dysprosium Dy (ppm) 235
Erbium Er (ppm) 80
Europium Eu (ppm) 154
Gadolinium Gd (ppm) 448
Holmium Ho (ppm) 31.6
Lanthanum La (ppm) 2409
Lutetium Lu (ppm) 5.6
Neodymium Nd (ppm) 2953
Praseodymium Pr (ppm) 760
Samarium Sm (ppm) 530
Terbium Tb (ppm) 54.8
Thulium Tm (ppm) 8
Ytterbium Yb (ppm) 44
Total REE (%) 1.3 "

[targetrighton] 15/12/2010 16:30

RARECO BOARD RECOMMENDS ACCEPTANCE OF GWMG OFFER
Dec 15, 2010 10:59 ET
Great Western Minerals Group Delivers Offer to Purchase All Rareco Shares; Rareco Board Recommends Acceptance

SASKATOON, SASKATCHEWAN--(Marketwire - Dec. 15, 2010) - Great Western Minerals Group Ltd. ("GWMG" or the "Company"), (TSX VENTURE:GWG) (OTCQX:GWMGF) announces that Rare Earth Extraction Co. Limited ("Rareco") has acknowledged receipt of GWMG's notice of intention to make an offer (the "Offer") to purchase all of the 37,764,700 issued ordinary shares in Rareco (the "Rareco Shares") that GWMG does not already own.

The board of directors of Rareco has recommended that Rareco shareholders accept the Offer.

Having considered the opinion of its independent external advisor, the terms of the Offer and all other relevant information, the Rareco board of directors has advised its shareholders that it has concluded that the terms and conditions of the Offer are fair and reasonable to the shareholders of Rareco.

GWMG's legal representative in South Africa, Edward Nathan Sonnenbergs ("ENS"), has confirmed to Rareco and to the Securities Regulation Panel in South Africa that it holds, on behalf of GWMG, sufficient funds to pay for all of the Rareco Shares tendered for sale.

Pursuant to the laws of South Africa, GWMG intends to deliver a formal offer document (the "Offer Circular") to the Rareco shareholders in the prescribed form by December 21, 2010. GWMG anticipates that the Offer will remain open from December 22, 2010 to February 28, 2011. Currently, GWMG has received all required South African regulatory approvals and the preliminary acceptance of the TSXV to make the Offer. The closing of the transactions contemplated by the Offer Circular will be subject to the terms and conditions set out in the Offer Circular.

GWMG purchased 10 million shares on September 7, 2010 and thereby became Rareco's largest single shareholder, holding 20.8% of all outstanding shares. Pursuant to the Offer Circular, GWMG intends to offer R3.00 (three Rand) per share in cash to purchase all of the remaining Rareco Shares.

Jim Engdahl, President and CEO

[targetrighton] 14/12/2010 23:34

I believe the market is indicative of the results. Not as good as some expected it to be. That will be a hard sell considering the environment that deposit is in.

[goldrush] 14/12/2010 19:49

TARGETRIGHTON

Again many thanks for info especially GWMG.Fully agree about the potential and have managed to get to a nice holding now and look forward to see where we are this time next year.

What did you think about the RUU results that were issued today?

[targetrighton] 14/12/2010 19:05

The above link is not working for some reason. Try this
Dec 8, 2010
Go to the GWMG site and Click on the Website Update on the right of the page entitled
Be patient, it takes some time to load
"Click here to listen to the GWMG Web Events and Conference Call from 07 Dec 2010."

[targetrighton] 14/12/2010 17:47

PRESENTATION ON DEC. 7, 2010 BY JAMES ENGDAHL, PRESIDENT & CEO OF GREAT WESTERN MINERALS GROUP.

[targetrighton] 13/12/2010 18:31

Speedy, back in 2004 when I first met Gary Billingsley we had a lengthy discussion and it was then that I learned of the Mine to Market Strategy Gary was developing and one of the pieces of the puzzle was to acquire a portion of AMR, which is now GWTI. Nobody at the time when GWTI was for sale wanted that R & D division of AMR. Gary jumped at the opportunity. Look what he added to the assets of GWMG..

[speedy] 12/12/2010 15:34

Some background material re Neo Materials (Magnequench)

[targetrighton] 10/12/2010 18:33

AN EXCELLENT ARTICLE May have been posted before as it is dated Nov. 9, 2010

[targetrighton] 10/12/2010 03:47

DON'T UNDERSTAND THEIR THINKING
I for one can not understand the thinking of analysts that continually stress the point that the larger the reserves the more likely the venture will succeed. My thinking is just the opposite and focuses on the fact of how much value is there in each ton of ore and how efficiently you can recover the content. Steenkampskraal is a typical example. I am certain that Steenkampskraal will be the most successful venture with its high grade and small confirmed deposit. There is no reason in the world that additional reserves will be identified in close proximity of Steenkampskraal at which point it then may get the world class recognition that those other large deposits are getting with their low grade ore. I believe the tables viewable at display what I mean.

[targetrighton] 09/12/2010 23:58

Two very detailed tables are available for viewing at of the various deposits. Those table give you an insight as to where possibly most of the requirements of Rare Earths will be coming from.

[speedy] 08/12/2010 22:31

I agree with your view that GWMG provides the best risk/return in the REE sector.
(I am long on GWMG). Some comments re risk esp re GWMG ...
1. There are risks to doing business in S Africa, including power outages.
2. Eventually there will be an oversupply of at least some of the REE's. While
GWMG should be extremently well placed in the REE space, this is a risk.
3. GWMG will have to expand sooner rather than later to take on the Hoidas Lake
projects. That exposes GWMG to risks common to many REE startups.

I will have a look at the USGS report, hopefully it will have some information
on the Chinese mines, as these seem to be the missing pieces of the puzzle.
Thanks for those posts esp on GWMG.

[targetrighton] 08/12/2010 00:33

An interesting comment was made by Jim Engdahl on the overall Steenkampskraal project capex. To reburish the Mine a capital expenditure of only $15 million is projected to have a mining operation producing 2700 tons of rare earths annually. The facility will be constructed in a manner that expansion to the operation can be made very economically. In addition the Separation and Extraction facility is projected at a capital expenditure of also $15 million allowing for expansion when needed. The entire operation is small compared to other proposed facilities, however will be constructed in a manner to allow both facilities to be expanded..

[nathaniel1913] 08/12/2010 00:22

Admire your passion for this sector TT and particularly gwg.

[targetrighton] 07/12/2010 23:40

I tuned in to the 4:15PM EST web event and there was additional information and questions answered.
Those of you who missed the web event you missed out on a tremendous amount of information as to the low risk factor in investing in GWMG.
Hopefully the entire presentation will be made available on the GWMG website so that those who missed the live portion will get an idea as to what was presented and question that were posed.

[targetrighton] 07/12/2010 17:15

This plucked off the Stockhouse bullboard

Web Event Presentation by Stone Communication Services

I tuned into the web event this morning and Jim Engdahl gave a very detailed presentation on where and how GWMG are implementing their fully integrated Mine to Market Strategy.
One key point in the presentation was a question asked if GWMG would go to the open market for further financing to proceed with their proposed plans in refurbishing the Steenkampskraal Mine along with building a Separation facility which would result in further dilution. His response was NO, based on the fact that the current share price would have to appreciate in order that the large number of outstanding warrants and options would then be exercised along with the current cash in hand from the recent offering of $35 million would provide sufficient capital to proceed.
Also he mentioned that GWMG would be looking at a joint venture arrangement in developing the separation facility in South Africa as the cost of construction and operations is substantially more efficient and would required much less capital and operating funds. The joint venture arrangement would put less of a strain on GWMG's capital requirements.
Also the question of profitability was asked. When will GWMG show a profit. Mr. Engdahl went on to explain that a profit would be realized when the Steenkampskraal Mine came into production which is projected in mid 2013 or sooner and profits maybe realized sooner if the two upgrades to the LCM facility are completed as scheduled thus increasing production at the LCM by 50% with the first upgrade and a further 50% with the second upgrade. LCM will be relocating to new facilities to accommodate the upgrades. The upgrades will allow LCM to produce flake metal and oxides at the request of end-users and at the same time generating greater revenue than ingots.

[targetrighton] 07/12/2010 17:13

nathaniel, that 3,000,000 transaction was a cross within Byron Capital.

[nathaniel1913] 07/12/2010 16:30

Someone is keen to cash in 3,000,000 shares at 4cents. Seems someone wants the lid kept on gwg TT.

[targetrighton] 06/12/2010 23:48

Nathaniel, not as yet. I will be asking Mr. Engdahl that question when he appears on the Web Event put on by Stone Communication Services on Tuesday at 7:00 PST. By the way, I will be providing an update to my post and also on the charts if pricing change. Updates will be made at mid month pricing and at end of month pricing and any new events that occur.

[nathaniel1913] 06/12/2010 16:47

Awesome post TT and thank you for your efforts and time spent doing this.. Did you get a response from GWG re; the dark pool naked shorting etc..?