GTSO President to Coordinate Company’s First Mongolian Rare Earths Shipment
During his trip to Mongolia next month, Green Technology Solutions Inc. (OTCQB:GTSO) President and CEO John Shearer will coordinate the company’s first export shipment of rare earth ore to South Korea. GTSO formed a joint venture with Rare Earth Exporters of Mongolia (REE) in February to explore and develop new sources of rare earth elements inside the Central Asian nation. The joint venture’s Mongolian agents have worked to acquire mining rights to four mineral-rich sites in the former Soviet state with plans to export rare elements to buyers in South Korea, Japan and the U.S. Last week, GTSO signed a letter of intent to make REE a wholly owned subsidiary, positioning itself to become the sole owner of the potentially lucrative Mongolian mining rights.Shearer announced last Tuesday that the company engaged a South Korean business consultant to assist in arranging shipments of Mongolian rare earth ores to Seoul. The company’s top executive will travel to Mongolia’s capital, Ulan Bator, in May and coordinate the initial shipment.
“We are planning to send a 40-ft. shipping container full of rare earth ore mined from the Mongolian properties that we’re working to develop,” Shearer said. “I’ll work with the logistics staff in our Mongolian transportation office to send the ore by rail to Vladivostok, Russia, to be shipped to Seoul. There, the ore will be taken to government labs to be analyzed for its rare earths content and density.”
For more information on the company’s transportation plans, please visit http://www.rareearthexporters.com.
GTSO is planning the shipment as the first step in gaining approval to sell rare elements to South Korean buyers. Rare earths are critical to the manufacture of smartphones, automobiles and consumer electronics in addition to green energy technology. GTSO has already received inquiries from manufacturers worldwide, including buyers from conglomerates such as 3M and others.
“Demand for rare earths is at an all-time high and climbing,” Shearer said. “We are working diligently to begin mining operations in Mongolia as quickly as possible. Our company expects to make this first shipment to South Korea in June.”
Exploding prices for rare earths are being driven by new policies enacted by the world’s dominant producer, China, aimed at reining in production. Though possessed of only 30 percent of the world’s rare earth deposits, the Communist superpower accounts for more than 95 percent of global supplies. With China restricting new mining licenses, cutting rare earth quotas and imposing heavier taxes, rare earth explorers outside of its borders such as GTSO are poised to capitalize on worldwide fears of potential shortages.
Green Technology Solutions commercializes clean and renewable mining technology and products in a sector that includes Rare Element Resources Ltd. (AMEX:REE), MV Rare Earth/Strategic Metals (NYSEArca:REMX), Qiao Xing Universal Resources (NasdaqGS:XING) and Danaher Corp. (NYSE:DHR).