Wednesday 22nd November 2017

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Posts tagged ‘russia’

Double discovery

November 18th, 2017

The USGS reports new American uranium potential and a new uranium “species”

by Greg Klein

The USGS reports new American uranium potential and a new uranium “species”

The Southern High Plains of Texas, New Mexico and Oklahoma
might someday boost U.S. domestic uranium supply.
(Photo: Public domain)

 

The dream of discovery must motivate many a geologist. Through skill, effort and luck they hope to eventually find something precious, useful or otherwise valuable—something well known yet found in a previously unknown location. But a group of geo-boffins from the U.S. Geological Survey not only identified a type of uranium deposit previously unknown to their country, they discovered a new mineral.

It’s finchite, “a new uranium mineral species,” as a press release described it last week. The discovery actually dates to 2015, says Brad Van Gosen, the USGS scientist who did the discovering.

While surveying a Texas cotton ranch Van Gosen collected samples of what he and his colleagues thought was carnotite, “a pretty common yellow, near-surface uranium mineral.” Back in the lab, he put it under a scanning electron microscope, which kept showing strontium with the uranium and vanadium, he recalls. To a geologist, it was unusual—very unusual. A eureka moment was looming.

The USGS reports new American uranium potential and a new uranium “species”

First to recognize the new mineral finchite, USGS scientist
Brad Van Gosen examines rock layers in Texas.
(Photo: Susan Hall/USGS, public domain)

“We looked it up and there’d been no strontium-uranium mineral ever reported before. So [team leader Susan Hall] worked with a crystallography/mineralogy lab that specializes in micro-analysis up at Notre Dame and they concluded, ‘By gosh you’re right.’” Further study continued before sending the evidence to the International Mineralogical Association. “They’re the high council and they blessed it as a new mineral.” Finchite’s moniker honours the late Warren Finch, a USGS uranium expert.

Another major finding was that the uranium was hosted in calcrete rock formations, a style of deposit known elsewhere but reported for the first time in the U.S.

Some previously secret info led to the twin epiphanies. Hall, as leader of a project that’s reassessing national uranium resources, gained privy to some unpublished 1970s and ’80s data from the former Kerr-McGee company. Included were estimates for two deposits, Sulphur Springs Draw and Buffalo Draw, with marginal grades of 0.04% and 0.05% U3O8 respectively. Together they held an estimated 2.6 million pounds U3O8.

(Of course data from historic sources and the U.S. government agency falls outside the framework of NI 43-101 regulations.)

The newly transpired, near-surface deposits led Hall and her group to the Southern High Plains spanning parts of Texas, New Mexico and Oklahoma. It was there that they recognized calcrete, its first known manifestation in the U.S.

The USGS reports new American uranium potential and a new uranium “species”

Surface showings of yellow finchite might have previously
been mistaken for sulphur, says Van Gosen.
(Photo: Susan Hall/USGS, public domain)

The stuff’s associated with uranium in other countries. Among major calcrete-style deposits listed by the World Nuclear Association are Yeelirrie in Western Australia, along with Trekkopje and Langer Heinrich in Namibia. Yeelirrie is a potential open pit held by a Cameco Corp TSX:CCO subsidiary and averaging 0.16% U3O8. Trekkopje, a potential open pit majority-held by AREVA Resources, averages 0.01%. Langer Heinrich, an open pit mine operated on behalf of Paladin Energy, the majority owner now under administrative control, averages 0.052%.

According to the USGS, grades for potential Southern High Plains deposits range from 0.012% to 0.067%, with a median 0.034% U3O8. Gross tonnage estimates range from 200,000 to 52 million tonnes, with a median 8.4 million tonnes. Together, the region’s calcrete-style potential comes to 39.9 million pounds U3O8.

But that’s a regional assessment, not a resource estimate, reflecting how USGS methodology contrasts with that of exploration companies. The agency uses a three-part approach, explains Mark Mihalasky, who co-ordinated the assessment. The procedure first delineates areas that would allow the occurrence of a particular kind of deposit. Using additional geoscientific evidence, the agency estimates how many deposits might be awaiting discovery. How much those potential deposits hold can be estimated through comparisons with similar known deposits around the world.

Mineral assessment and mineral exploration are two different things…. It’s not a ‘drill here’ assessment.—Mark Mihalasky

“Mineral assessment and mineral exploration are two different things,” Mihalasky emphasizes. “The purpose of our assessment is to help land planners, decision-makers and people in the region get an idea of what could be there, based upon probability. It’s not a ‘drill here’ assessment.

“This whole region is a relatively newly recognized area of potential and while we’re not saying this is a new uranium province we are saying there’s something here that hasn’t been found before in the United States and this might be worth looking into in greater detail if you’re an exploration company.”

Already one company from Australia has been asking “lots of questions,” says Van Gosen. Although most uranium mining in the American west uses in-situ recovery, the shallow depth and soft host rock of the Southern High Plains could present open pit opportunities “assuming uranium prices and other factors are favourable.”

Any positive price assumption will have to wait, however. One week earlier Cameco announced the impending suspension of its high-grade McArthur River mine and Key Lake mill in Saskatchewan’s Athabasca Basin. The company said that long-term contracts had shielded it from uranium’s post-Fukushima plunge of over 70%, but those contracts are now expiring. Cameco had previously suspended its Rabbit Lake mine and reduced production at its American operations.

But while production faces cutbacks, controversy over American dependence on foreign uranium flared up again last month with renewed questions about the sale of Uranium One to Russia’s state-owned Rosatom. The formerly TSX-listed Uranium One holds American resources that could potentially produce up to 1,400 tonnes of uranium annually, according to the WNA. But last year the company’s sole U.S. operation, the Willow Creek ISR mine, produced just 23 tonnes of the country’s total output of 1,126 tonnes.

As the world’s largest consumer of uranium for energy, the U.S. relies on nukes for about 19% of the country’s electricity, according to USGS numbers. Only 11% of last year’s uranium purchases came from domestic sources.

USGS reports new domestic uranium potential and new uranium “species”

November 14th, 2017

This story has been expanded and moved here.

‘The next world order’

November 7th, 2017

Gold’s our best preparation for a new global monetary system, says James Rickards

by Greg Klein

Gold’s our best preparation for the new global monetary system, says James Rickards

James Rickards

An economic crisis looms, ready to strike within a few years and maybe imminently. Exponentially worse than 2008, it will be a disaster “so large the system does not bounce back. The system ceases to exist.” That’s the bleak vision of James Rickards, lawyer, economist, portfolio manager, newsletter writer, author of four books and a keynote speaker at the Silver and Gold Summit to be hosted in San Francisco on November 20 and 21. He offers some advice on how to prepare for the impending peril.

The collapse will hardly leave a void, he maintains. World powers redesigned the international monetary system three times last century and will do it again. Among the first casualties will be bank deposits, investments and the rest of a digitized belief system that many people think guards their future security. As citizens react, “the money riots will begin.”

Sovereigns don’t go down without a fight. The response to money riots will be confiscation and brute force. Governing elites will be safe in their hollowed-out mountain command centers. Private elites will fend for themselves in their yachts, helicopters, and gated communities, which will be converted to armed fortresses.

Gold’s our best preparation for the new global monetary system, says James Rickards

There will be blood in the streets, not metaphorically, but literally. Neofascism will emerge, order responding to disorder, with liberty lost.

This is the “next world order” that Rickards describes in his two most recent books, The New Case for Gold and The Road to Ruin: The Global Elites’ Secret Plan for the Next Financial Crisis. Published last year, the books share overlapping content, with the latter volume focusing on why and how Rickards believes such events will take place. The New Case for Gold emphasizes owning the stuff as a survival strategy.

Rickards says the too-big-to-fail banks that failed in 2008 are even bigger now and more bloated with leverage. As are derivatives, the Warren Buffett-labelled “weapons of mass destruction.” Moreover the complexity of markets goes beyond “interconnected.” They’re unfixable.

A watchmaker, he points out, can open the back of a timepiece, fix or replace a gear and put everything back together. “Now imagine you take the back off the same watch and instead of gears you find a metallic liquid soup. How do you change a gear now?” Old models of economic intervention won’t work.

Gold’s our best preparation for the new global monetary system, says James Rickards

And this time the crisis will accompany a worldwide lack of confidence in the U.S. debt-diminished dollar as a reserve currency. China, along with Russia and other countries, could hasten events by conducting international trade in other currencies, throwing the dollar into freefall. Countries that have been buying and hoarding gold (contrary to Canada’s selloff) will demand a say in the scrip’s replacement. Yellow metal will prevail, either as a gold-backed international special drawing right “or the oldest form of money, which is gold.”

“It’s not a ten-year forecast,” he insists. “Could it be five years? Maybe. Could it be one year? Yes.” Watch for the endgame when China’s gold-to-GDP ratio meets or exceeds that of the U.S.

Rickards expects $10,000 an ounce, maybe $50,000. Manipulation will end when powerful states have the price where they want it, nullifying the hustling ability of far less powerful players.

He recommends making gold 10% of an individual’s investible assets, excluding a principal residence and equity in one’s own business. Or 15% to 20% “if you’re somewhat more aggressive.” If he’s wrong and gold drops 20%, for example, the 10% allocation causes a 2% loss on the entire portfolio.

He believes the time to buy is now. “I know that when the crunch comes, the large players are going to get all the gold available. The institutions, the central banks, the hedge funds, and the customers with relationships with the refiners are the ones who are going to get all the gold. Small investors will find they can’t get any.”

Store it in a non-bank depository, he cautions. Americans might consider the Texas state bullion vault. “In an extreme situation, you should be able to drive down to Texas, pick up your gold, and drive home before the highways are closed. If the highways are clogged, use a motorcycle.”

Sweetness and light, he ain’t. But whether you’re seeking survival strategies or evaluating dystopian possibilities, he presents a compelling case.

Rickards delivers a keynote address and takes part in a panel discussion on the first day of the Silver and Gold Summit, to be held in San Francisco from November 20 to 21. To save 25% on admission click here and enter promo code RESOURCE25.

Arctic Star Exploration’s Patrick Power discusses the Timantti property in Finland

August 30th, 2017

…Read more

Of diamonds and dynasties

August 4th, 2017

A new marketing approach accompanies Alrosa’s new emphasis on polished stones

by Greg Klein

A new marketing approach accompanies Alrosa’s new emphasis on polished stones

The Dynasty Collection celebrates Alrosa’s revival of Russian jewelry craftsmanship.
(Photo: Alrosa)

 

Legendary diamonds have long been associated with imperial dynasties. Now, just as a new book promises to revive interest in the multi-empire story of the fabled Koh-i-Noor gem, Alrosa has unveiled a suite of five stones commemorating great families of old Russia. In doing so, the mining giant marks a new emphasis not just on extracting exceptional stones, but cutting and polishing them too. The company says it will use state-of-the-art techniques to revive traditions dating back to Peter I.

A near-second to De Beers as the world’s largest diamond miner by value, Alrosa’s overall strategy might be to broaden diamonds’ appeal beyond the maybe one (or two, or sometimes profligately multiple) life events that call for an engagement ring.

A new marketing approach accompanies Alrosa’s new emphasis on polished stones

(Photo: Alrosa)

The company’s new quintet started as a single 179-carat rough with a name that evokes grandeur, but also tragic decline and a horrific ending: The Romanovs. One and a half years in the making, the polished collection’s centrepiece is The Dynasty, a 51.38-carat traditional round brilliant-cut stone “unprecedented in the history of Russia” as the most expensive and purest of all large diamonds cut in the country.

The set’s other four gems recall wealthy dynasties “that played a crucial role in the development of Russian jewelry”: The Sheremetevs (16.67 carats), The Orlovs (5.05 carats), The Vorontsovs (1.73 carats) and The Yusupovs (1.39 carats).

The collection goes on sale online—take that Christie’s, Sotheby’s and U.S. sanctions—in November.

But there’s no association stronger than actual ownership, and in that regard the Koh-i-Noor might be the most esteemed of all diamonds. In a soon-to-be published book of the same name, authors William Dalrymple and Anita Anand track “the history of the world’s most infamous diamond.”

Here’s a rock that gained prominence in northern India’s 17th century Mughal dynasty, was pillaged by 18th century Persians and retrieved from the corpse of their assassinated ruler by Ahmad Shah, who wore the jewel himself while building the Durrani Empire of Afghanistan. His successors lost the gem, along with considerable territory, to Sikh emperor Ranjit Singh. The authors credit this early 19th century ruler with boosting the diamond’s prestige to an unprecedented level. Following his death and the Sikhs’ defeat at British hands, the victors ordered that the Koh-i-Noor “shall be surrendered by the Maharajah of Lahore to the Queen of England.”

Along with Cullinan I and Cullinan II, the world’s largest top-quality polished stones, the Koh-i-Noor takes its place in the Crown Jewels. Both India and Pakistan want it back.

The book’s publicist promises a saga of “greed, murder, torture, colonialism and appropriation.” But extracting the stones can come at a terrible cost too, and one doesn’t have to delve into history to realize that. Just days after Alrosa unveiled The Dynasty collection, the company reported nine miners missing after a flood at the Mir diamond mine in the far eastern Republic of Sakha.

A steady source of plus-sized rough, Sakha mines gave up gems of nearly 110 carats and 75 carats just last month and, last year, a 207.29-carat stone. The Romanovs was found there in 2015.

A new marketing approach accompanies Alrosa’s new emphasis on polished stones

The Tenner, a £10 flea market
find, sold for $848,000.
(Photo: Sotheby’s)

Size and weight aren’t everything, however, as the 1,109-carat Lesedi La Rona continues to demonstrate. Lucara Diamond TSX:LUC has yet to find a buyer after rejecting a $61-million bid last year for the “tennis ball-sized” Botswana diamond, the largest ever found after South Africa’s 3,106-carat Cullinan that’s since been subdivided and relocated to the Crown Jewels with the Koh-i-Noor. Last May Lucara did sell a piece of its original stone, estimated to have been about 1,500 carats, when cutter Graff Diamonds paid $17.5 million for a 373.72-carat shard that broke off during the mine recovery process.

Another super-sized non-seller is the 709-carat rough found by an artisanal miner in Sierra Leone. He entrusted it to the government, which rejected a $7.8-million bid that failed to meet the stone’s valuation.

But sometimes there’s amazing value to be found among the dross. Thirty years or so after a Brit paid 10 quid for a piece of second-hand “costume jewelry,” the owner got around to asking Sotheby’s for an appraisal. The verdict? “A genuine cushion-shaped diamond weighing 26.29 carats with an attractive colour grade of I and impressive clarity grade of VVS2.”

In dollar terms, that meant a price estimated up to about $450,000. In June the hammer came down on $848,000.

See an infographic about legendary diamonds.

Arctic Star sees new diamond frontier in Finland

July 12th, 2017

by Greg Klein | July 12, 2017

A plan that so far has been a year in the making would have Arctic Star Exploration TSXV:ADD shift its diamond exploration focus from northern Canada to northern Finland. The Timantti (Finnish for “diamond”) project would begin with exploration rights over 243 hectares of kimberlites, with an additional 95,700 hectares of land to come under an exploration reservation permit for which the company has applied.

Arctic Star sees new diamond frontier in Finland

Small bulk samples dating to 2005 have revealed diamonds, while a more recent due diligence program confirmed 58 small stones in an 18.9-kilogram sample from the project’s White Wolf kimberlite.

The Wolf kimberlites lie on the Fennoscandian Shield, which also hosts the major diamond mines Lomonosov and Grib in Russia’s Arkhangelsk region.

Because kimberlites tend to occur in clusters, the Wolf kimberlites could indicate a more extensive group, according to Roy Spencer, who discovered the Wolf kimberlites. Data in the public domain shows a “cloud” of kimberlite indicator minerals across an approximately 80-kilometre-wide area roughly centred on the Wolf kimberlites, the company added. “The exploration reservation will allow Arctic Star to explore the entire region,” Spencer said.

A diamond exploration veteran with De Beers and other companies, Spencer “was largely responsible for the discovery of the world-class Grib kimberlite,” Arctic Star added. Spencer joins the company as a director.

On closing the acquisition, Arctic Star plans magnetic, gravity and EM surveys prior to drilling and a subsequent bulk sample on the road-accessible property, as well as regional airborne surveys.

Ranking fifth globally in the annual Fraser Institute survey of overall mining investment attractiveness, Finland boasts arctic infrastructure in relative profusion to northern Canada.

The deal would involve Arctic Star taking over Foriet Oy, a Finnish company that would become a wholly owned subsidiary, for 14.5 million shares at a deemed price of $0.20.

Arctic Star also welcomed Scott Eldridge’s appointment to the board. A co-founder and president/CEO of Euroscandic International Group, which provides accounting and investment banking services to resource companies, he has raised over $500 million in equity and debt for mining-related projects around the world.

Last May Arctic Star announced a brief geophysical program at the Diagras diamond project in the Northwest Territories, with work expected to finish mid-month. The company has a 40% stake in the JV, with Margaret Lake Diamonds TSXV:DIA holding the rest and acting as project operator.

More critical than ever

April 13th, 2017

The USGS promotes awareness about essential resources and their supply chains

by Greg Klein

Let’s call it Critical Minerals Awareness Month. The U.S. Geological Survey hasn’t actually labelled April that way, but the agency does have a “big push” underway to inform American decision-makers and the general public about the country’s often tenuous hold on commodities vital to the economy and security of that country. Of course those concerns apply to its allies as well.

The USGS promotes public awareness about essential resources and their supply chains

“We decided to do a big push on critical minerals in April largely because we’ve got several big publications coming out on the subject,” USGS public affairs specialist Alex Demas tells ResourceClips.com.

“One of the things we’ve been focusing on is supply chain security, so with the sheer number of mineral commodities that are used in the United States, and the number of them deemed critical, we felt it was important to emphasize where a lot of those mineral resources are coming from and if there are any potential issues in the supply chain, getting them from the source to the United States.”

Computers provide an obvious example, increasing their use from “just 12 elements in the 1980s to as many as 60 by 2006,” points out one recent USGS news release. Smartphones offer another example. Looking back 30 years ago, “‘portable’ phones were the size of a shoebox and consisted of 25 to 30 elements,” states another USGS release. “Today they fit in your pocket or on your wrist and are made from about 75 different elements, almost three-quarters of the periodic table.”

Larry Meinert, USGS deputy associate director for energy and minerals, pointed out some of the sources. “For instance, the industrial sand used to make the quartz in smartphone screens may come from the United States or China, but the potassium added to enhance screen strength could come from Canada, Russia or Belarus. Australia, Chile and Argentina often produce the lithium used in battery cathodes, while the hard-to-come-by tantalum—used in smartphone circuitry—mostly comes from Congo, Rwanda and Brazil.”

That brings an ominous warning. “With minerals being sourced from all over the world, the possibility of supply disruption is more critical than ever.”

The campaign also reveals the agency’s methods for tracking this essential stuff. A USGS-designed early warning system described as “mathematically rigorous and elegant” helps the U.S. Defense Logistics Agency monitor a watch list of about 160 minerals. Not all have been labelled critical, but those so defined can change due to technological development and geopolitical conflict.

The USGS itself tracks something like 90 minerals important to the American economy or security but sourced from about 180 countries. For last year the agency identified 20 minerals on which the U.S. relied entirely on imports and 47 on which the country imported more than half its supply.

Not all the source countries are always best buddies with the West. China supplies most of America’s mined commodities, including 24 of the 47 minerals supplied 51% or more by imports. Among the critical items are rare earth elements, 100% imported, over 90% directly from China and much of the rest through supply chains originating there.

As a supplier, Canada came a distant second, the chief provider of 16 minerals, not all of them critical. Runners-up Mexico, Russia and South Africa were each chief suppliers for eight American mineral imports.

Among the research reports coming soon will be “a compendium of everything the USGS knows about 23 minerals critical to the United States,” Demas says. “It’s going to cover the industry side of things, the reserves, production, shipment, etc. It’s going to cover geology and sustainability. Each chapter on each mineral will have a section on how this can be mined sustainably so we can meet our needs not only today, but also in the future.”

In part the publications target “decision-makers in Congress, as well as the Defense Department and others who use mineral resources,” Demas adds. But he emphasizes the campaign wasn’t motivated by the proposed METALS Act (Materials Essential to American Leadership and Security). Currently before U.S. Congress, the bill calls on government to support domestic resources and supply chains of critical and strategic minerals. On introducing the bill, Rep. Duncan Hunter argued the risk of foreign dependence to national security “is too great and it urgently demands that we re-establish our depleted domestic industrial base.”

As Demas notes, “Since we are a non-regulatory, non-policy agency, we don’t directly influence policy. But we do want policy-makers to have our tools available so they can make the best science-informed decisions.”

And while this month will see special attention to critical minerals, Demas says the subject’s an ongoing concern for the USGS. Some of the reports coming out now will be updates of annual publications.

“We’re really trying to promote the idea that USGS has a lot of really useful information that we put out all the time,” he adds. “This information will hopefully be useful to people when they’re considering where their resources are coming from.”

Follow USGS news here.

Read about the West’s dependence on non-allied countries for critical minerals here and here.

USGS: Possibility of supply disruption more critical than ever

April 5th, 2017

by Greg Klein | April 5, 2017

USGS: Possibility of supply disruption more critical than ever

Many and various are the sources of smartphone minerals.
(Map: U.S. Geological Survey)

 

In another article warning of foreign dependency, the U.S. Geological Survey uses smartphones as a cautionary example. Looking back 30 years ago, “‘portable’ phones were the size of a shoebox and consisted of 25 to 30 elements,” pointed out Larry Meinert of the USGS. “Today they fit in your pocket or on your wrist and are made from about 75 different elements, almost three-quarters of the periodic table.”

USGS: Possibility of supply disruption more critical than ever

Smartphones now require nearly 75% of the periodic
table of the elements. (Graphic: Jason Burton, USGS)

The increasing sophistication of portable communications results from a “symphony of electronics and chemistry” that includes, for example, “household names like silicon, which is used for circuit boards, or graphite used in batteries. Then there are lesser known substances like bastnasite, monazite and xenotime. These brownish minerals contain neodymium, one of the rare earth elements used in the magnets that allow smartphone speakers to play music and the vibration motor that notifies you of new, funny cat videos on social media,” the USGS stated.

Almost as varied are the sources. “For instance, the industrial sand used to make the quartz in smartphone screens may come from the United States or China, but the potassium added to enhance screen strength could come from Canada, Russia or Belarus. Australia, Chile and Argentina often produce the lithium used in battery cathodes, while the hard-to-come-by tantalum—used in smartphone circuitry—mostly comes from Congo, Rwanda and Brazil.”

Rwanda and the Democratic Republic of Congo are also sources of conflict minerals.

“With minerals being sourced from all over the world, the possibility of supply disruption is more critical than ever,” Meinert emphasized.

The April 4 article follows a previous USGS report on an early warning system used by the U.S. Defense Logistics Agency to monitor supply threats. In January the USGS released a list of 20 minerals for which the country relies entirely on imports. Whether or not by design, the recent awareness campaign coincides with a bill before U.S. Congress calling on government to support the development of domestic deposits and supply chains for critical minerals.

See an illustrated USGS report: A World of Minerals in Your Mobile Device.

Read about the West’s dependence on non-allied countries for critical minerals here and here.

Infographic visualizes the world’s deepest oil well

March 20th, 2017

Infographic by Fuel Fighter | text by Jeff Desjardins | posted with permission of Visual Capitalist | March 20, 2017

In the world’s deepest gold mine, workers venture four kilometres below the Earth’s surface to extract gold from a 0.8-metre-wide vein of ore.

While these depths are impressive, mining is limited by the frailty of the human body. Going much deeper would be incredibly dangerous, as limitations such as heat, humidity, logistics and potential seismic activity all become more intense.

Luckily, the oil industry does not have such human restrictions and drilling deep into the Earth’s crust is instead limited by a different set of circumstances—how deep can the machinery and technology go before the unfathomable heat and pressure renders it inoperable?

The world’s deepest oil well

This infographic comes to us from Fuel Fighter and it helps visualize the mind-boggling depths of the world’s deepest oil well, which is located in a remote corner of eastern Russia.

 

Visualizing the world’s deepest oil well

 

The world’s deepest oil well, known as Z-44 Chayvo, goes over 12 kilometres into the ground—equal to 15 Burj Khalifas (the tallest skyscraper) stacked on top of each other. That’s also equal to twice the record height for air balloon flight.

Perhaps more importantly to the operator, Exxon Neftegas Ltd, the wells on this shelf are expected to produce a total of 2.3 billion barrels of oil.

That’s some serious depth

But even before the Z-44 Chayvo Well and other holes like it were drilled on the eastern side of Russia, the famous Kola Superdeep Borehole set the record for drill depth.

Located in western Russia, this time just 10 kilometres from the border with Norway, the Kola Superdeep Borehole was rumoured to have been discontinued in 1992 because it actually reached “hell” itself. At its most extreme depth, the drill had pierced a super-hot cavity and scientists thought they heard the screams of damned souls.

All folklore aside, the Kola Superdeep Borehole is super interesting in its own right. It revealed many important things about our planet and it still holds the record for depth below the surface.

Read more about deep underground mining.

U.S. Congress to vote on support for domestic critical materials supply lines

March 9th, 2017

by Greg Klein | March 9, 2017

With an eye to national defence, American lawmakers will decide whether their government should help develop domestic supplies of rare minerals. A Congressional bill introduced March 7, Rep. Duncan Hunter’s proposed METALS Act (Materials Essential to American Leadership and Security) would offer a number of inducements to create supply lines for strategic and critical commodities.

U.S. Congress to vote on support for domestic critical materials supply lines

A “dangerous lapse in the supply chain for strategic and
critical materials” will be examined by the U.S. Congress.

“The U.S. must no longer be wholly dependent on foreign sources of strategic and critical materials,” said Hunter, a veteran of two combat tours in Iraq and one in Afghanistan. “The risk of this dependence on national security is too great and it urgently demands that we re-establish our depleted domestic industrial base.”

Pointing to China’s lockhold on over 90% of global rare earths supply, Hunter argued the U.S. has “ceded” its ability to produce REEs. Following the bankruptcy of the last U.S. rare earths miner, Molycorp “sold a portion of its assets to the Chinese,” said a statement from Hunter’s office. “The mine is now being considered for purchase by a firm with ties to a Russian billionaire.”

As reported by the Wall Street Journal last month, a group including Vladimir Iorich’s Pala Investments has offered US$40 million for Molycorp’s former Mountain Pass mine in California. The METALS Act would prohibit foreign acquisition of American rare earths deposits.

It would also provide five-year interest-free loans for new production or manufacturing techniques involving strategic or critical minerals. Additionally, Washington would reimburse defence programs for higher costs of domestic products. Funding would divert 1% of Department of Defense administration spending, Hunter said.

The act would also bar foreign interests from sourcing American supplies of ammonium perchlorate, a propellant for rockets and missiles. The bill further calls for a study on the viability of using thorium-fuelled nuclear reactors in naval vessels.

Besides encouraging supply chains essential to national security, the bill “supports the U.S. domestic industrial base by aiding domestic investment opportunities,” according to Hunter’s office.

Speaking with ResourceClips.com last month, David S. Abraham expressed skepticism about Hunter’s proposal. “Most bills on critical materials have not passed and his bills usually have the least chance of passing…” said the author of The Elements of Power: Gadgets, Guns, and the Struggle for a Sustainable Future in the Rare Metal Age. “That’s not to say the U.S. hasn’t given money to metallurgy and mining before, but with the exception of some dabbling in beryllium in the ’90s, I can’t recall a time where the U.S. was really investing in mines from a defence perspective.”

But Washington defence lobbyist Jeff Green told ResourceClips.com of “a totally different dynamic” in circles of power that would be willing to “invest in America to protect our national security and grow our manufacturing base.”

A January report from the U.S. Geological Survey stated the country was wholly dependent on foreign sources for 20 minerals last year, some of them considered critical or strategic “because they are essential to the economy and their supply may be disrupted.”

As of press time Hunter’s office hadn’t responded to an interview request.