Verde Resources Reports Indications of Large Deposits of Rare Earth Elements
Pahang, Malaysia (PRWEB) December 09, 2013 -- Verde Resources, Inc. (OTCQB: VRDR) reported indications of large deposits of highly valuable Rare Earth Elements at Site IV-1 of the Merapoh Mine in Pahang, Malaysia. The Company will engage an independent professional geological team to carry out the necessary exploration work to confirm the Rare Earth Elements.
Verde Resources released this extract from their in-house initial report that if the confirmation is verified: “Assuming an average rare earth oxide grade of 0.08%, a 10 km square block site could potentially yield an annual production of 2,000 tons of rare earth oxides. At an estimated price of US$40,000/ton for 95% rare earth oxide concentrates, this would translate into annual sales of US$80 million for a potential annual gross profit of approximately US$50 million with gross profit margin at about 60%.”
Mr. M.D. Wu, President of Verde Resources, said, “Rare Earths are crucial components for a wide range of indispensable products like laptop computers, iPhones, lasers, compact fluorescent bulbs, flat-screen televisions, wind turbines, electric cars and a lot of military hardware. With the indications that we may have discovered large reserves of Rare Earth Elements, combined with our four tons of alluvial gold resources and potentially 30 tons of lode gold, our investors have an opportunity for great potential growth and upside.”
According to the Xinhua News, August 8, 2013, the Ministry of Industry and Information Technology reported that China supplies an estimated 90% of the world’s rare earth metals and profited $7.75 Billion USD in 2012. The Wall Street Journal reported on December 6, 2013, that, “Three years ago China shocked high-technology industries by tightening export controls on a group of 17 elements called rare earths that sent their prices rising as much as tenfold…Miners responded by racing to find new rare-earth sources in the U.S. and elsewhere.”
Non-Chinese sources of Rare Earths are being pursued because of the concerns of major high-tech industries and defense contractors needing Rare Earth Elements access because the dominant position that China is in to effect world-wide supply and prices. If the independent professional geological team confirms the Rare Earth deposits at the Verde Resources Mine, this would put them with two other major mining companies coming into production: Molycorp Inc.’s Mountain Pass and Lynas Corp.’s Mt. Weld deposits in Australia.
With virtually all Rare Earths processing being done in China, the Company’s mine location in Malaysia is a definite cost advantage. The Wall Street Journal (December 6, 2013) reported, “There’s virtually no place for these minerals to be processed into something useful—except China.”
The Company released the following extract From “The Preliminary Rare Earth Elements Laboratory Tests for Verde Resources”:
“The preliminary laboratory tests were conducted on a series of samples using GB/T 14506.29 standard reported rare earth oxide grades in the range of 500-840 g/ton. The tests indicated there is significant economic value involved in our rare earth exploration effort. These rare earth oxides that were found include lanthanum oxide (La2O3), cerium dioxide (CeO2), praseodymium oxide (Pr6O11), neodymium oxide (Nd2O3), samarium oxide (Sm2O3), europium oxide (Eu2O3), gadolinium oxide (Gd2O3), terbium oxide (Tb4O7), dysprosium oxide (Dy2O3), holmium oxide (Ho2O3), erbium oxide (Er2O3), thulium oxide (Tm2O3), ytterbium oxide (Yb2O3), lutetium oxide (Lu2O3) and yttrium oxide (Y2O3).
Mr. Wu concluded, “We are moving fast-forward to confirm the Rare Earth Elements indications at our Merapoh Mine and make the next steps toward production. This is a good time for investors and the market to keep watching the rise of Verde Resources.”
About Verde Resources, Inc.
Verde Resources, Inc. is an exploration stage mining company focused on global mining acquisition and development opportunities. Verde owns the management rights of Site IV-1 of the Merapoh Gold Mine in Pahang, Malaysia, which has 4 tons of alluvial gold resources, potential 30 tons of lode gold and has indications of large deposits of Rare Earth Elements.
Website: http://www.verderesources.us
For more information, please contact Michael Liang: 852-215-21223 .
Safe Harbor Statement
This release includes forward-looking statements, which are based on certain assumptions and reflects management's current expectations. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results or events to differ materially from current expectations. Some of these factors include: general global economic conditions; general industry and market conditions, sector changes and growth rates; uncertainty as to whether our strategies and business plans will yield the expected benefits; increasing competition; availability and cost of capital; the ability to identify and develop and achieve commercial success; the level of expenditures necessary to maintain and improve the quality of services; changes in the economy; changes in laws and regulations, including codes and standards, intellectual property rights, and tax matters; or other matters not anticipated; our ability to secure and maintain strategic relationships and distribution agreements. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
Michael Liang, Verde Resources, Inc., http://www.verderesources.us, +1 4079217032, [email protected]
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