Rare earth project not dead, says Paulwell

Mining Minister Phillip Paulwell says although Jamaica's J$600 million rare earth project has been put on hold, the search is on for associated opportunities. 

   
Paulwell, responding to questions during Tuesday's meeting of Parliament's Standing Finance Committee, explained that, with recent increases in in the supply of rare earth metals on the international market, the price had declined, rendering it uneconomical for Jamaica to proceed immediately with its own production of the material.

"We're anticipating that as soon as that clears up, we'll be back in business," he declared.

Asked by Audley Shaw, Opposition Spokesman on Finance, whether, "as of now, the project is dead," Mr. Paulwell emphatically denied that this was the case. He said it was believed that "other metals can be extracted, and we are still in consort with the Japanese company for that other work to be done."

Jamaica was hoping to start producing rare earth minerals, used in a wide range of  electronic items, after Japanese firm, Nippon Light Metals, showed interest in local deposits from red mud waste, discarded after bauxite processing.

   

The firm was hoping to explore Jamaican supplies after China imposed an export quota on the mineral. However, the World Trade Organisation has ruled the Chinese move illegal, which has reopened supplies from China, causing prices to fall.