"Is it indeed such a problem? As far as I am informed, Greenland can supply the rest of the world in the near future and an Australian company has the exploitation rights."

Eoin Treacy's view Thank you for this question which others may find of interest. Here is a link to Comment of the Day on December 14th 2009 where I highlighted the fact Greenland Minerals and Energy was lagging.

To the best of my knowledge, it will take time for rare earth ore to be produced in measureable quantities outside of China and even longer to manufacture the requisite refining capacity. Information is spotty on this sector and susceptible to exaggeration so let's focus on the price action which is a clear arbiter of supply and demand. The bulls remain in the ascendency which indicates a continued dearth of new supply hitting the market.

Greenland Minerals and Energy has held an incremental progression of higher reaction lows since early 2009 and rallied impressively last week. It has catch up potential and a sustained move below A50¢.woudl be required to question scope for further upside.