Thoughts on MCP

[dosman]

Later this month the people who had to wait 6 months to sell their shares will have an opportunity to do so. Is anyone else watching this stock? Thinking of a $40 entry target

[917601]

According to the Motley Fools, big, big, big sell off soon, then large recovery.Has to do with initial purchase on offering-I am not a paper person, so please research, many people parrot the Fool's forecasts, which explains their success.

[phideaux]

MCP has been a rocket, up until a couple of weeks ago. It's still up 300%+ in 8 months.

IMHO you can bet MCP will sell off as soon as the fortunate investors who got in at the IPO are able to sell and take profits. MCP is the 800 lb gorilla in the sector and IMHO it is going to pull down the whole sector with it. I'm already taking some of my REE profits off the table, in anticipation of great buying opportunities in the next couple of weeks.

Sold out of UCU.V last week and RUU.V today, Looking for good exit points for REE and AVL.

Come hell or high water, I'm holding firm on GWG.V This is my favorite REE stock. IMHO a 100% chance somebody is going to buy them, it's just a question of who, when and how much. MCP actually made a "stink bid" for GWG 2 years ago when GWG was in big financial trouble. But thankfully GWG mgmt said "no thanks." GWG is up from about 12 cents back then, to 64 cents today.

[dosman]

A pleasure to have you post in my thread, fido. Please update us with your thoughts.

[dosman]

Btw, what's so stellar about gwg iyo?

[phideaux]

Btw, what's so stellar about gwg iyo?

I have been researching the REE industry for 2 1/2 years.

GWG has got more going for it than any other company, except possibly MCP itself.

MCP tried to buy GWG to get GWG's existing processing plants and technologies.

Since then GWG has acquired the rights to the richest REE deposit (by grade) on the planet, in South Africa. It's currently a relatively small deposit, but extremely rich in the coveted Heavy REEs. which MCP desperately needs. It was a former producing mine that needs just a couple of years of rehab and development to come back online. Plus, the deposit is largely unexplored. It could easily turn into an elephant.

Plus they have several other deposits in the US and Canada under exploration. The best may be Douglas River. it has off-the-chart preliminary findings of HREEs..

There is a ton of good info at http://gwmg.ca

EDIT: one more huge plus: GWG has engaged Byron Capital to advise it on a possible merger, acquisition, or other strategic possibilities. http://www.gwmg.ca/html/media/news/i...eportID=203363

JMHO DYODD GLTA

[dosman]

hey fido, right now here is the plan I am toying with:

If MCP is up tomorrow, I am going to put in a short order with a 2% stop loss.

hopefully I can make some bucks on the 25th lockout selloff

then, I'll take those profits to subsidize a good long term entry point for MCP and gwg (which hopefully will get taken down along with the big dog)

[dosman]

great call on gwg. stock is on fire...to bad I own none LOL

[dosman]

f me. had a short sell limit order at 46.80...just missed it

[phideaux]

Hey guys, I cashed in the last of my frequent flyer miles and hotel points, and I am in Vancouver this weekend basically for free for the big Cambridge House investment conference. I will report back later.

Fido

[dosman]

dude, f me. Everything I did in january was ****ing wrong. all the stocks I watch for buys go up, all the ones I hold go down. Congrats to you on GWG phi...a significant pullback looks unlikely, that stock's action is bullish as hell. I still might short MCP for tomorrow but I already missed out on about $5k in short profits AND buying any gwg...fffffffuuuuuuuuuuuuuuuuu

[phideaux]

Well, I gotta give MCP mgmt a lot of credit for timing this offering to not only deflect the upcoming share release from lockup, but possibly even use it to their advantage. MCP up 9% today.

Molycorp Announces Approval of Phase 2 Expansion at Mountain Pass, a Proposed Mandatory Convertible Preferred Offering by the Company and Proposed Secondary Offering of Common Stock

http://finance.yahoo.com/news/Molyco....html?x=0&.v=1

[phideaux]

great call on gwg. stock is on fire...to bad I own none LOL

Holy smokes boys, GWG just hit 96 centavos.


Drinks are on me at the first annual GIM2 conference.

[Rubiconomy]

Awesome way to stay firm as you said a week ago!...I was just going to send a msg saying the same thing; huge day today...I was looking for an REE yesterday am and your information helped immensely...thank you!

[dosman]

Holy smokes boys, GWG just hit 96 centavos.


Drinks are on me at the first annual GIM2 conference.

nice score fido. you are on point. I could use a free drink, though

[917601]

Read in a foreign newspaper the other day ago mentioning China's nationalization and seizure of many rare earth mines-good for MCP.However, MCP was mentioned as all their rare earths, especially the "heavies" are radioactive and high quantities of Thorium.Article mentioned China's rare earths highest grade in the world, and radioactive free.

[phideaux]

Read in a foreign newspaper the other day ago mentioning China's nationalization and seizure of many rare earth mines-good for MCP.However, MCP was mentioned as all their rare earths, especially the "heavies" are radioactive and high quantities of Thorium.Article mentioned China's rare earths highest grade in the world, and radioactive free.

The article is inaccurate, or maybe there might be a translation problem.

Molycorp really doesn't have very much at all in the way of the heavy REEs. Their Mountain Pass mine is a very heavy on the lights, and light on the heavies. That's why I think GWG is a prime candidate to be bought out by Moly.GWg is very heavy on the heavys. And Moly already knows most of GWG as Moly made an unsuccessful bid to buy them 2 years ago. Thank you GWG BOD for saying NO!!

Mtn Pass has very low thorium levels, and processing that small amount of thorium is not a problem.

[dosman]

The article is inaccurate, or maybe there might be a translation problem.

Molycorp really doesn't have very much at all in the way of the heavy REEs. Their Mountain Pass mine is a very heavy on the lights, and light on the heavies. That's why I think GWG is a prime candidate to be bought out by Moly.GWg is very heavy on the heavys. And Moly already knows most of GWG as Moly made an unsuccessful bid to buy them 2 years ago. Thank you GWG BOD for saying NO!!

Mtn Pass has very low thorium levels, and processing that small amount of thorium is not a problem.

I read the same thing about MCP being low on heavys.

MCP is a really speculative stock right now. very few if any people have a good clue what it's actually worth.

gwg so far broke $1 today only to fall from that level >10%. I think I'll start buying in around .85

[phideaux]

I read the same thing about MCP being low on heavys.

MCP is a really speculative stock right now. very few if any people have a good clue what it's actually worth.

GWG so far broke $1 today only to fall from that level >10%. I think I'll start buying in around .85

yeah, no surprise that GWG hit a brick wall at $1.00 i think a little profit-taking here is a good thing before it mounts another assault.

the volume today is humongous, almost 14 million shares traded already (GWG.V plus GWMGF)

JMHO DYODD GLTA

[phideaux]

Molycorp to double rare earths production

KATE EMERY, The West Australian January 27, 2011, 6:22 am



The West Australian ©

Molycorp, Lynas Corp's biggest rival as the leading non-Chinese source of rare earths, plans to double production at its Californian mine in a move likely to be felt across the industry.

The proposed expansion, which will result in production from Molycorp's Mountain Pass mine jumping from 20,000 tonnes a year to 40,000tpa by the end of 2013, is intended to cash in on a forecast supply deficit in rare earths.

The New York Stock Exchange-listed Molycorp and WA's Lynas - which has the Mt Weld project near Laverton, scheduled to start production later this year - own the two most advanced non-Chinese rare earth projects in the world.
Mountain Pass, which once produced most of the world's rare earths before closing about eight years ago, partly because of competition from China, will reopen this year.

For rare earth bulls, Molycorp's decision will be viewed as further evidence of the positive outlook for the metals, which are used in electronics, hybrid car technology and smart bombs.

For sceptics who believe investor excitement about rare earths is threatening to turn into a bubble, Molycorp's plans support the view that the forecast supply shortfall can be filled by a handful of companies and that many less advanced rare earth hopefuls will never make it into production.

Rare earths have been making headlines for months after China's clampdown on exports sent prices soaring and users scrambling to lock down new sources of supply.

The higher prices for rare earths have lit a fire under the share prices of WA's rare earth hopefuls, among them Lynas, Arafura Resources, Alkane Resources and Greenland Minerals and Energy.

The additional 20,000tpa to be produced by Mountain Pass is roughly equivalent to Mt Weld's total planned annual production.

According to Lynas, prices for its Mt Weld rare earth blend rose 83 per cent in the December quarter alone to more than $US62/kg. They have since jumped to $US79.90/kg.

Reports out of China suggest that the country will start stockpiling the metals this year. China has already cut its quota for rare earth exports by 35 per cent.

http://au.news.yahoo.com/thewest/bus...hs-production/

[dosman]

You're just sick, fido. I got greedy on a buyin price for GWG. nice score!

[phideaux]

You're just sick, fido. I got greedy on a buyin price for GWG. nice score!

Yup, I may be at the hospital tomorrow with pneumonia.