Markets

Rare Earth Minerals' 333pc rise after name change puts Aim under fresh scrutiny
What's in a name? About 10m, according to investors in Aim-listed Rare Earth Minerals Plc, whose share price rose 66pc yesterday.

Rare Earth Minerals' new website can still be found at www.zestmusic.com By Rowena Mason, Energy Correspondent 6:00AM GMT 31 Dec 2010
18 Comments
The company, which does not yet own any rare earth minerals or licences to mine them, was a loss-making music business called Zest until eight days ago.

It has not revealed how it plans to acquire any of the minerals on which China has a near monopoly. Nor has it disclosed the countries where it is targeting acquisitions with just 630,000 of cash in the bank.

However, since it proposed the name change on November 12, its share price has more than quadrupled from 0.35p, valuing it at 3.1m, to 1.52p, valuing it at 13.5m.

The rise is likely to raise further questions about the London Stock Exchange's governance of the AIM market - three years on since Roel Campos, an SEC commissioner, described the junior market as a "like a casino".

It has been under renewed scrutiny since Desire Petroleum's wild share spikes earlier this month. A spokesman for AIM declined to comment on whether the regulatory team is looking into Rare Earth Minerals

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One broker said: "It is penny stock madness, a herd mentality, though I'm not sure what they're trying to cash in on. It is just like a type of dotcom boom situation."

At the height of the dotcom boom, a string of cash shells - companies with a stock market quote but no actual business - listed on AIM. The value collapsed when the bubble burst, prompting the LSE to change its rules.

TD Waterhouse, the retail broker, said Rare Earth Minerals was its most traded stock yesterday, with the most buy orders and fourth most sell orders. "It's the first time I've ever seen it appear in the top ten," a spokesman said.

More than 143m shares changed hands, despite no new publicly available information.

The only announcement the company has made recently has been the award of 98m share options to "directors, staff , consultants and advisors" at 0.5p, redeemable in ten years.

The company's shares also rose sharply in January, when it appointed David Lenigas, a veteran of the world of penny stocks, as a non-executive. He is one of only two board members at Rare Earth Minerals and disclosed he was a director of 94 other companies including Solo Oil, Vatulouka Gold Mines and LonZim.

Last year, a study by Manchester Business School found AIM companies were no more likely to fail than those on other markets. However, they had more chance of survival if older, bigger, had a greater free float and a reputable nominated advisor.

Rare Earth Minerals was unavailable for comment.

Go on lol your the richest man on here. :-))

I wish!

i'm afraid this is a classic pump and dump...back down to 0.15p soon...you see a company like victoria oil has fantastic reserves and now producing gas yet is at an all time low...so what chance will REM have of maintaining this rise? absolutely zilch chance...its all froth and no beer...get out while you can!

MY ADVICE IS INVEST IN VOG...A REAL COMPANY,WITH REAL ASSETS AND PRODUCING LOADS OF GAS AND AT AN ALL TIME LOW...YOU KNOW IT MAKES SENSE

Sharp rise in sp in the morning according to the 'experts' on the other bbs!

Mexico Lithium Project Maiden Resource Estimate

Rare Earth Minerals (AIM: REM) is pleased to announce that the first 10 diamond drill holes at the Fleur-El Sauz Lithium Project in northern Mexico have identified an estimated resource of 1,782,000 tonnes of Lithium Carbonate Equivalent ("LCE") at a cut-off of 1,000 ppm Li, within the 191 million tonnes of clays drilled over an initial 4 kilometres strike length, as a maiden estimated inferred resource compliant with the NI 43-101, CIM standard.

REM has at present a 10% interest in the Fleur-El Sauz Project, and as previously announced has given notice to its joint venture partner Bacanora Minerals Ltd. ("Bacanora") to increase its interest to 30%, implying inferred LCE resources at a cut-off of 1,000 ppm attributable to REM of 178,200 tonnes and 534,600 tonnes LCE respectively.

With Lithium Carbonate currently trading around US$5,000 - 6,000 a tonne, this resource estimate implies a potentially significant in-ground value. Further drilling over the next 6 months is planned to test for further resources, as the Lithium bearing clays in the deposit identified to date remain open on strike to the south and to depth, down dip to the east.

Highlights:

· Inferred resources of 1,782,000 tonnes of LCE from 153,806,000 tonnes (with a lower cut grade of 1,000 ppm Lithium)
· Inferred resources of 1,486,000 tonnes of LCE from 88,271,000 tonnes (with a lower cut grade of 2,000 ppm Lithium)
· Plans for stage 2 drilling with the objective of extending the resource will be announced in a further news release once the new programme is finalised.

I failed to get filled earlier @2.25p which is Bl@@dy annoying.

Damn near impossible to sell..wanted to top slice abit... will try again later..let's see where the SP settles!

Managed to sell some and have gone into Rose & ECR

Still have some REM... will see how they run for a while

maestro - lol - sure glad I took no notice of your deramping posts yesterday lol!!

gla

gl skinny, sky, kim, dc et al :-0

great day here again and still awaiting Greenland & other news

I think I feel a.............., a............................,

yeeeeeeeeeeeeeeeeeeeeeeeeeeeeeehaaaaaaaaaaaaaaaahhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhh!!!

why is my broker [TD] trying to sell at .954p when they showing a bid of 1p? cheating swine!!!
edited as got decimal point in wrong place

yet another GODOY share!

lol h...

Mercurial AIM entrepreneur David Lenigas claims his new venture Rare Earth Minerals (down 16 per cent today to 1p) is teaching market makers a lesson as it continues to make fast paced gains - rising to as high as 1.4p from just 0.6p as recently as August 12.

The move has been driven by the emergence of the Fleur-El Sauz lithium project in Mexico, which is quickly being established as a significant new deposit.

Drilling began at Fleur-El Sauz back in May, results earlier this month were positive and now, this week, a maiden resource estimate was unveiled.

This initial estimate of 1.78million tonnes of lithium carbonate the in-the-ground value, assuming current prices, comes in just under the $10billion (£6.45billion) marker.

There is clearly still a long way to go as plenty more drilling will be required and the precise machinations of extracting the lithium from the Mexican clays has yet to be determined.

Nevertheless Lenigas was in bullish mood as he took to Twitter this morning in the wake of the estimate’s release, telling his followers: 'Yesterday's news on REM was hopefully just the beginning. The next drilling programme will be underway shortly.'

Read more: http://www.dailymail.co.uk/money/markets/article-2406833/SMALL-CAP-MOVERS-Mining-firms-lead-way-concerns-Syria-central-banks-junior-market-doldrums.html#ixzz2dSvMPRP3
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"rising to as high as 1.4p from just 0.6p as recently as August 12."

They really should do their research!

As posted above, I had a limit order in yesterday morning which didn't get filled because of the speed of the trades.

yep things were moving at quite a pace! not surprising really - wonder what next week will bring gl

sod it..bought in today...complete u turn...lithium is the one to be in...forget gold,silver,platinum...could make us millionaires

Mexico Lithium Joint Venture Update

Rare Earth Minerals (AIM: REM) is pleased to announce that it has today been informed by its joint venture partner Bacanora Mineral Ltd ("Bacanora") that additional concessions, contiguous with the existing Fleur and El-Sauz concessions the ("Existing Concessions") that contain the Fleur-El Sauz Lithium deposit in northern Mexico, have been staked and mineral rights secured.

The acreage under the Joint Venture has as a result been increased by approximately 60% from 3,305 hectares to 5,325 hectares.

The new total of 5,325 hectares of concessions, are the subject of a joint venture between Bacanora and REM, pursuant to which REM has given notice to increase its interest in the joint venture from 10% to 30% and has a first right of refusal to negotiate a deal to further increase its interest in the joint venture to 49.9%.

These new concessions cover strategic ground to the east and north of the Existing Concessions where it is believed that the Lithium-bearing clay units within the Existing Concessions identified by the stage 1 drilling programme may extend down-dip and eastward.

REM Closes Part of Equity Swap for £2.16 million

Rare Earth Minerals (AIM: REM) is pleased to announce that it has completed a 58% partial close of the existing Equity Swap Agreement with YA Global Master SPV, Ltd. ("YAGM"), and is to receive a cash payment of £2,157,684 without issuing any further equity in the Company. YAGM has agreed to lock in all their remaining shares in REM until at least the 1 November 2013.

REM Granted Greenland Exploration Licence

REM Granted Greenland Exploration Licence Adjacent to Kvanefjeld Deposit
REM (AIM:REM) is pleased to advise that the licence application made directly with the Bureau of Minerals and Petroleum in Greenland, as announced on the 4 February 2013, for the strategic 38 sq. km mineral exploration licence to explore for rare earth minerals, has just been approved by the Government of Greenland. The licence number assigned to this concession is 2013/20 at Kussanga in West Greenland. The exploration licence area's north eastern boundary is approximately 500 metres from the exploration licence area owned by Greenland Minerals and Energy (ASX: "GGG") which hosts the substantial Kvanefjeld rare earth element, uranium and zinc deposit.

Kvanefjeld plus two other of GGG's associated deposits in the Ilimaussaq Complex have JORC compliant Inferred and Indicated resources that total 956 Mt at 1.08% total rare earth oxides, 273 ppm U3O8 and 2,351 ppm Zn at a cut-off grade of 150 ppm U3O8. The project is currently undergoing a feasibility study for development of the Kvanefjeld deposit.

David Lenigas, REM's Executive Chairman commented:

"We are pleased to have secured exploration rights over this strategic block in Greenland, particularly as it sits alongside the world class Kvanefjeld rare earth, Uranium and Zinc deposit."

"We see this whole regional play as becoming more interesting as GGG get closer to completing their feasibility study."

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