NEW YORK Rare earths
producer Molycorp Inc. expects lower-than-expected revenue and
cash flow for 2013 due to the delayed ramp-up of its Mountain
Pass mining complex and "the current rare earths pricing
environment," the company said Thursday.
Molycorp has now completed all
key production components at Mountain Pass and expects the
facility to reach its full Phase 1 run rate of 19,050 tonnes of
rare earths production annually by midyear, it said.
The full Phase 1 run rate had
been expected as early as the third quarter of 2012, the
company said previously (
amm.com, Feb. 21).
A company spokesman didnt
comment on the delay.
Molycorp is also re-evaluating
its capital needs for 2013, the company said.
The Greenwood Village,
Colo.-based company has most of the equipment on site for a
scheduled Phase 2 upgrade that would lead to production of
40,000 tonnes annually, but "the decision to complete
construction and start-up wont be made until market
demand, product pricing, capital availability and financial
returns justify additional increases in production beyond Phase
1," the company said.
Molycorps stock plummeted
to $8.40 per share in Thursday afternoon trading on the New
York Stock Exchange, down 22.2 percent from its previous