CEC Rare Earth Corp

CEC Rare Earth Corporation (“REC”) was founded by the Canada Export Centre in alliance with two of China’s most accomplished businessmen in the rare earth industry. Our purpose is to help fill the need for secure rare earth supply outside China. Over $1T of high tech and green tech products depend on the unique properties of rare earth elements, and the uncertainty caused by China’s export restrictions have created a demand in international markets for long term predictable and dependable supply.

REC’s business model consists of 2 complementary elements:

• Refinery Services: There are hundreds of rare earth deposits around the world, but separation expertise is one of the key bottlenecks to establishing supply sources outside of China. Through the world-class expertise of our Chinese partners, REC can design, build and ensure successful operations of separation plants producing heavy and light rare earth elements. We have entered agreements to build two refineries and plan to build a total of five over the next five years, focusing on heavy elements.
• International Sales Agency: REC has a 3-tier sales capability, and is focusing on strategic, long term relationships with end users. We have immediate access to 2000t of export quota volumes through close and direct relationships with several key refineries in China. Later in 2012 our first partner refinery outside China will start production. REC has access to 1,000t including heavy elements, and we are in the process of allocating these volumes. Further growth of our supply base will come through production from our refinery projects. The combination of these supply tiers enables REC to enter long term, secure supply contracts starting immediately.