Expert Analysis

The Metals Report Interview with Alex Knox (1/22/13) "A number of REE companies that are moving toward production are discussing ways of significantly reducing their extraction costs because they're in discussion with Orbite Aluminae Inc. Orbite Aluminae has developed a process by which a rock can be put into solution and its component elements extracted in a fashion that does not consume any acid. It instead consumes energy in order to make these transformations. This is a huge cost advantage. A couple of companies that I know of are seriously involved in discussions with Orbite to use this technology. These companies have signed nondisclosure agreements with Orbite and are of the feeling that the Orbite process used in whole or in part will be able to significantly reduce their capital costs and, hence, give them a strong competitive advantage over other companies.

"Also, Orbite claims that it has been able to extract very small quantities of extremely valuable elements like gallium and scandium from its ores that it is principally producing for aluminum, as well as the complete spectrum of REEs. All REE deposits tend to be a bit of a little treasure trove, and sometimes carry significant quantities of other valuable elements in either small, moderate or even large proportions, such as niobium, tantalum, zirconium, hafnium and beryllium. If the Orbite process is useful in extracting these other elements, you could imagine that the increased revenue would decrease the operating cost per pound of extracting the REEs and would be another significant economic advantage. At least in the preliminary stages, the Orbite process looks like it's going to be able to do this. It looks like the Orbite process may be a significant contributor to revenue." More >

Matt Gowing, Mackie Research Capital (1/7/13) "While Orbite Aluminae Inc. is expected to commence commercial production shortly from its Cap Chat plant, this first revenue stream will be comprised of sales of ultra-pure alumina, which is a much higher value, much 'nichier' market than that of smelter grade alumina (SGA), also known as metallurgical alumina. By 2015, however, we expect the company to also commence commercial SGA production, and as such Orbite will accomplish important SGA development milestones for this business initiative in 2013. . .on review of the dynamics shaping up in the aluminum and alumina markets, several factors are indicative of improvements. . .the investment proposition for Orbite should become even more attractive in 2013."