Rare-Earth Signed Agreements with 12 Inner Mongolia Based Upstream Rare Earth Enterprises

China's Inner Mongolia Baotou Steel Rare-Earth Group one of the largest producers of rare earth minerals in the world, announced that it has signed agreements with 12 Inner Mongolia based upstream rare earth enterprises and their shareholders, which indicates the company has started to integrate rare earth resources in northern provinces.

Based on the agreements, which will be valid for one year, the twelve enterprises agree to transfer a 51% stake to Baotou Steel Rare-Earth for free.

After the restructuring, Baotou Steel Rare-Earth will carry out integrated planning on their operating strategy, adjust their industrial and product layout, and offer talent, technology, funding, resources, and export quota support in return.

Analysts believe that this indicates the consolidation of upstream rare earth enterprises in Inner Mongolia by Baotou Steel Rare-Earth.

In August, BSR announced its application to set up a new rare earth group China Northern Rare-Earth Group to integrate rare earth resource exploration.