Rare Earth metals are soaring in November

November saw the prices of all major Chinese-sourced rare earths spike, but especially those used in magnets. In particular, the research note mentioned neodymium, which is the most common rare earth used in making magnets, which rose by 27% since early in November, up over 50% year to date. Several other key rare earths also increased in value last month, including dysprosium (+17%), gadolinium (+9%) and terbium (+27%).

Hochschild 100% owned BioLantanidos rare earth resource set to grow dramatically in 1H2021.  Currently, Hochschild is trading at only 1x sales and approximately 5-6x 2021 free cash flow which is a huge discount to other miners.  What is not even factoring in is BioLantanidos which has the potential to contribute significantly to free cash flow and the NPV of the resource is rising, but no appreciated by market.  Hochschild mining is currently 60% gold, 40% silver resource, but will soon include 20-25% of a rare earth metal play specializing in dysprosium, terbium, neodymium and praseodymium.  Looking to go into production in late 2022 or early 2023.