Sarissa Resources Inc (SRSR)

[Element41]

The problem with most deposits and their REE recovery in Canada is that they are very early stage and until further conceptual studies are carried out, its very difficult to value these companies. As well, it also helps a great deal to be able to evaluate based on existing deposits in production. S-60 (Niocan) and Niobec(Iamgold) are the two most advanced projects in Quebec. The Niobec(Nb)deposit has been in production for many years but I don't believe that they recover the REE oxides. IMO, Niocan(Nb/Ta)on the other hand performed the tests back in 2000, not because of a hot market for REE's but rather to evaluate the impacts on a reduced operating cost per ton for the Nb. So for now I view the REE sector as a "highly speculative gamble" until we start to see much more advanced studies being performed and not just drilling results to increase reserves. Its all about quality, not quantity.