Quantum announced in May, 2010 that it acquired the Elk Creek Carbonatite, through the acquisition of Elk Creek Resources Corp., a private Nebraska corporation which, through a series of agreements, owns an option to acquire the mineral rights to the project. In the interview, Dickie said that niobium is used as a steel hardener for high strength, low alloy steel, such as that used in high-pressure gas pipelines. Other uses for niobium are for creating 'super alloys', used extensively in the aerospace and defense industries, and for other products such as MRI machines. The U.S. considers niobium to be a strategic metal, Dickie said. Dickie said out that of US imports, roughly two-thirds of niobium is used in the steel industry and one-third is used by the aerospace sector.
The company's Elk Creek project, in southeastern Nebraska, spans a distance of approximately five miles by five miles and has seen extensive exploration. Dickie said that there are currently three primary producing niobium mines in world: two in Brazil, which are privately owned, and one in Quebec, Canada, which produces at a grade of 0.6 percent niobium. Quantum has filed a property report indicating a (non 43-101 compliant) historic resource from the Nebraska project which indicates 39 million tons grading 0.82 percent niobium.
On Behalf of the Board,
Peter Dickie, President
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