According to a report by The Wall Street Journal on June 26th, the only rare earth producer in the United States, molybdenum company, filed for bankruptcy protection on June 25th local time, becoming the largest company bankruptcy restructuring event in the bleak years of the mining industry. The sharp decline in commodity prices and the slowdown in demand from China, a major consumer of mineral products, have had an impact on the industry.

Molybdenum Corporation is the only rare earth mining and production company in the United States. The company stated that it has reached an agreement with creditors to restructure its $1.7 billion debt and has obtained $225 million in new funding to continue operations. The company expects the court to approve its restructuring plan before the end of the year.

The company's CEO Geoff Bedford stated in the announcement that the company's facilities in the United States and globally, including its flagship mine in the California desert region, the Mountain Pass mine, will continue to operate as usual. He stated that the bankruptcy protection applied for by the company does not include its European and Asian businesses, which have ample cash flow and play a significant role in many key industries worldwide.

Molybdenum Company expects its stock to be delisted from the New York Stock Exchange within nine days and will seek to engage in over-the-counter trading. Additionally. Molybdenum Company has also postponed its annual shareholders' meeting to the second half of 2015.