Molycorp Flying On Production News (MCP)

Molycorp

announced today that its Board of Directors has approved a Phase 2 expansion plan that is expected to double the production capacity of its Mountain Pass facility in California. The expansion is expected to provide Molycorp (

) with the ability to produce an annual rate of up to approximately 40,000 metric tons of rare earth oxide by 2013. The company also filed a registration statement with the SEC in connection with a proposed mandatory convertible preferred stock offering by the Company as well as an offering of common stock by certain stockholders. During Monday's trading session, MCP shares have surged more than 7% on heavy volume to $46.09. Molycorp briefly traded above $60 in early January. The company currently has a market cap of $3.79 billion.