10-Q/A

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 10-Q/A

(Amendment No. 1)

(Mark One)
x	QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended March 31, 2013
OR
¨	TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from to

Commission File Number 001-34827

Molycorp, Inc.

(Exact name of registrant as specified in its charter)

Delaware  (State or other jurisdiction of incorporation or organization)	27-2301797  (I.R.S. Employer Identification No.)
5619 Denver Tech Center Parkway, Suite 1000Greenwood Village, Colorado  (Address of principal executive offices)	80111  (Zip Code)

(303) 843-8040

(Registrant’s telephone number, including area code)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes x No ¨

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). Yes x No ¨

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer x Accelerated filer ¨ Non-accelerated filer ¨ (Do not check if a
smaller reporting company) Smaller reporting company ¨

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ¨ No x

As of May 8, 2013, the registrant had 188,572,122 shares of common stock, par value $0.001 per share, outstanding.

MOLYCORP, INC.

EXPLANATORY NOTE

Molycorp, Inc. ("we" or “the Company”) is filing this Amendment No.1 to its Quarterly Report on Form 10-Q for the quarterly period ended March 31, 2013, originally filed with the Securities and Exchange Commission (“SEC”) on May 9, 2013, to a) restate its presentation of inventory, accrued expenses and deferred tax liabilities in the Condensed Consolidated Balance Sheets, b) restate its presentation of costs of sales, selling, general and administrative expense and income tax benefit in the Condensed Consolidated Statements of Operations and Comprehensive Loss, c) restate its disclosure of the assessment of normal production levels and write-downs of inventory in the related note to Condensed Consolidated Financial Statements, d) restate its disclosures regarding its disclosure controls and procedures, and e) update the dates of the certifications contained in Exhibits 31.1, 31.2 and 32.1 of such Quarterly Report as of the filing of this Amendment No. 1.

As disclosed in the Company’s Form 8-K filed with the SEC on August 8, 2013, the Company determined that its unaudited condensed consolidated financial statements for the three months ended March 31, 2013 contained an error with respect to the reconciliation of its physical inventory to the general ledger during the first quarter of 2013, and an error with respect to the accrual of certain severance charges. The inventory reconciliation errors also involved errors in determining the proper inventory valuation and the related write-downs of inventory attributable to abnormal costs and net realizable value calculations. Each of the errors described above affected the financial position and results of operations of the Resources segment, but had no effect on the net cash used in operating activities or cash and cash equivalent at the end of the first quarter of 2013. See further details in Note 1A to the Condensed Consolidated Financial Statements below.

In addition, and independently from the restatement mentioned above, we updated our capital requirements and liquidity disclosures, revised the allocation of total assets among segments at March 31, 2013, and revised the balance sheet as of December 31, 2012 in connection with the final allocation of the consideration transferred to the net assets of Molycorp Canada, as further described in the updated Note 9 and Note 11 below.

As a result, the following items of the Quarterly Report on Form 10-Q for the period ended March 31, 2013 are being amended:

- Part I – Item 1. Financial Statements

- Part I – Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations

- Part I – Item 4. Controls and Procedures

- Part II – Item 6. Exhibits

All other information contained in the Company’s Quarterly Report on Form 10-Q for the period ended March 31, 2013 remains unchanged. This Amendment No.1 does not reflect any subsequent information or events, except the restatement and updates described above. Without limitation to the foregoing, except as noted above, this Amendment No.1 does not purport to update the Management’s Discussion and Analysis of Financial Condition and Results of Operations contained in the Quarterly Report on Form 10-Q for the period ended March 31, 2013 or any information, uncertainties, transactions, risks, events or trends occurring, or known to management. For updated information about the Company, refer to the Company’s most recent filings with the SEC. Those filings contain important information regarding events, developments and updates to certain expectations of the Company that have occurred since the original filing of the Quarterly Report on Form 10-Q for the quarterly period ended March 31, 2013.

INDEX

	PAGE
Part I. FINANCIAL INFORMATION
Item 1. Financial Statements
Condensed Consolidated Balance Sheets (Unaudited)	3
Condensed Consolidated Statements of Operations and Comprehensive Income (Unaudited)	5
Condensed Consolidated Statement of Stockholders’ Equity (Unaudited)	6
Condensed Consolidated Statements of Cash Flows (Unaudited)	7
Notes to Condensed Consolidated Financial Statements (Unaudited)	8
Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations	39
Item 4. Controls and Procedures	56
Part II. OTHER INFORMATION
Item 6. Exhibits	58

2

PART I. FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS

MOLYCORP, INC.

Condensed Consolidated Balance Sheets (Unaudited)

(In thousands, except share and per share amounts)

	March 31, 2013		December 31, 2012
	As restated, Note 1A		(Revised)
ASSETS
Current assets:
Cash and cash equivalents	$	404,834	$	227,790
Trade accounts receivable, net (Note 2)	63,147		52,430
Inventory (Note 5)	247,453		287,376
Deferred charges (Note 15)	6,110		9,412
Deferred tax assets (Note 15)	9,438		9,789
Income tax receivable	20,318		25,087
Prepaid expenses and other current assets	19,911		21,794
Total current assets	771,211		633,678
Non-current assets:
Deposits (Note 6)	26,639		26,769
Property, plant and equipment, net (Note 7)	1,645,374		1,544,304
Inventory (Note 5)	24,984		26,096
Intangible assets, net (Note 9)	441,677		450,938
Investments	64,407		64,036
Deferred tax assets (Note 15)	—		—
Goodwill (Note 9)	239,742		239,742
Other non-current assets	9,264		6,972
Total non-current assets	2,452,087		2,358,857
Total assets	$	3,223,298	$	2,992,535

3

	March 31, 2013			December 31, 2012
	As restated, Note 1A			(Revised)
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Trade accounts payable	$	136,862		$	241,994
Accrued expenses (Note 12)	65,457			59,013
Income tax payable	15,591			15,267
Debt and capital lease obligations (Note 14)	28,788			39,604
Other current liabilities	4,589			3,539
Total current liabilities	251,287			359,417
Non-current liabilities:
Asset retirement obligation (Note 13)	17,572			18,586
Deferred tax liabilities (Note 15)	136,055			160,675
Debt and capital lease obligations (Note 14)	1,338,793			1,188,832
Derivative liability (Note 23)	7,028			7,816
Pension liabilities (Note 24)	3,338			3,292
Other non-current liabilities	2,417			2,659
Total non-current liabilities	1,505,203			1,381,860
Total liabilities	$	1,756,490		$	1,741,277
Commitments and contingencies (Note 19)
Stockholders’ equity:
Common stock, $0.001 par value; 350,000,000 shares authorized at March 31, 2013 (Note 16)	189			139
Preferred stock, $0.001 par value; 5,000,000 shares authorized at March 31, 2013 (Note 16)	2			2
Additional paid-in capital	1,949,662			1,691,429
Accumulated other comprehensive loss	(12,727		)	(9,433		)
Deficit	(505,062		)	(466,091		)
Total Molycorp stockholders’ equity	1,432,064			1,216,046
Noncontrolling interests	34,744			35,212
Total stockholders’ equity	1,466,808			1,251,258
Total liabilities and stockholders’ equity	$	3,223,298		$	2,992,535

See accompanying notes to the condensed consolidated financial statements.

4

MOLYCORP, INC.

Condensed Consolidated Statements of Operations and Comprehensive Income (Unaudited)

(In thousands, except per share amounts)

	Three Months Ended March 31,
	2013			2012
	As restated, Note 1A
Revenues	$	146,367		$	84,470
Costs of sales:
Costs excluding depreciation and amortization	(136,594		)	(50,070		)
Depreciation and amortization	(14,309		)	(3,373		)
Gross (loss) profit	(4,536		)	31,027
Operating expenses:
Selling, general and administrative	(26,514		)	(24,183		)
Corporate development	(115		)	(3,381		)
Depreciation, amortization and accretion	(8,223		)	(358		)
Research and development	(6,405		)	(3,650		)
Operating loss	(45,793		)	(545		)
Other (expense) income:
Other income (expense)	260			(6,578		)
Foreign exchange (loss) gain, net	(389		)	1,604
Interest (expense) income, net of capitalized interest	(11,649		)	85
	(11,778		)	(4,889		)
Loss before income taxes and equity earnings	(57,571		)	(5,434		)
Income tax benefit	22,490			2,183
Equity in results of affiliates	(3,072		)	(227		)
Net loss	(38,153		)	(3,478		)
Net income attributable to noncontrolling interest	(818		)	—
Net loss attributable to Molycorp stockholders	$	(38,971	)	$	(3,478	)
Net loss	$	(38,153	)	$	(3,478	)
Other comprehensive income:
Foreign currency translation adjustments	(3,294		)	2,530
Comprehensive loss	$	(41,447	)	$	(948	)
Comprehensive loss attributable to:
Molycorp stockholders	(40,629		)	(948		)
Noncontrolling interest	(818		)	—
	$	(41,447	)	$	(948	)
Loss per share of common stock (Note 17):
Basic	$	(0.27	)	$	(0.07	)
Diluted	$	(0.27	)	$	(0.07	)

See accompanying notes to the condensed consolidated financial statements.

5

MOLYCORP, INC.

Condensed Consolidated Statements of Stockholders’ Equity (Unaudited)

(In thousands, except per share amounts)

	Common Stock				Series A Mandatory Convertible Preferred Stock			Additional Paid-In Capital			Accumulated Other Comprehensive Loss			Retained Earnings			Total Molycorp Stockholders' Equity			Non controlling interests			Total Stockholders' Equity
	Shares		$		Shares	$
Balance at December 31, 2012 (Revised)	138,773,538		$	139	2,070,000	$	2	$	1,691,429		$	(9,433	)	$	(466,091	)	$	1,216,046		$	35,212		$	1,251,258
Stock-based compensation (Note 18)	(7,749	)	—		—	—		(325		)	—			—			(325		)	—			(325		)
Component of convertible debt (Note 14)	—		—		—	—		21,815			—			—			21,815			—			21,815
Deferred taxes on component of convertible debt	—		—		—	—		(8,508		)	—			—			(8,508		)	—			(8,508		)
Conversion of Exchangeable Shares (Note 16)	10,476		—		—	—		—			—			—			—			—			—
Issuance of shares for conversion of Debentures	1,253		—		—	—		—			—			—			—			—			—
Issuance of Primary Shares (Note 16)	43,125,000		43		—	—		248,097			—			—			248,140			—			248,140
Issuance of Borrowed Shares (Note 16)	6,666,666		7		—	—		—			—			—			7			—			7
Net (loss) income	—		—		—	—		—			—			(38,971		)	(38,971		)	818			(38,153		)
Preferred dividends	—		—		—	—		(2,846		)	—			—			(2,846		)	—			(2,846		)
Distribution to noncontrolling interests	—		—		—	—		—			—			—			—			(1,286		)	(1,286		)
Other comprehensive loss	—		—		—	—		—			(3,294		)	—			(3,294		)	—			(3,294		)
Balance at March 31, 2013 - As restated, Note 1A	188,569,184		$	189	2,070,000	$	2	$	1,949,662		$	(12,727	)	$	(505,062	)	$	1,432,064		$	34,744		$	1,466,808

See accompanying notes to the condensed consolidated financial statements.

6

MOLYCORP, INC.

Condensed Consolidated Statements of Cash Flows (Unaudited)

(In thousands)

	Three Months Ended March 31,
	2013			2012
	As restated, Note 1A
Cash flows from operating activities:
Net loss	$	(38,153	)	$	(3,478	)
Adjustments to reconcile net loss to net cash from operating activities:
Depreciation, amortization and accretion	22,532			3,731
Deferred income tax benefit	(29,475		)	(3,725		)
Inventory write-downs	22,125			6,563
Release of inventory step-up value	2,497			—
Stock-based compensation (benefit) expense	(325		)	825
Unrealized loss on derivatives	—			6,641
Allowance for doubtful accounts	—			2,500
Foreign exchange loss	2,197			(1,668		)
Other operating adjustments	(2,149		)	259
Net change in operating assets and liabilities (Note 22)	(15,877		)	4,379
Net cash (used in) provided by operating activities	(36,628		)	16,027
Cash flows from investing activities:
Investment in joint ventures	(3,423		)	(3,836		)
Deposits	—			(459		)
Capital expenditures	(181,103		)	(206,463		)
Other investing activities	(90		)	2
Net cash used in investing activities	(184,616		)	(210,756		)
Cash flows from financing activities:
Capital contributions	—			390,225
Repayments of short-term borrowings—related party	—			(870		)
Repayments of debt	(11,108		)	(777		)
Net proceeds from sale of common stock	248,147			—
Issuance of 5.50% Convertible Notes	165,600			—
Payments of preferred dividends	(2,846		)	(2,846		)
Dividend paid to noncontrolling interests	(1,286		)	—
Other financing activities	(79		)	(132		)
Net cash provided by financing activities	398,428			385,600
Effect of exchange rate changes on cash	(140		)	68
Net change in cash and cash equivalents	177,044			190,939
Cash and cash equivalents at beginning of the period	227,790			418,855
Cash and cash equivalents at end of period	$	404,834		$	609,794

Non-cash financing activities and investing activities:
Change in accrued capital expenditures	$	(82,646	)	$	55,226

See accompanying notes to the condensed consolidated financial statements.

7

MOLYCORP, INC.

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2013

(1) Basis of Presentation

Molycorp, Inc. (“Molycorp” or the “Company”) is one of the world's leading global rare earth companies, and the only one that operates a vertically integrated, global supply chain that combines a world-class rare earth resource with manufacturing facilities on three continents that can produce a wide variety of custom engineered, advanced rare earth materials from all of the lanthanide elements, plus yttrium. The Company's vertically integrated, global manufacturing supply chain is comprised of a workforce of approximately 2,700 scientists, engineers, chemists, technologists, and highly skilled workers in 27 locations across 11 countries. Molycorp's vertical integration allows it to operate multiple product supply chains, serves as a highly reliable supplier of advanced rare earth and rare metal materials, and provides price visibility to customers worldwide.

The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and Regulation S-X promulgated under the Securities Exchange Act of 1934 (the “Exchange Act”). While the December 31, 2012 balance sheet information was derived from the Company’s audited financial statements, for interim periods, GAAP and Regulation S-X do not require all information and related disclosures that are required in the annual financial statements, and all disclosures required by GAAP for annual financial statements have not been included. Therefore, the accompanying unaudited condensed consolidated financial statements should be read in conjunction with Molycorp’s consolidated financial statements and related notes for the year ended December 31, 2012, included in Molycorp's Form 10-K filed on March 18, 2013. The balance sheet as of December 31, 2012 included in this Quarterly Report on Form 10-Q contains revisions related to the completion of the Company’s purchase price allocation with respect to the acquisition of Molycorp Canada (see Note 9 and 11 below).

The accompanying unaudited condensed consolidated financial statements reflect all adjustments, which are normal and recurring in nature, and which, in the opinion of management, are necessary for the fair presentation of Molycorp’s financial position, results of operations and cash flows at March 31, 2013, and for all periods presented. The accompanying unaudited condensed consolidated financial statements include the accounts of the Company and its consolidated subsidiaries. All intercompany balances and transactions have been eliminated in consolidation.

The preparation of the financial statements, in accordance with GAAP, requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Management bases its estimates on the Company’s historical experience and on various other assumptions that are believed to be reasonable under the circumstances. Actual results may differ significantly from these estimates under different assumptions and conditions. Significant estimates made by management in the accompanying financial statements include the collectability of accounts receivable, the recoverability of inventory, the useful lives and recoverability of long-lived assets such as property, plant and equipment, intangible assets, goodwill and investments, capital leases, uncertain tax positions, the fair values of assets acquired and liabilities assumed, including business combinations, and the adequacy of the Company’s asset retirement obligations.

In addition, certain prior period amounts have been reclassified to conform to the current period presentation. Such reclassifications did not affect results of operations.

(1A) Restatement

On August 6, 2013, the Company determined that its unaudited Condensed Consolidated Financial Statements for the three months ended March 31, 2013 contained an error with respect to the reconciliation of its physical inventory to the general ledger during the first quarter of 2013, which resulted in a cumulative overstatement of costs of sales and understatement of current inventory of approximately $16.0 million. This error also caused the income tax benefit in the first quarter of 2013 to be overstated by approximately $6.5 million. The inventory reconciliation error also involved errors in determining the proper inventory valuation and related write-downs of inventory attributable to abnormal costs and net realizable value calculations, resulting in the previously disclosed consolidated assessment of normal production levels to be understated by approximately $17.4 million, and the consolidated total write-down of inventory to be overstated by $18.0 million. The misstatement had no effect on the net cash used in operating activities or cash and cash equivalent at the end of the first quarter of 2013.

8

MOLYCORP, INC.

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2013 (Continued)

In addition, the Company determined that its unaudited Condensed Consolidated Financial Statements for the three months ended March 31, 2013 contained an error with respect to the accrual of certain severance charges, which resulted in an understatement of accrued expenses and selling, general and administrative expense of approximately $2.1 million. This error also caused the income tax benefit in the first quarter of 2013 to be understated by approximately $0.8 million. The misstatement had no effect on the net cash used in operating activities or cash and cash equivalent at the end of the first quarter of 2013.

Both errors described above affected the financial position and results of operations of the Resources segment.

The following tables reflect the impact of correcting the affected line items of the Company’s unaudited Condensed Consolidated Financial Statements at and for the three months ended March 31, 2013:

	At March 31, 2013
	As originally reported		As restated
(In thousands)
Inventory	$	231,502	$	247,453
Total current assets	755,260		771,211
Total assets	3,209,239		3,223,298
Accrued expenses	63,381		65,457
Total current liabilities	249,211		251,287
Deferred tax liabilities	135,691		136,055
Total non-current liabilities	1,504,839		1,505,203
Total liabilities	1,754,050		1,756,490
Total stockholders' equity	1,455,189		1,466,808
Total liabilities and stockholders' equity	3,209,239		3,223,298

	Three months ended March 31, 2013
	As originally reported			As restated
(In thousands, except per share amounts)
Costs of sales excluding depreciation and amortization	$	(152,544	)	$	(136,594	)
Gross loss	(20,486		)	(4,536		)
Selling, general and administrative expenses	(24,438		)	(26,514		)
Operating loss	(59,667		)	(45,793		)
Loss before income taxes and equity earnings	(71,445		)	(57,571		)
Income tax benefit	28,112			22,490
Net loss	(46,405		)	(38,153		)
Net loss attributable to Molycorp stockholders	(47,223		)	(38,971		)
Comprehensive loss	(49,699		)	(41,447		)
Comprehensive loss attributable to Molycorp stockholders	(48,881		)	(40,629		)
Loss per share of common stock:
Basic	(0.33		)	(0.27		)
Diluted	(0.33		)	(0.27		)

9

MOLYCORP, INC.

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2013 (Continued)

(2) Liquidity and Capital Requirements

Total capital expenditures for the modernization and expansion efforts and certain other capital projects at the Molycorp Mountain Pass Rare Earth Facility (the "Molycorp Mountain Pass facility") are expected to total approximately $1.54 billion. This updated projection includes certain expenditures that are expected to be deferred until 2014, including discretionary expenditures required only to expand production beyond the initial planned annual run rate of 19,050 metric tons ("mt") of rare earth oxides ("REO"), if and when market demand, product pricing, capital availability and financial returns will justify such production. Of the $1.54 billion projected capital expenditures and certain other capital projects at the Molycorp Mountain Pass facility, the total amount the Company had spent on a cash basis through June 30, 2013 was approximately $1.3 billion, excluding capitalized interest.

As of June 30, 2013, the Company estimates cash expenditures totaling approximately $150 million through December 31, 2013 and approximately $85 million in 2014 to fund remaining capital expenditures for the modernization and expansion efforts and certain other capital expenditures at the Molycorp Mountain Pass facility. Additionally, the Company expects to spend approximately $17 million on other maintenance and expansion capital expenditures across all operating segments during the second half of 2013, the majority of which is discretionary.

Other cash requirements for the remainder of 2013 include the final payment of approximately $6.0 million to the noncontrolling shareholder of the Company's majority owned Jiangyin Jia Hua Advanced Material Resources Co. Ltd. facility in Jiangyin, China, and preferred stock dividend payments of approximately $5.6 million, if and after they are declared by the Board of Directors of the Company to be paid in cash.

Given the combination of ramping up toward the initial planned run rate of 19,050 mt of REO per year at the Molycorp Mountain Pass facility, and the declining pricing environment of rare earth elements ("REEs"), the Company anticipates significantly lower than previously expected revenues and cash flow from operations through the remainder of 2013.

The Company plans to fund its capital expenditures primarily from its consolidated cash balances of $264.2 million as of June 30, 2013, and cash generated from operations. While the Company's cash balances as of June 30, 2013 will fund a substantial portion of its capital needs, the full funding of the Company's planned capital expenditures continues to be dependent on (i) its cost estimates for capital expenditures being accurate, (ii) its ability to ramp up run rates at its Molycorp Mountain Pass facility pursuant to its expectations without delays, (iii) its ability to generate sufficient cash flow from its operating segments, under variable market conditions that continue to be weaker than anticipated, to meet other cash needs (the Company estimates that a 15% drop in market prices for all REEs would reduce its estimated consolidated cash balance as of December 31, 2013 by approximately $8 million and that a 15% drop in volumes would reduce its estimated consolidated cash balance as of December 31, 2013 by approximately $30 million), (iv) its ability to sell its entire production of REO and (v) the absence of any payments on current and future contingent liabilities. If these assumptions prove inaccurate, its estimates could prove incorrect and it may need additional financing.

As part of its cash management procedures, the Company continues to pursue other sources of liquidity, including potential proceeds from revolving credit facilities, equity issuances, and lease and loan financing for certain equipment.

There can be no assurance that the Company will be successful in securing access to additional cash proceeds through the revolving credit facilities that it is currently pursuing, or other forms of financing on commercially acceptable terms, or at all. Accordingly, if necessary, the Company believes it has the ability to curtail capital expenditures and revise its current business plan to the extent necessary to preserve adequate liquidity sufficient to sustain operations.

(3) Segment Information

In the third quarter of 2012, management reorganized the Company's operations into four new reportable segments to better reflect its primary activities as a global producer of custom engineered, advanced rare earth materials: Resources; Chemicals and Oxides; Magnetic Materials and Alloys; and Rare Metals. The new composition of the Company's reportable segments is based on a combination of product lines and technologies aligned with its current strategy.

The Resources segment includes the Company's operations at its Molycorp Mountain Pass facility where it conducts rare earth minerals extraction to produce: rare earth concentrates; REO, including lanthanum, cerium, neodymium, praseodymium and yttrium; heavy rare earth concentrates, which include samarium, europium, gadolinium, terbium, dysprosium, and others; and SorbX^TM, a line of proprietary rare earth-based water treatment products.

10

MOLYCORP, INC.

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2013 (Continued)

The Chemicals and Oxides segment includes: production of REO at the Company's operations in Sillamäe, Estonia ("Molycorp Silmet"); heavy rare earth oxides from the Company's facilities in Jiangyin, Jiangsu Province, China; and production of REO, salts of REEs, zirconium-based engineered materials and mixed rare earth/zirconium oxides from the Company's facilities in Zibo, Shandong Province, China. Rare earths products and zirconium-based engineered products are primarily supplied to the automotive catalyst, electronics, ceramic, clean technology and glass industries.

The Magnetic Materials and Alloys segment includes: the production of neodymium-iron-boron ("NdFeB") magnet powders ("Neo Powders™") through Molycorp's wholly-owned manufacturing facilities in Tianjin, China and Korat, Thailand, under the Molycorp Magnequench brand. Neo Powders™ are used to make bonded magnets for a variety of electronic and mechanical products such as micro motors, precision motors, sensors and other applications requiring high levels of magnetic strength, flexibility, small size and reduced weight. This reporting segment also includes manufacturing of neodymium and samarium magnet alloys, other specialty alloy products and rare earth metals at Molycorp Metals and Alloys ("MMA") in Tolleson, Arizona.

The Rare Metals segment comprises: Molycorp's production of gallium, indium, tantalum and rhenium from its operations in Quapaw, Oklahoma; Blanding, Utah; Peterborough, Ontario; Napanee, Ontario; Sagard, Germany; and Hyeongok Industrial Zone in South Korea. This operating segment also includes tantalum and niobium from the Company's operations in Sillamäe, Estonia. Rare metals are primarily used in the wireless, light-emitting diode, flat panel display, turbine, solar and catalyst industries.

The asset retirement obligation is recognized only within the Resources segment. In addition, the annual profit earned from the Estonian operations is not taxed. In accordance with the Estonian Income Tax Act, only distribution of annual profit is subject to income tax in Estonia. Intersegment sales and transfers are based on similar arms-length transactions with third parties at the time of the sale.

Prior to the third quarter of 2012, the basis of segmentation of the Company's activities was the location of its operations. As a result of the changes in the composition of the Company's reportable segments discussed above, the prior period reporting segments presentation has been revised for comparative purposes.

11

MOLYCORP, INC.

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2013 (Continued)

Three months ended March 31, 2013 - As restated, Note 1A	Resources			Chemicals and Oxides			Magnetic Materials and Alloys			Rare Metals			Corporate and other(b) (d)			Eliminations(a)			Total Molycorp, Inc.
Revenues:	(In thousands)
External	$	14,658		$	49,600		$	54,678		$	27,431					$	—		$	146,367
Intersegment	2,645			14,610			—			—						(17,255		)	—
Total revenues	$	17,303		$	64,210		$	54,678		$	27,431					$	(17,255	)	$	146,367
Depreciation, amortization and accretion	$	(9,053	)	$	(5,537	)	$	(5,480	)	$	(2,403	)	$	(59	)	$	—		$	(22,532	)
Operating (loss) income	$	(40,126	)	$	(3,306	)	$	6,763		$	2,978		$	(11,564	)	$	(538	)	$	(45,793	)
(Loss) income before income taxes and equity earnings	$	(39,694	)	$	(2,891	)	$	16,900		$	3,731		$	(35,079	)	$	(538	)	$	(57,571	)
Total assets at March 31, 2013	$	1,884,262		$	599,389		$	610,890		$	111,276		$	1,042,315		$	(1,024,834	)	$	3,223,298
Capital expenditures (c)	$	92,339		$	2,961		$	1,041		$	2,931		$	74		$	—		$	99,346

Three months ended March 31, 2012	Resources			Chemicals and Oxides			Magnetic Materials and Alloys			Rare Metals			Corporate and other(b)			Eliminations(a)			Total Molycorp, Inc.
Revenues:	(In thousands)
External	$	44,478		$	7,320		$	18,956		$	13,716					$	—		$	84,470
Intersegment	1,832			3,210			—			—						(5,042		)	—
Total revenues	$	46,310		$	10,530		$	18,956		$	13,716					$	(5,042	)	$	84,470
Depreciation, amortization and accretion	$	(2,114	)	$	(315	)	$	(76	)	$	(1,202	)	$	(24	)	$	—		$	(3,731	)
Operating income (loss)	$	17,531		$	(13,537	)	$	145		$	1,392		$	(19,843	)	$	13,767		$	(545	)
Income (loss) before income taxes	$	17,599		$	(12,894	)	$	(137	)	$	2,230		$	(25,999	)	$	13,767		$	(5,434	)
Capital expenditures (c)	$	259,438		$	2,501		$	100		$	—		$	—		$	—		$	262,039

(a) The net elimination in operating results includes costs of sales eliminations of $16,717 and $18,809 for the three months ended March 31, 2013 and 2012, respectively, which consist of intercompany gross profits as well as eliminations of lower of cost or market adjustments related to intercompany inventory. The total assets elimination is comprised primarily of intercompany investments and intercompany accounts receivable and profits in inventory.

(b) Corporate loss before income taxes and equity earnings includes business development costs, personnel and related costs, including stock-based compensation expense, accounting and legal fees, occupancy expense, information technology costs and interest expense. Total corporate assets is comprised primarily of cash and cash equivalents and deferred tax assets.

(c) On an accrual basis excluding capitalized interest.

(d) First quarter 2013 loss at the Corporate segment includes severance charges of $2,077. See Note 24 for details.

12

MOLYCORP, INC.

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2013 (Continued)

(4) Trade Accounts Receivable

Trade accounts receivable are recorded at the invoiced amount and do not bear interest. The Company reviews the need for an allowance for doubtful accounts quarterly based on historical experience with each customer and the specifics of each arrangement. At March 31, 2013 and December 31, 2012, the allowance for doubtful accounts was $2.6 million.

(5) Inventory

At March 31, 2013 and December 31, 2012, inventory consisted of the following (in thousands):

	March 31, 2013		December 31, 2012
	As restated, Note 1A
Current:
Concentrate stockpiles	$	4,743	$	6,393
Raw materials	75,540		95,248
Work in process	53,134		55,229
Finished goods	95,135		114,903
Materials and supplies	18,901		15,603
Total current	$	247,453	$	287,376
Long-term:
Concentrate stockpiles	$	4	$	4
Raw materials	24,980		26,092
Total long-term	$	24,984	$	26,096

Assessment of normal production levels - As restated, Note 1A

For the three months ended March 31, 2013 and 2012, the Company determined that $22.0 million and $3.0 million, respectively, of production costs would have been allocated to additional production, assuming the Company had been operating at normal production ranges. As a result, these costs were excluded from inventory and instead expensed during the applicable periods. The assessment of normal production levels is judgmental and is unique to each quarter.

Write-downs of inventory - As restated, Note 1A

As a result of production or purchase costs in excess of net realizable value, the Company recognized write-downs of finished goods and work-in-process inventory of $19.7 million and $6.6 million for the three months ended March 31, 2013 and 2012, respectively. In addition, for the same respective periods, the Company recognized write-downs of stockpile inventory totaling $2.4 million and zero based on slow moving inventory and adjustments to estimated REO quantities. The level within the fair value hierarchy in which the write-downs of inventory are included is the significant other observable inputs—Level 2.

Subject to certain exceptions, substantially all of the property and assets of the Company are pledged as collateral for some of the Company's indebtedness, as further discussed in Note 14.

(6) Deposits

The Company had $26.6 million and $26.8 million in deposits reported as non-current assets at March 31, 2013 and December 31, 2012, respectively. The deposits at March 31, 2013 consisted of $20.6 million under an escrow arrangement for the Company’s facilities agreement with Kern River Gas Transmission Company, $1.5 million related to the Company’s construction insurance program, and $4.5 million comprised primarily of collateral placed against the surety bonds issued to California state and regional agencies for the closure and reclamation obligations at the Molycorp Mountain Pass facility.

13

MOLYCORP, INC.

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2013 (Continued)

(7)    Property, Plant and Equipment, net

The Company capitalized $120.9 million and $265.8 million for the three months ended March 31, 2013 and 2012, respectively, the majority of which related to the expansion and modernization of the Molycorp Mountain Pass facility. These amounts include capitalized interest of $21.5 million and $3.8 million, respectively.

At March 31, 2013 and December 31, 2012, property, plant and equipment consisted of the following (in thousands):

	March 31, 2013			December 31, 2012
Land	$	12,218		$	12,475
Land improvements	66,547			63,269
Buildings and improvements	336,867			237,379
Plant and equipment	261,183			194,934
Vehicles	2,907			2,842
Computer software	9,540			9,528
Furniture and fixtures	1,119			1,116
Construction in progress (a)	956,441			1,011,541
Capital Lease	15,658			15,658
Mineral properties	24,255			24,327
Exploration rights	16,166			16,166
Property, plant and equipment at cost	1,702,901			1,589,235
Less accumulated depreciation	(57,527		)	(44,931		)
Property, plant and equipment, net	$	1,645,374		$	1,544,304

(a) Represents costs incurred at the Molycorp Mountain Pass facility and all other capital projects. See Note 2.

Subject to certain exceptions, substantially all of the property and assets of the Company are pledged as collateral for some of the Company's indebtedness, as further discussed in Note 14.

(8) Mineral Properties, Development Costs and Exploration Rights

Mineral properties and development costs, which are referred to collectively as mineral properties, include acquisition costs, drilling costs, and the cost of other development work, all of which are capitalized. The Company began depleting mineral properties in 2012 using the units of production method over estimated proven and probable reserves. For the three months ended March 31, 2013, the Company capitalized a nominal amount of depletion costs in work-in-process inventory related to the reserves that were mined and crushed during that period.

Exploration rights represent acquired rights to explore properties that are believed to potentially contain mineral deposits.

(9) Goodwill and Other Intangible Assets

There were some changes in the carrying amount of goodwill as a result of adjusting the preliminary values assigned to certain assets and liabilities of Molycorp Canada based on additional information obtained since June 11, 2012. See Note 11 below for details. However, the Company recognized additional goodwill impairment of $31.6 million that completely offset the goodwill recognized as a result of those adjustments.

14

MOLYCORP, INC.

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2013 (Continued)

	December 31, 2012					Additional impairment			March 31, 2013
	Reported		Adjustment
	(In thousands)
Chemicals and Oxides	$	125,229	$	16,132		$	(16,132	)	$	125,229
Magnetic Materials and Alloys	102,808		16,716			(16,716		)	102,808
Rare Metals	11,705		(1,232		)	1,232			11,705
Total	$	239,742	$	31,616		$	(31,616	)	$	239,742

At March 31, 2013 and December 31, 2012, other intangible assets consisted of the following (in thousands):

	Customer relationships			Rare earth quotas		Patents		Trade names			Land use rights		Other		Total
Gross carrying amount
At December 31, 2012	$	344,774		78,300		33,252		$	15,586		3,568		4,420		$	479,900
Foreign currency translation adjustment	(90		)	—		—		—			—		—		(90		)
At March 31, 2013	$	344,684		$	78,300	$	33,252	$	15,586		$	3,568	$	4,420	$	479,810
Amortization
At December 31, 2012	$	14,095		4,035		9,365		$	1,152		66		249		$	28,962
Adjustments	—			—		—		(873		)	—		—		(873		)
Amortization	4,888			1,679		3,285		16			22		154		10,044
At March 31, 2013	18,983			5,714		12,650		295			88		403		38,133
Net book value	$	325,701		$	72,586	$	20,602	$	15,291		$	3,480	$	4,017	$	441,677

At March 31, 2013, trade names included indefinite-lived intangible assets with a gross carrying amount of $14.8 million. During the first quarter of 2013, the Company reversed an immaterial prior period amortization related to these assets as part of certain measurement period adjustments associated with the acquisition of Molycorp Canada.

Total amortization expense of all other intangible assets during the three months ended March 31, 2012 was nominal.

(10) Investments

Boulder Wind Power, Inc.

On September 13, 2011, the Company invested $20.0 million into Boulder Wind Power, Inc. Series B convertible preferred stock, which is accounted for at cost. At March 31, 2013, the fair value of this investment was not estimated as there were no identified events or changes in circumstances that may have had a significant adverse effect on the fair value of the investment.

Intermetallics Japan Joint Venture

In January 2012, Molycorp, Daido Steel Co., Ltd. (“Daido”) and Mitsubishi Corporation (“Mitsubishi”) entered into a definitive shareholders agreement for the purpose of funding a new joint venture, Intermetallics Japan ("IMJ"), to manufacture sintered NdFeB permanent rare earth magnets. The capital contribution ratio of IMJ is 30.0% by Molycorp, 35.5% by Daido and 34.5% by Mitsubishi.

15

MOLYCORP, INC.

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2013 (Continued)

During the first quarter of 2013, Molycorp contributed $3.4 million in cash to complete the acquisition of its proportional ownership in IMJ. Total contributions by Molycorp to IMJ from the signing of the definitive shareholders agreement were $31.1 million.

Molycorp accounts for this investment under the equity method because it has the ability to exercise significant influence over the operating and financial policies of IMJ, as evidenced by Molycorp’s ownership share and its proportional voting rights and representation in the Board of Directors of IMJ. The condensed consolidated statements of operations and comprehensive income for the three months ended March 31, 2013 and 2012 include a loss of $2.0 million and $0.2 million, respectively, associated with this equity method interest.

Molycorp Canada Investments

As a result of the acquisition of Neo Material Technologies Inc., formerly referred to as Neo or Neo Materials and now Molycorp Minerals Canada ULC or Molycorp Canada, in June 2012, Molycorp acquired the following investments:

• 25% ownership interest in Ganzhou Keli Rare Earth New Material Co., Ltd. (“Keli”), a company that converts REO into metals for use in Neo Powders™. The purchase allocation attributable to this investment at the time of the Molycorp Canada acquisition was $12.2 million. Molycorp accounts for this ownership interest under the equity method because it has the ability to exercise significant influence over the operating and financial policies of Keli, as evidenced by Molycorp’s ownership share and its proportional voting rights. The condensed consolidated statements of operations and comprehensive income include a loss of $1.0 million for the three months ended March 31, 2013 associated with this equity method ownership interest.

• 33% ownership interest in Toda Magnequench Magnetic Materials Co. Ltd. (“TMT”), a company that produces rare earth magnetic compounds with Neo Powders™ supplied by Magnequench (Tianjin) Company Limited in its normal course of business. The purchase allocation attributable to this investment at the time of the Molycorp Canada acquisition was $1.6 million. Molycorp accounts for this ownership interest under the equity method because it has the ability to exercise significant influence over the operating and financial policies of TMT, as evidenced by Molycorp’s ownership share and its proportional voting rights.

• 50% ownership interest in Ingal Stade GmbH (“Ingal Stade”), a joint venture facility in Stade, Germany, which extracts gallium metal from alumina smelter bayer liquor with purity level of 5N (99.999%) or higher. The purchase allocation attributable to this investment at the time of the Molycorp Canada acquisition was $4.9 million. Molycorp accounts for this ownership interest under the equity method because it has the ability to exercise significant influence over the operating and financial policies of Ingal Stade, as evidenced by Molycorp’s ownership share and its proportional voting rights.

• 19.5% ownership interest in Atlantic Metals & Alloys, LLC, a company which provides refining services for residues and scrap of the rare and platinum group metals. The purchase allocation attributable to this investment at the time of the Molycorp Canada acquisition was $1.4 million. Molycorp accounts for this ownership interest under the cost method. At March 31, 2013, the fair value of this investment was not estimated as there were no identified events or changes in circumstances that may have had a significant adverse effect on the fair value of the investment.

• 7% ownership interest in Vive Crop Protection, a company that specializes in the formulation of active ingredients used in crop protection. The purchase allocation attributable to this investment at the time of the Molycorp Canada acquisition was $0.9 million. Molycorp accounts for this ownership interest under the cost method. At March 31, 2013, the fair value of this investment was not estimated as there were no identified events or changes in circumstances that may have had a significant adverse effect on the fair value of the investment.

16

MOLYCORP, INC.

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2013 (Continued)

(11) Acquisitions

Molycorp Canada

On June 11, 2012, Molycorp completed the acquisition of all of the outstanding equity of Molycorp Canada's predecessor company pursuant to the terms of an arrangement agreement (the "Arrangement Agreement") for an aggregate purchase price of approximately $1,192.3 million. Pursuant to the Arrangement Agreement, Molycorp Canada's former shareholders elected to receive: (a) cash consideration equal to Canadian dollars ("Cdn") $11.30 per share of Molycorp Canada's predecessor company's common stock; or (b) share consideration of 0.4242 shares of Molycorp common stock or 0.4242 shares (the "Exchangeable Shares") issued by MCP Exchangeco Inc., Molycorp's wholly-owned Canadian subsidiary, which are exchangeable for shares of Molycorp's common stock on a one-for-one basis, per each share of Molycorp Canada's predecessor company's common stock; or (c) a combination of cash and shares of Molycorp common stock or Exchangeable Shares, all subject to the proration mechanics set forth in the Arrangement Agreement.

The consideration paid to Molycorp Canada's former shareholders was comprised of approximately $908.2 million in cash, exclusive of realized losses on the contingent forward contract to purchase $870.0 million Canadian dollars, accounted for as a separate transaction apart from the business combination, as further discussed in Note 25. Additionally, 13,534,950 shares of Molycorp common stock and 507,203 Exchangeable Shares were issued and collectively valued at $284.1 million based on the closing price of the Company's common stock on the acquisition date in accordance with the relevant accounting guidance. The Exchangeable Shares have no par value.

A preliminary allocation of the consideration transferred to the net assets of Molycorp Canada was made as of June 11, 2012. During the second quarter of 2013, the Company further adjusted the preliminary values assigned to certain assets and liabilities of Molycorp Canada in order to reflect additional information obtained since June 11, 2012. As a result of the additional goodwill recognized during the final allocation of the consideration transferred to the net assets of Molycorp Canada, the goodwill impairment the Company recognized in the fourth quarter of 2012 has increased by $31.6 million to $287.9 million. The measurement period adjustments described in the table below have been reflected in the opening balance sheet; however, since these adjustments did not have a significant impact on the Company's condensed consolidated statements of operations and comprehensive income or cash flows in any period, those statements were not retrospectively adjusted.

The following table summarizes the determination of the fair value of identifiable assets acquired and liabilities assumed in the Molycorp Canada acquisition:

17

MOLYCORP, INC.

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2013 (Continued)

	Preliminary Allocation of Consideration Transferred as of December 31, 2012			Measurement Period Adjustments			Final Allocation of Consideration Transferred
Purchase consideration:	(In thousands)
Cash consideration	$	908,181					$	908,181
Fair value of Molycorp common stock and Exchangeable Shares issued	284,144						284,144
Total purchase consideration	$	1,192,325					$	1,192,325
Estimated fair values of the assets and liabilities acquired:
Cash and cash equivalents	$	317,169		$	—		$	317,169
Restricted cash	4,951			—			4,951
Accounts receivable	101,470			—			101,470
Inventory	250,989			—			250,989
Prepaid expenses and other current assets	26,893			—			26,893
Property, plant and equipment	75,745			—			75,745
Investments	21,019			(1,091		)	19,928
Intangibles	482,234			—			482,234
Deferred tax charges	13,435			—			13,435
Deferred tax assets	11,473			(1,423		)	10,050
Goodwill	494,809			31,616			526,425
Other non-current assets	4,367			—			4,367
Accounts payable and accrued expenses	(138,576		)	—			(138,576		)
Debt	(255,338		)	—			(255,338		)
Other current liabilities	(33,990		)	—			(33,990		)
Deferred tax liabilities	(154,309		)	5,880			(148,429		)
Other non-current liabilities	(14,255		)	—			(14,255		)
Non-controlling interests	(15,761		)	(34,982		)	(50,743		)
Total purchase consideration	$	1,192,325		$	—		$	1,192,325

Goodwill associated with the Molycorp Canada acquisition arose primarily because of Molycorp Canada's proven leadership in the development, processing, and distribution of technically advanced rare earth products; greater exposure to the world’s largest and fastest-growing rare earths consuming market, China; deferred tax liabilities; and expected synergies that do not qualify for separate recognition. The goodwill is not amortized and is not deductible for tax purposes. During the fourth quarter of 2012, after giving effect to the final purchase price adjustments as noted above, the Company recognized a goodwill impairment of $287.9 million, and an impairment of patents of $6.0 million related to the Molycorp Canada acquisition.

The revenues, earnings and earnings per share of the combined entity had the acquisition date been January 1, 2011, were as follows:

(In thousands, except per share amounts)	Revenues		Net Income (Loss)		Net Income (Loss) Attributable To Molycorp		EPS Basic
Unaudited pro forma January 1, 2012 to March 31, 2012 (combined entity)	$	263,322	$	68,298	$	66,506	$	0.73

The unaudited pro forma amounts are not necessarily indicative of the operating results that would have occurred if the Molycorp Canada acquisition had taken place on January 1, 2011. The unaudited pro forma revenues, earnings and earnings per share of the combined entity above are adjusted: a) to eliminate the effect of sales and costs that occurred previous to the business combination between the Company and Molycorp Canada; b) to reflect the net incremental depreciation and

18

MOLYCORP, INC.

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2013 (Continued)

amortization expense as a result of the allocation of the purchase price to certain depreciable and amortizable assets with useful lives ranging from two to 30 years; c) the tax effect of unaudited pro forma adjustments using the Molycorp federal, state and international statutory tax rates based on the applicable tax jurisdictions; and d) the estimated net increase of interest expense associated with the issuance of the Company's Senior Notes (as defined below) as part of the acquisition. The unaudited pro forma earnings of the combined entity for the three months ended March 31, 2012 were also adjusted to exclude $115.2 million of non-recurring direct transaction costs. The weighted average number of shares outstanding utilized in the EPS basic calculation have been adjusted to reflect the additional shares issued pursuant to the acquisition of Molycorp Canada and the Molibdenos y Metales S.A. equity financing.

(12) Accrued Expenses

Accrued expenses at March 31, 2013 and December 31, 2012 consisted of the following (in thousands):

	March 31, 2013		December 31, 2012
	As restated, Note 1A
Defined contribution plan	$	1,955	$	1,400
Professional fees	4,727		4,971
Accrued payroll and related benefits	6,399		7,532
Sales and use tax	1,827		7,187
Bonus accrual	4,049		3,503
Interest payable	28,065		15,253
Advance from customer	797		1,753
Withholding taxes	3,315		2,929
Amount payable to noncontrolling shareholder	9,737		9,640
Other accrued expenses	4,586		4,845
Total accrued expenses	$	65,457	$	59,013

(13) Asset Retirement Obligation

The following table presents the activity in the Company’s asset retirement obligation for the three months ended March 31, 2013 and the year ended December 31, 2012 (in thousands):

	Three Months Ended March 31, 2013			Year Ended December 31, 2012
Balance at beginning of period	$	22,125		$	15,541
Obligations settled	(308		)	(2,954		)
Accretion expense	344			1,299
Revisions in estimated cash flows	—			7,872
Loss on settlement	—			367
Balance at end of period	$	22,161		$	22,125

The balances above for the three months ended March 31, 2013 and the year ended December 31, 2012 include a short-term portion of $4.6 million and $3.5 million, respectively, which were recorded under other current liabilities.

During 2012, the Company increased its projected asset retirement obligation cash flows by approximately $7.9 million, of which $3.8 million related to the addition of new processing facilities at its Molycorp Mountain Pass facility and $4.1 million related to revised estimates for the demolition and reclamation of the old mill and mineral recovery areas at the same facility.

19

MOLYCORP, INC.

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2013 (Continued)

The Company is required to provide the applicable governmental agencies with financial assurances relating to its closure and reclamation obligations. At March 31, 2013, the Company had financial assurance requirements of $28.8 million, which were satisfied with surety bonds placed with California state and regional agencies.

(14) Debt and Capital Lease Obligations

The following table provides a summary of the current and non-current portions of Molycorp's debt outstanding at March 31, 2013 and December 31, 2012 (in thousands):

	March 31, 2013				December 31, 2012
	Current		Non-Current		Current		Non-Current
Bank loans due April 2013 - September 2017	$	28,410	$	3,714	$	39,252	$	4,118
3.25% Convertible Notes, net of discount, due June 2016	—		200,734		—		198,689
6.00% Convertible Notes, net of discount, due June 2017	—		335,532		—		331,977
5.00% Debentures, net of discount, due December 2017	—		2,774		—		2,774
5.50% Convertible Notes, net of discount, due February 2018	—		144,549		—		—
10% Senior Secured Notes, net of discount, due June 2020	—		636,431		—		636,111
Total debt	28,410		1,323,734		39,252		1,173,669
Capital lease obligations	378		15,059		352		15,163
Total debt and capital lease obligations	$	28,788	$	1,338,793	$	39,604	$	1,188,832

Scheduled minimum debt repayments, excluding capital lease obligations, are $28.2 million for the remainder of 2013, $1.5 million in 2014, $1.5 million in 2015, $230.8 million in 2016, $417.2 million in 2017 and $823.0 million thereafter.

Future minimum capital lease payments were approximately $47.0 million at March 31, 2013, in the aggregate, and will be $5.1 million in 2013 and in each of the four succeeding fiscal years, and $21.6 million thereafter.

Weighted average interest rate on the bank loans was 4.26% and 3.57% at March 31, 2013 and December 31, 2012, respectively.

Additional detail on the convertible debt instruments that may be settled entirely or partially in cash upon conversion in a manner that reflects the issuer's economic interest cost is as follows (in thousands):

	3.25% Convertible Notes				6.00% Convertible Notes				5.50% Convertible Notes
	At March 31, 2013		At December 31, 2012		At March 31, 2013		At December 31, 2012		At March 31, 2013		At December 31, 2012
Liability component (a)	$	198,412	$	196,702	$	332,942	$	330,177	$	144,357	n/a
Equity component	$	36,251	$	36,251	$	68,695	$	68,695	$	21,815	n/a
	Three Months Ended March 31, 2013		Three Months Ended March 31, 2012		Three Months Ended March 31, 2013		Three Months Ended March 31, 2012		Three Months Ended March 31, 2013		Three Months Ended March 31, 2012
Accretion of liability component	$	1,710	$	1,594	$	2,765	n/a		$	573	n/a
Interest cost (b)	$	3,920	$	3,791	$	9,813	n/a		$	2,297	n/a
Capitalized interest	$	2,581	$	3,791	$	6,461	n/a		$	1,509	n/a
(a) The liability component is the difference between the net proceeds and the equity component of a convertible note that can be settled in a combination of cash and shares of stock at the election of the issuer. The equity component represents the conversion feature of a convertible note and is treated as original issue discount in addition to the underwriting discount. The liability component includes the periodic amortization of the additional discount.
(b) Interest cost includes the coupon interest, the accretion of the liability component, the accretion of the underwriting discount and the amortization of the issuance costs allocated to the liability component.

20

MOLYCORP, INC.

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2013 (Continued)

Debt Issuance First Quarter 2013

On January 30, 2013, the Company issued $150.0 million aggregate principal amount of its 5.50% Convertible Senior Notes due 2018 (the “5.50% Convertible Notes”) in a registered public offering. Certain officers, directors and other related parties of the Company purchased $20.5 million of this aggregate principal amount. On March 1, 2013, the underwriters of such offering purchased an additional $22.5 million aggregate principal amount of the 5.50% Convertible Notes. After deducting the underwriting discounts and commissions, total net proceeds from the issuance of the 5.50% Convertible Notes were $165.6 million.

The 5.50% Convertible Notes are Molycorp's senior unsecured obligations and pay a 5.50% interest semi-annually in arrears on February 1 and August 1 of each year, commencing on August 1, 2013. The 5.50% Convertible Notes are convertible at any time into shares of Molycorp's common stock, cash, or a combination thereof, at Molycorp's election. The conversion rate will initially be 138.8889 shares of Molycorp common stock per $1,000 principal amount of notes (equivalent to an initial conversion price of approximately $7.20 per share of Molycorp's common stock), subject to customary adjustments. The 5.50% Convertible Notes will mature on February 1, 2018, unless earlier repurchased, redeemed or converted in accordance with their terms prior to that date. Molycorp will have the right to redeem the 5.50% Convertible Notes on or after February 1, 2016 if the last reported sale price of its common stock has been at least 130% of the conversion price then in effect for at least 20 trading days (whether or not consecutive) during any 30 consecutive trading day period. The 5.50% Convertible Notes rank equal in right of payment to existing and future liabilities that are not expressly subordinated to the 5.50% Convertible Notes, and rank effectively junior to Molycorp's existing and future secured indebtedness.

The Company separately accounts for the liability and equity components of convertible debt instruments, such as the 5.50% Convertible Notes, that may be settled entirely or partially in cash upon conversion in a manner that reflects the issuer's economic interest cost. The additional discount on the liability component is amortized to interest cost over the term of the 5.50% Convertible Notes. The equity component of the 5.50% Convertible Notes is included in the additional paid-in capital section of the statement of stockholders' equity and is treated as original issue discount for purposes of accounting for the liability component. Details on the liability and equity component, accretion of liability component and interest cost of the 5.50% Convertible Notes are disclosed in the table above.

Senior Secured Obligations

The 10% Senior Secured Notes due 2020 ("Senior Notes") are senior secured obligations of Molycorp and are guaranteed by certain of Molycorp’s domestic subsidiaries ("Guarantors"). The Senior Notes are secured by a first-priority security interest on substantially all of the property and assets of the Company and the Guarantors, subject to some exceptions for certain "Excluded Assets," such as:

• Leasehold interests in real property;

• Certain capital leases that constitute permitted liens;

• Certain motor vehicles;

• Assets owned by foreign subsidiaries or, subject to certain limitations, MMA;

• Assets with a fair market value of less than $15.0 million as to which the board of directors determine in good faith (and certify to the collateral agent) that the costs of obtaining or perfecting such security interest are excessive in relation to the practical benefit to the holder of the Notes of the security afforded thereby (based on the value of such asset);

• Cash collateral for letters of credit or hedging obligations (up to 105% of the underlying obligations);

• Certain deposit accounts;

• The equity interests of immaterial subsidiaries and, subject to certain limitations, MMA;

• Voting stock of foreign subsidiaries in excess of 65.0% of the voting stock; and

• Other pledges of stock of a guarantor to the extent that Rule 3-16 of Regulation S-X under the Securities Act would require the filing of separate financial statements of such guarantor.

21

MOLYCORP, INC.

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2013 (Continued)

(15) Income Taxes - As restated, Note 1A

The Company's net loss before income taxes and equity earnings of $57.6 million for the three months ended March 31, 2013 contained no material permanent differences between income for financial reporting and tax purposes. The Company had net deferred income tax liabilities of $126.6 million at March 31, 2013 primarily related to the acquisition of Molycorp Canada.

At March 31, 2013, Molycorp determined that a valuation allowance of $22.7 million was required. In making this determination, management analyzed, among other things, the Company's recent history of earnings and cash flows, forecasts of future earnings, and the nature and timing of future deductions and benefits represented by the deferred tax assets and liabilities.

The Company has undistributed earnings of certain foreign subsidiaries at March 31, 2013, for which deferred taxes of $24.9 million have been provided. Also, it had undistributed earnings of certain foreign subsidiaries at March 31, 2013, for which deferred taxes have not been provided. Such earnings are considered indefinitely invested in the foreign subsidiaries. If such earnings were repatriated, additional tax expense may result, although the calculation of such additional taxes is not practicable.

The net tax effect of the elimination in consolidation of intercompany balances and transactions resulted in a deferred charge and income tax payable of $6.1 million at March 31, 2013.

Each quarter, the Company evaluates the liability for uncertain tax positions and, at March 31, 2013, had a $6.2 million unrecognized tax benefit. As a result of the statute of limitations that expire in the next 12 months in various jurisdictions, and possible settlements of audit-related issues with taxing authorities in various jurisdictions, the Company believes that it is reasonably possible that the total amount of its net unrecognized income tax benefits will decrease by approximately $4.0 million to $6.0 million in the next 12 months and, if recognized, would affect the Company's effective income tax rate.

As a result of a change in the applicable withholding tax rate related to the unremitted earnings of a certain foreign subsidiary, $2.9 million of deferred tax liabilities have decreased. This decrease has been recorded as a discrete income tax benefit in the first quarter of 2013. In addition, as a result of the American Taxpayer Relief Act which was signed into law on January 2, 2013, $5.8 million of deferred tax liabilities related to the earnings of certain foreign subsidiaries have decreased. These decreases have been recorded as a discrete income tax benefit in the first quarter of 2013.

(16) Stockholders’ Equity

At March 31, 2013 and December 31, 2012, the Company had 188,569,184 and 138,773,538 shares of common stock outstanding, respectively, and 2,070,000 shares of 5.50% Series A Mandatory Convertible Preferred Stock (“Convertible Preferred Stock”) outstanding. In the first quarter of 2013, the Company declared a cash dividend of $1.375 per share on the Convertible Preferred Stock and paid $2.8 million of the aggregate preferred dividend.

On January 30, 2013, the Company issued 37,500,000 shares of its common stock at a price per share of $6.00 (the “2013 Primary Shares”). The underwriters of this public offering purchased an additional 5,625,000 shares of the 2013 Primary Shares at a price per share of $6.00 on February 5, 2013. The underwriters received a 6.00% fee in the form of an underwriter's discount for the 2013 Primary Shares. Certain officers, directors and other related parties of the Company participated in offering of the 2013 Primary Shares by purchasing 15,016,666 of the total 2013 Primary Shares issued. No underwriting fees were charged to the Company for the purchases of the 2013 Primary Shares by the insiders. After deducting the underwriting discounts and commissions, total net proceeds from the issuance of the 2013 Primary Shares were $248.6 million.

Concurrently with the issuance of the 2013 Primary Shares, and in order to facilitate the offering of the 5.50% Convertible Notes, the Company entered into a share lending agreement with Morgan Stanley Capital Services LLC (“MSCS”), an affiliate of Morgan Stanley & Co. LLC, under which it agreed to loan to MSCS up to 7,666,666 shares of common stock (the “2013 Borrowed Shares”), of which 6,666,666 shares were offered through Morgan Stanley at a price per share of $6.00 in a registered public offering in the first quarter of 2013. MSCS did not exercise its option to borrow the remaining additional shares of common stock under this share lending agreement. The Company received no proceeds from the 2013 Borrowed Shares, but only a nominal lending fee from MSCS for the use of these loaned shares. The 2013 Borrowed Shares are issued and outstanding for corporate law purposes. However, based on certain contractual undertakings of MSCS in the share lending agreement that have the effect of substantially eliminating the economic dilution that otherwise would result from the issuance

22

MOLYCORP, INC.

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2013 (Continued)

of the 2013 Borrowed Shares, these loaned shares will not be considered outstanding for the purpose of computing and reporting Molycorp's earnings per share.    

In connection with of the acquisition of Molycorp Canada on June 11, 2012, MCP Exchangeco Inc. issued an aggregate of 507,203 Exchangeable Shares in consideration for that portion of the purchase price Molycorp paid to Molycorp Canada’s former shareholders who elected to receive shares of MCP Exchangeco Inc. at the time of acquisition, and later convert the Exchangeable Shares into Molycorp common stock. During the first quarter of 2013, 10,476 Exchangeable Shares were converted into Molycorp common stock and, as of March 31, 2013, an aggregate of 350,672 Exchangeable Shares had been converted into shares of Molycorp common stock.

(17) Loss per Share

For the three months ended March 31, 2013 and 2012, the dividends on the Convertible Preferred Stock were subtracted from net loss attributable to Molycorp stockholders for the purpose of computing the basic and diluted earnings per share.

	Three Months Ended March 31,
(In thousands, except share and per share amounts)	2013			2012
	As restated, Note 1A
Net loss attributable to Molycorp stockholders	$	(38,971	)	$	(3,478	)
Dividends on Convertible Preferred Stock	(2,846		)	(2,846		)
Loss attributable to common stockholders	(41,817		)	(6,324		)
Weighted average common shares outstanding—basic	153,314,081			87,006,460
Basic loss per share	$	(0.27	)	$	(0.07	)
Weighted average common shares outstanding—diluted	153,314,081			87,006,460
Diluted loss per share	$	(0.27	)	$	(0.07	)

Diluted earnings per share reflect the dilutive impact of potential common stock and unvested restricted shares of common stock in the weighted average number of common shares outstanding during the period, if dilutive. For this purpose, the “treasury stock method” and “if-converted method,” as applicable, are used.

Under the treasury stock method, assumed proceeds upon the exercise of stock options are considered to be used to purchase common stock at the average market price of the shares during the period. Also under the treasury stock method, fixed awards and non-vested shares, such as restricted stock units, are deemed options for purposes of computing diluted earnings per share. At March 31, 2013 and 2012, all potential common stock under the treasury stock method were antidilutive in nature; consequently, the Company did not have any adjustments between earnings per share and diluted earnings per share related to stock options and restricted stock units.

In applying the if-converted method, conversion is not assumed for purposes of computing diluted earnings per share if the effect would be antidilutive. Convertible preferred stock is antidilutive whenever the amount of the dividend declared in or accumulated for the current period per common share obtainable on conversion, including the deemed dividend in the period from a beneficial conversion feature, exceeds basic earnings per share. Molycorp's Convertible Preferred Stock was antidilutive at March 31, 2013 and 2012.

Also, under the if-converted method, convertible debt is antidilutive whenever its interest per common share obtainable on conversion, including any deemed interest from a beneficial conversion feature and nondiscretionary adjustments, net of tax, exceeds basic earnings per share. At March 31, 2013 and 2012, all of the Company's convertible notes were antidilutive.

(18) Stock-Based Compensation

Molycorp has stock-based compensation plans for executives, eligible employees and non-employee directors. Stock-based awards issued under these plans include stock options to purchase shares of the Company’s common stock, restricted stock awards (“RSAs”), restricted stock units (“RSUs”) and, starting in the first quarter of 2012, performance-based restricted stock units ("PBRSUs"). Quarterly amounts recognized in total for all stock-based awards were as follows (in millions):

23

MOLYCORP, INC.

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2013 (Continued)

	Three Months Ended March 31,
	2013	2012
Compensation benefit (cost), net of forfeitures	$0.3	$(0.8)

The compensation benefit in the first quarter of 2013 was attributable to the recognition of forfeiture amounts in excess of stock-based compensation expenses for the period, which were in total approximately $0.8 million for all stock-based awards outstanding at March 31, 2013.

During the first quarter of 2013 and 2012, the Company granted RSUs to certain non-employee directors who elected to convert a portion of their quarterly cash retainer into restricted stock. These converted RSUs are fully vested because they relate to services already rendered by the non-employee directors. The same non-employee directors who elected to convert their cash retainer into RSUs, received additional RSUs as matching contributions by the Company equal to 25% of the converted units. The matching RSUs vest on the third anniversary of the grant date.

The following tables summarize the activity related to restricted stock and stock options for the three months ended March 31, 2013:

PBRSUs	Number of Shares		Weighted Average Grant-Date Price
Unvested at January 1, 2013	29,302		30.33
Granted	—		$	—
Forfeited	(8,395	)	$	30.33
Vested	—		—
Unvested at March 31, 2013	20,907		$	30.33

RSUs	Number of Shares		Weighted Average Grant-Date Price
Unvested at January 1, 2013	181,602		$	32.15
Granted	6,399		$	5.81
Forfeited	(46,380	)	$	36.77
Vested*	(5,120	)	$	5.81
Unvested at March 31, 2013	136,501		$	31.39

* Relates to the deferral and conversion of a portion of fees payable to certain non-employee directors of the Company.

RSAs	Number of Shares		Weighted Average Grant-Date Price
Unvested at January 1, 2013	39,974		$	40.09
Granted	—		—
Forfeited	(7,697	)	$	39.24
Vested	—		—
Unvested at March 31, 2013	32,277		$	38.02

24

MOLYCORP, INC.

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2013 (Continued)

Stock Options	Number of Shares		Weighted Average Exercise Price
Outstanding at January 1, 2013	35,624		$	48.87
Granted	—		—
Exercised	—		—
Forfeited and expired	(8,238	)	48.87
Outstanding at March 31, 2013	27,386		$	48.87
Options exercisable at March 31, 2013	18,257		$	48.87

(19) Commitments and Contingencies

(a) Future Operating Lease Commitments

The Company has certain operating leases for office space, trailers and certain equipment. Remaining annual minimum payments under these leases at March 31, 2013 were as follows:

(In thousands)	Total		Less Than 1 Year		1 - 3 Years		4 - 5 Years		More Than 5 Years
Operating lease obligations	$	8,174	$	2,751	$	3,878	$	420	$	1,125

(b) Purchase Commitments

In connection with the Molycorp Mountain Pass facility modernization and expansion and future operations, the Company entered into contractual commitments for the purchase of materials and services from various vendors. Future payments for all purchase commitments at March 31, 2013 were as follows:

(In thousands)	Total		Less Than 1 Year		1 - 3 Years		4 - 5 Years		More Than 5 Years
Purchase obligations and other commitment	$	260,593	$	232,805	$	14,076	$	7,329	$	6,383

(c) Labor Contract

Certain Molycorp Mountain Pass facility employees are covered by a collective bargaining agreement with the United Steelworkers of America that expires on March 15, 2015. At March 31, 2013, 234 employees, or approximately 61% of the Company’s workforce at the Molycorp Mountain Pass facility, were covered by this collective bargaining agreement.

At March 31, 2013, 174 employees, or approximately 29% of the workforce at the Company’s Molycorp Silmet facility, were unionized employees. The contract with the labor union in Estonia was renewed in February 2012.

(d) Reclamation Surety Bonds

At March 31, 2013, Molycorp had placed $28.8 million of surety bonds with California state and regional agencies to secure its Mountain Pass facility closure and reclamation obligations.

(e) Purported Class Action, Derivative Lawsuits and Investigation

In February 2012, a purported class action lawsuit captioned, Angelo Albano, Individually and on Behalf of All Others Similarly Situated v. Molycorp, Inc., et al., was filed against the Company and certain of its executive officers in the U.S. District Court for the District of Colorado. This federal court action alleges, among other things, that the Company and those

25

MOLYCORP, INC.

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2013 (Continued)

officers violated Section 10(b) of the Securities Exchange Act of 1934 in connection with statements relating to its third quarter fiscal 2011 financial results and fourth quarter 2011 production guidance that the Company had filed with or furnished to the SEC, or otherwise made available to the public. In July 2012, the plaintiffs filed an amended consolidated class action complaint against the Company, certain of its officers and directors, certain of its private equity investors, and certain underwriters involved in our public offerings in 2011. The amended complaint alleges, among other things, that some or all of the defendants violated Sections 10(b), 20(a) and 20A of the Securities Exchange Act of 1934 as well as Sections 11, 12(a)(2) and 15 of the Securities Act . The plaintiffs are seeking unspecified damages and other relief. In October 2012, the defendants filed a motion to dismiss all the claims in the amended complaint. The motion has been fully briefed and is pending. No hearing date has been set. The Company believes the allegations are without merit and that it has valid defenses to such allegations. The Company intends to defend this action vigorously. The Company is unable to provide meaningful quantification of how the final resolution of these claims may impact its future consolidated financial position or results of operations.

Seven stockholder derivative lawsuits have been filed in three different jurisdictions purportedly on behalf of Molycorp, Inc., against certain of its directors and officers, and certain of its private equity investors. These cases have been filed in the Delaware Court of Chancery, the U.S. District Court in Colorado, and the District Court in Arapahoe County, Colorado. They are captioned: Gaines v. Smith et al., Case No. 7282 (Del. Ch. Feb. 12, 2012); Paskowitz v. Smith et al., Case No. 7319 (Del. Ch. Mar. 9, 2012); Wilson v. Smith et al., No. 7395-VCN (Del. Ch. April 4, 2012); Wells v. Smith et al., No. 1:12-cv-00447-WJM (D. Colo. Feb. 21, 2012); Swaggerty v. Smith et al., No. 12-cv-00589-CMA-KLM (D. Colo. Mar. 7, 2012); Clem v. Smith et al., No. 12 CV 392 (Arapahoe Cnty., Colo. Feb. 24, 2012); and Nationwide Consulting, Inc. v. Smith et al., No. 12 CV 448 (Arapahoe Cnty., Colo. Mar. 5, 2012). The Clem and Nationwide cases, which were previously consolidated under the caption Clem v. Smith et al., No. 12 CV 392 (Arapahoe Cnty., Colo.), have been voluntarily dismissed without prejudice. The Wells and Swaggerty cases have both been dismissed without prejudice in favor of the lawsuits proceeding in the Delaware Court of Chancery. As a result, plaintiffs in the Wells and Swaggerty cases filed notices of appeal before the 10th Circuit. The defendants have filed a responsive brief in the 10th Circuit in the Wells and Swaggerty cases. The 10th Circuit case has been fully briefed and the court has heard oral argument. The court has not yet ruled on the appeal.

The derivative cases have been consolidated and are proceeding in the Delaware Court of Chancery. In August 2012, a consolidated amended shareholder derivative complaint was filed with the Delaware Court of Chancery challenging, among other things, certain sales of stock by officers, directors and private equity firms, and certain Molycorp corporate acquisitions during 2011. The amended complaint asserts causes of action for: (1) alleged breaches of fiduciary duty, including the duties of loyalty and due care; (2) alleged breach of fiduciary duty not to trade on or misuse material non-public information; (3) alleged unjust enrichment; and (4) alleged aiding and abetting a breach of fiduciary duty against controlling stockholders. On behalf of Molycorp, the plaintiffs in the derivative actions seek, among other things, monetary damages, restitution, an accounting, and certain changes to corporate governance procedures. The defendants filed motions to dismiss and motions to stay the consolidated Delaware derivative action in October 2012, which are pending. Oral argument on the motion to stay is scheduled for May 15, 2013. Briefing of the motion to dismiss has been stayed pending resolution of the motion to stay the action.

On October 22, 2012, the defendants filed motions to dismiss and motions to stay the derivative case with the Delaware Court of Chancery. Defendants filed their opening briefs in support of the Motions to Stay on November 5, 2012. The parties agreed that all briefing on defendants' Motions to Dismiss should be stayed pending resolution of defendants' Motions to Stay.

In August 2012, the staff of the SEC notified the Company that a formal order of investigation had been issued regarding, among other things, the accuracy of the Company's public disclosures. The Company is cooperating with the staff of the SEC in connection with the investigation. The Company cannot predict the length, scope or results of the investigation or the impact, if any, of the investigation on the Company's results of operations.    

26

MOLYCORP, INC.

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2013 (Continued)

(20) Concentrations

(a) Products

There were no significant sales by product during the first quarter of 2013 at the Resources segment. For the corresponding prior period, significant sales by product, as percentage of consolidated revenues, were as follows at the Resources segment:

	March 31, 2012
Lanthanum products	46	%
Neodymium and Praseodymium products	53	%

The Chemicals and Oxides segment includes sales of REO, zirconium-based engineered materials and mixed rare earth/zirconium oxides from the Molycorp Canada acquisition on June 11, 2012. Sales of cerium products within the Chemicals and Oxides segment accounted for approximately 11.6% of consolidated revenues in the first quarter of 2013.

Within the Magnetic Materials and Alloys segment, sales of Neo Powders™ were approximately 34% of consolidated revenues for the three-month period ended March 31, 2013. The Neo Powders™ were introduced into Molycorp's product mix with the Molycorp Canada acquisition. Sales of NdFeB alloys during the first quarter of 2012, were approximately 19% of consolidated revenues in the Magnetic Materials and Alloys segment.

Sales of Tantalum at the Rare Metals segment were approximately 16% of consolidated revenues during the first quarter of 2013.

(b) Customers

There were no significant sales to individual customers relative to consolidated revenues at any of the Company's segments during the three months ended March 31, 2013. In the corresponding prior period, the Resources segment had the following significant sales by customer (in millions):

	March 31, 2012
Hitachi Metals Ltd.	$	20.4
W.R. Grace & Co.— Conn.	17.2

Sales from the Magnetic Materials and Alloys segment to Santoku Corporation in the first quarter of 2012 were $16.6 million.

(21) Related-Party Transactions

Transactions with equity method investees: TMT, Keli and Ingal Stade

The Company supplies Neo Powders™ to TMT to produce rare earth magnetic compounds. Molycorp then purchases these compounds back from TMT in its normal course of business. Additionally, Keli processes rare earth oxides into metals for inclusion in the Neo Powders™.

For the three months ended March 31, 2013, the Company sold $1.0 million of Neo Powders™ to TMT and purchased $0.5 million worth of compounds from TMT.

The Company purchased metals and received services from Keli for a total of $9.6 million during the first quarter of 2013.

Ingal Stade sells gallium to the Company's facilities located in Ontario, Canada and to some of its facilities in the United States. For the three months ended March 31, 2013, the Company purchased $1.2 million of gallium metal from Ingal Stade.

27

MOLYCORP, INC.

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2013 (Continued)

(22) Net Change in Operating Assets and Liabilities

Net change in operating assets and liabilities, net of the effects of acquisitions and dispositions, consisted of the following:

	Three Months Ended March 31,
(In thousands)	2013			2012
	As restated, Note 1A
Decrease (increase) in operating assets:
Accounts receivable	$	(10,928	)	$	25,408
Inventory	14,367			(4,442		)
Prepaid expenses and other assets	1,850			382
Increase (decrease) in operating liabilities:
Accounts payable	(15,835		)	(13,924		)
Income tax payable	5,092			1,560
Interest payable	(3,746		)	—
Asset retirement obligation	(308		)	—
Accrued expenses	(6,369		)	(4,605		)
	$	(15,877	)	$	4,379

(23) Derivative Instruments

Put Option

As a result of the Molycorp Canada acquisition, the Company assumed a liability associated with the put option issued to holders of the noncontrolling interest of Buss & Buss, a business acquired by Molycorp Canada's predecessor company. The Buss & Buss put option relates to a share purchase agreement (“SPA”) between NMT Holding GmbH, a German subsidiary of the Company, and the shareholders of Buss & Buss entered into May 27, 2010 by Molycorp Canada's predecessor company. The SPA includes a call and a put option on shares of the remaining shareholder and his legal successors. If the call option is exercised by the Company, a premium is added to the consideration to purchase the underlying shares in Buss & Buss. If the put option is exercised by the remaining shareholder of Buss & Buss or his legal successors, a discount will reduce the cost basis of the securities sold to the Company. The Company does not account for this derivative as a hedge. The put option had a fair value of $7.0 million at March 31, 2013, recorded as "Derivative liability" in the condensed consolidated balance sheet. The change in fair value of the put option resulted in an unrealized gain of $0.8 million for the three months ended March 31, 2013, which was recognized in "Interest expense" in the condensed consolidated statement of operations and comprehensive income. The technique Molycorp used to fair value this derivative is the income approach based on a discounted cash flow model. With the exception of the risk free interest rate, which is a Level 1 input within the fair value hierarchy, all other inputs used to fair value this put option are based on unobservable Level 3 inputs based on management's assumptions. These inputs include: equity-risk premium, risk premium, size premium and growth rate. Any reasonably foreseeable changes in assumed levels of unobservable inputs used to fair value this put option would not be expected to have a material impact on the Company's financial position or results of operations.

2012 Contingent Forward Contract

On March 28, 2012, the Company entered into a contingent forward contract to purchase Canadian dollars with a notional amount of Cdn$870.0 million to manage the foreign currency exposure with respect to its planned acquisition of Molycorp Canada. The Company did not apply hedge accounting to this contingent forward contract. Upon settlement of this derivative on June 11, 2012 (Molycorp Canada acquisition date), the Company recognized a loss of $37.5 million in Other expense. Of this loss, $6.7 million was recognized during the three months ended March 31, 2012 and the remainder during the second quarter of 2012.

28

MOLYCORP, INC.

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2013 (Continued)

(24) Employee Benefit Plans and Severance Charges - As restated, Note 1A

Employee Benefit Plans

Defined Contribution Retirement Plans

The Company maintains defined contribution retirement plans for all U.S. employees. The Company currently makes Safe Harbor Matching Contributions in an amount equal to 100% of the first 3% contributed and 50% of the next 2% contributed by each eligible employee. In addition, the Company may determine to make discretionary matching or nonelective employer (profit sharing) contributions in an amount designated by the Company. Discretionary matching contributions, if any, will be based on a percentage of employee contributions to the defined contribution plans each year, as designated by the Company. The Company's Safe Harbor Matching Contributions will always be 100% vested. Employees become 100% vested in Company discretionary matching contributions and/or nonelective employer contributions, if any, after 3 years of service.

Expenses related to this plan totaled $0.8 million and $1.1 million for the three months ended March 31, 2013 and 2012, respectively.

Defined Benefit Pension Plan and Other Post-Retirement Benefits

In accordance with the terms of the Arrangement Agreement, the Company maintained the terms of the benefit plans for Molycorp Canada’s current and former employees. Molycorp Canada's predecessor company had a defined benefit pension plan (“Pension Plan”), which covered all hourly employees employed as of September 30, 1995, and all hourly employees subsequently hired by Molycorp Canada's predecessor company up to 2003 at its former U.S. manufacturing facility in Anderson, Indiana. A December 31 measurement date is used for the Pension Plan.

The Company also maintained the terms of Molycorp Canada postretirement medical and life insurance benefits plan for certain employees from the Anderson, Indiana manufacturing facility. The measurement date for this postretirement benefit plan (“PBP”) is December 31. The actuarial valuation for funding purposes of the Pension Plan and PBP is January 1 of each year.

The Company's total contribution to the Pension Plan and PBP is expected to be approximately $0.1 million in 2013.

The components of the net periodic pension expense for the three months ended March 31, 2013 for the Pension Plan and PBP are set forth below (in thousands):

	Pension Plan			PBP			Total
Components of net periodic benefit cost:
Service Cost	$	—		$	—		$	—
Interest cost	78			2			80
Expected return on plan assets	(68		)	—			(68		)
Amortization of transition obligation/(asset)	—			—			—
Amortization of prior service cost	—			(1		)	(1		)
Amortization of actuarial loss	63			(2		)	61
Net periodic benefit cost	$	73		$	(1	)	$	72

Severance Charges - As restated, Note 1A

In the first quarter of 2013, the Company took a number of actions throughout the organization as part of its continuing effort to contain costs and increase the efficiency of its operations. As a result, the Company reduced a portion of its workforce, primarily within the Corporate group, and recognized employee severance and benefit costs of $2.1 million, which were included in "Selling, general and administrative” expense in the condensed consolidated statement of operations and comprehensive income for the current interim period. As of March 31, 2013, none of these severance benefits were paid.

Starting in the latter part of fiscal 2011 and all through fiscal 2012, there was a significant deterioration in prices of rare earth products. In addition, delays in ramping up the Molycorp Mountain Pass facility to its initial planned annual run rate in 2012

29

MOLYCORP, INC.

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2013 (Continued)

deferred the Company's ability to enter into longer-term contracts and generate the anticipated synergies, including positive cash flows, expected from the Molycorp Canada acquisition, which was completed in June 2012.

Although the Company's long-term strategy remains in place, such as achieving full-scale commercial production at its Molycorp Mountain Pass facility in 2013 and targeting the downstream markets that, according to management, have the potential for stronger rare earth products demand later in 2013, the weaker-than-expected financial performance of the last few quarters, attributable mainly to the operational and economic factors described above, required the Company to make certain adjustments to its short-term strategy to conserve cash and minimize costs.

(25) Subsidiary Guarantor Financial Information

The Senior Notes are jointly, severally and unconditionally guaranteed by all of Molycorp, Inc.'s existing and future domestic material subsidiaries, as defined in the indenture governing the Senior Notes. The Senior Notes guarantee of a guarantor will automatically terminate, and the obligations of such guarantor under the Senior Notes guarantee will be unconditionally released and discharged, upon (all terms as defined in the indenture governing the Senior Notes):

(1) any sale, exchange, transfer or other disposition of a majority of the capital stock of (including by way of consolidation or merger) such guarantor by Molycorp or any restricted subsidiary to any person or persons, as a result of which such guarantor is no longer a direct or indirect subsidiary of Molycorp;

(2) any sale, exchange, transfer or other disposition of all or substantially all assets of such guarantor that results in such guarantor having no assets;

(3) the designation by Molycorp of such guarantor as an unrestricted subsidiary; or

(4) defeasance or discharge of the Senior Notes;

provided that any such event occurs in accordance with all other applicable provisions of the indenture.

Presented below are the condensed consolidating financial statements of Molycorp, Inc. (“Parent”) as issuer, its combined guarantor subsidiaries and its combined non-guarantor subsidiaries, which are presented as an alternative to providing separate financial statements for the guarantors. The accounts of the Parent, the guarantor and non-guarantor subsidiaries are presented using the equity method of accounting for investments in subsidiaries for purposes of these condensed consolidating financial statements only. Certain of the prior periods separate financial information has been reclassified to conform to the presentation of the most recent period herein disclosed.

	At March 31, 2013
	(in thousands)
Condensed Consolidating Balance Sheets	Parent		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations			Molycorp, Inc. consolidated
	As restated - Note 1A
Current assets:
Cash and cash equivalents	$	251,218	$	2,971	$	150,645	$	—		$	404,834
Trade accounts receivable, net	—		9,184		53,963		—			63,147
Inventory	—		51,000		196,453		—			247,453
Deferred charges	—		946		5,164		—			6,110
Deferred tax assets	—		—		11,380		(1,942		)	9,438
Income tax receivable	—		20,347		—		(29		)	20,318
Prepaid expenses and other current assets	—		7,879		12,032		—			19,911
Total current assets	251,218		92,327		429,637		(1,971		)	771,211
Non-current assets:

30

MOLYCORP, INC.

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2013 (Continued)

Deposits	1,753			24,743			143			—			26,639
Property, plant and equipment, net	—			1,498,403			146,971			—			1,645,374
Inventory	—			24,984			—			—			24,984
Intangible assets, net	—			491			441,186			—			441,677
Investments	—			46,666			17,741			—			64,407
Deferred tax assets	—			10,980			—			(10,980		)	—
Goodwill	—			—			239,742			—			239,742
Investments in consolidated subsidiaries	813,729			99,038			—			(912,767		)	—
Intercompany accounts receivable	1,713,039			104,747			794			(1,818,580		)	—
Other non-current assets	—			3,291			5,973			—			9,264
Total non-current assets	2,528,521			1,813,343			852,550			(2,742,327		)	2,452,087
Total assets	$	2,779,739		$	1,905,670		$	1,282,187		$	(2,744,298	)	$	3,223,298
Current liabilities:
Trade accounts payable	$	—		$	110,923		$	25,939		$	—		$	136,862
Accrued expenses	27,683			8,510			29,264			—			65,457
Income tax payable	2,746			16			15,604			(2,775		)	15,591
Deferred tax liabilities	—			1,942			—			(1,942		)	—
Debt and capital lease obligations	—			378			28,410			—			28,788
Other current liabilities	—			4,589			—			—			4,589
Total current liabilities	30,429			126,358			99,217			(4,717		)	251,287
Non-current liabilities:
Asset retirement obligation	—			17,572			—			—			17,572
Deferred tax liabilities	—			1			144,288			(8,234		)	136,055
Debt and capital lease obligations	1,317,246			15,059			6,488			—			1,338,793
Derivative liability	—			—			7,028			—			7,028
Pension liabilities	—			—			3,338			—			3,338
Intercompany accounts payable	—			1,753,926			64,654			(1,818,580		)	—
Other non-current liabilities	—			1,153			1,264			—			2,417
Total non-current liabilities	1,317,246			1,787,711			227,060			(1,826,814		)	1,505,203
Total liabilities	$	1,347,675		$	1,914,069		$	326,277		$	(1,831,531	)	$	1,756,490
Stockholders’ equity:
Common stock	189			—			—			—			189
Preferred stock	2			—			—			—			2
Additional paid-in capital	1,949,662			149,857			1,283,863			(1,433,720		)	1,949,662
Accumulated other comprehensive loss	(12,727		)	—			(12,727		)	12,727			(12,727		)
(Deficit) retained earnings	(505,062		)	(158,256		)	(349,970		)	508,226			(505,062		)
Total Molycorp stockholders’ equity	1,432,064			(8,399		)	921,166			(912,767		)	1,432,064
Noncontrolling interests	—			—			34,744			—			34,744
Total stockholders’ equity	1,432,064			(8,399		)	955,910			(912,767		)	1,466,808
Total liabilities and stockholders’ equity	$	2,779,739		$	1,905,670		$	1,282,187		$	(2,744,298	)	$	3,223,298

31

MOLYCORP, INC.

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2013 (Continued)

	At December 31, 2012
	(in thousands)
	(Revised)
Condensed Consolidating Balance Sheets	Parent		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations			Molycorp, Inc. consolidated
Current assets:
Cash and cash equivalents	$	16,560	$	18,020	$	193,210	$	—		$	227,790
Trade accounts receivable, net	—		7,738		44,692		—			52,430
Inventory	—		49,416		237,960		—			287,376
Deferred charges	—		2,203		7,209		—			9,412
Deferred tax assets	—		—		11,731		(1,942		)	9,789
Income tax receivable	—		25,087		—		—			25,087
Prepaid expenses and other current assets	—		9,085		12,709		—			21,794
Total current assets	16,560		111,549		507,511		(1,942		)	633,678
Non-current assets:
Deposits	1,752		24,862		155		—			26,769
Property, plant and equipment, net	—		1,377,147		167,157		—			1,544,304
Inventory	—		26,096		—		—			26,096
Intangible assets, net	—		508		450,430		—			450,938
Investments	—		45,241		18,795					64,036
Deferred tax assets	—		—		—		—			—
Goodwill	—		—		239,742		—			239,742
Investments in consolidated subsidiaries	860,390		97,960		—		(958,350		)	—
Intercompany accounts receivable	1,577,466		169,446		794		(1,747,706		)	—
Other non-current assets	—		885		6,087		—			6,972
Total non-current assets	2,439,608		1,742,145		883,160		(2,706,056		)	2,358,857
Total assets	$	2,456,168	$	1,853,694	$	1,390,671	$	(2,707,998	)	$	2,992,535
Current liabilities:
Trade accounts payable	$	—	$	191,769	$	50,225	$	—		$	241,994
Accrued expenses	14,872		10,087		34,054		—			59,013
Income tax payable	2,746		—		15,267		(2,746		)	15,267
Deferred tax liabilities	—		1,942		—		(1,942		)	—
Debt and capital lease obligations	—		352		39,252		—			39,604
Other current liabilities	—		3,539		—		—			3,539
Total current liabilities	17,618		207,689		138,798		(4,688		)	359,417
Non-current liabilities:
Asset retirement obligation	—		18,586		—		—			18,586
Deferred tax liabilities	5,884		8,470		143,575		2,746			160,675
Debt and capital lease obligations	1,166,777		15,163		6,892		—			1,188,832
Derivative liability	—		—		7,816		—			7,816
Pension liabilities	—		—		3,292		—			3,292
Intercompany accounts payable	49,843		1,577,363		120,500		(1,747,706		)	—

32

MOLYCORP, INC.

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2013 (Continued)

Other non-current liabilities	—			1,102			1,557			—			2,659
Total non-current liabilities	1,222,504			1,620,684			283,632			(1,744,960		)	1,381,860
Total liabilities	$	1,240,122		$	1,828,373		$	422,430		$	(1,749,648	)	$	1,741,277
Stockholders’ equity:
Common stock	139			—			—			—			139
Preferred stock	2			—			—			—			2
Additional paid-in capital	1,691,429			149,857			1,283,863			(1,433,720		)	1,691,429
Accumulated other comprehensive loss	(9,433		)	—			(9,433		)	9,433			(9,433		)
(Deficit) retained earnings	(466,091		)	(124,536		)	(341,401		)	465,937			(466,091		)
Total Molycorp stockholders’ equity	1,216,046			25,321			933,029			(958,350		)	1,216,046
Noncontrolling interests	—			—			35,212			—			35,212
Total stockholders’ equity	1,216,046			25,321			968,241			(958,350		)	1,251,258
Total liabilities and stockholders’ equity	$	2,456,168		$	1,853,694		$	1,390,671		$	(2,707,998	)	$	2,992,535

33

MOLYCORP, INC.

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2013 (Continued)

	Three Months Ended March 31, 2013
	(in thousands)
Condensed Consolidating Statements of Operations and Comprehensive Income	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Molycorp, Inc. consolidated
	As restated - Note 1A
Revenues	$	—		$	21,609		$	135,116		$	(10,358	)	$	146,367
Costs of sales:
Costs excluding depreciation and amortization	—			(45,329		)	(101,623		)	10,358			(136,594		)
Depreciation and amortization	—			(7,430		)	(6,879		)	—			(14,309		)
Gross (loss) profit	—			(31,150		)	26,614			—			(4,536		)
Operating expenses:
Selling, general and administrative	—			(16,901		)	(9,613		)	—			(26,514		)
Corporate development	—			(115		)	—			—			(115		)
Depreciation, amortization and accretion	—			(1,709		)	(6,514		)	—			(8,223		)
Research and development	—			(1,960		)	(4,445		)	—			(6,405		)
Operating (loss) income	—			(51,835		)	6,042			—			(45,793		)
Other (expense) income:
Other expense	—			—			260			—			260
Foreign exchange losses, net	—			—			(389		)	—			(389		)
Interest (expense) income, net	(11,139		)	(2,060		)	1,550			—			(11,649		)
Interest income (expense) from intercompany notes	9,651			1,644			(11,295		)	—			—
Equity (loss) earnings from consolidated subsidiaries	(43,367		)	1,078			—			42,289			—
	(44,855		)	662			(9,874		)	42,289			(11,778		)
Loss before income taxes and equity earnings	(44,855		)	(51,173		)	(3,832		)	42,289			(57,571		)
Income tax benefit (loss)	5,884			19,450			(2,844		)				22,490
Equity in results of affiliates	—			(1,998		)	(1,074		)				(3,072		)
Net loss	(38,971		)	(33,721		)	(7,750		)	42,289			(38,153		)
Net income attributable to noncontrolling interest	—			—			(818		)	—			(818		)
Net loss attributable to Molycorp stockholders	$	(38,971	)	$	(33,721	)	$	(8,568	)	$	42,289		$	(38,971	)
Net loss	$	(38,971	)	$	(33,721	)	$	(7,750	)	$	42,289		$	(38,153	)
Other comprehensive income:
Foreign currency translation adjustments	—			—			(3,294		)				(3,294		)
Comprehensive loss	$	(38,971	)	$	(33,721	)	$	(11,044	)	$	42,289		$	(41,447	)
Comprehensive loss attributable to:
Molycorp stockholders	(38,971		)	(33,721		)	(10,226		)	42,289			(40,629		)
Noncontrolling interest	—			—			(818		)	—			(818		)
	$	(38,971	)	$	(33,721	)	$	(11,044	)	$	42,289		$	(41,447	)

34

MOLYCORP, INC.

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2013 (Continued)

	Three Months Ended March 31, 2012
	(in thousands)
Condensed Consolidating Statements of Operations and Comprehensive Income	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Molycorp, Inc. consolidated
Revenues	$	—		$	65,266		$	24,246		$	(5,042	)	$	84,470
Costs of sales:
Costs excluding depreciation and amortization	—			(29,123		)	(25,989		)	5,042			(50,070		)
Depreciation and amortization	—			(1,856		)	(1,517		)	—			(3,373		)
Gross profit (loss)	—			34,287			(3,260		)	—			31,027
Operating expenses:
Selling, general and administrative	37			(22,697		)	(1,523		)	—			(24,183		)
Corporate development	(17		)	(3,364		)	—			—			(3,381		)
Depreciation, amortization and accretion	—			(334		)	(24		)	—			(358		)
Research and development	—			(3,571		)	(79		)	—			(3,650		)
Operating loss	20			4,321			(4,886		)	—			(545		)
Other (expense) income:
Other expense	(6,578		)	—			—			—			(6,578		)
Foreign exchange gains, net	—			1			1,603			—			1,604
Interest income (expense), net	129			(1		)	(43		)	—			85
Interest income (expense) from intercompany notes	—			98			(98		)	—			—
Equity loss from consolidated subsidiaries	1,642			(10,677		)	—			9,035			—
	(4,807		)	(10,579		)	1,462			9,035			(4,889		)
Loss before income taxes and equity earnings	(4,787		)	(6,258		)	(3,424		)	9,035			(5,434		)
Income tax benefit	1,309			874			—						2,183
Equity in results of affiliates	—			(227		)	—						(227		)
Net loss	(3,478		)	(5,611		)	(3,424		)	9,035			(3,478		)
Net loss	$	(3,478	)	$	(5,611	)	$	(3,424	)	$	9,035		$	(3,478	)
Other comprehensive income:
Foreign currency translation adjustments	—			—			2,530						2,530
Comprehensive loss	$	(3,478	)	$	(5,611	)	$	(894	)	$	9,035		$	(948	)

35

MOLYCORP, INC.

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2013 (Continued)

	Three Months Ended March 31, 2013
	(in thousands)
Condensed Consolidating Statements of Cash Flows	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Molycorp, Inc. consolidated
Net cash (used in) provided by operating activities	$	17,211		$	(58,035	)	$	4,196		$	—		$	(36,628	)
Cash flows from investing activities:
Loans to guarantor	—			—			(40,000		)	40,000			—
Intercompany advances made	(193,454		)	—			—			193,454			—
Loans to non-guarantor	—			(1,300		)	—			1,300			—
Repayments of notes receivable from non-guarantor	—			—			—			—			—
Investment in joint ventures	—			(3,423		)	—			—			(3,423		)
Capital expenditures	—			(174,703		)	(6,400		)	—			(181,103		)
Other investing activities	—			—			(90		)	—			(90		)
Net cash (used in) provided by investing activities	(193,454		)	(179,426		)	(46,490		)	234,754			(184,616		)
Cash flows provided from financing activities:
Repayments of debt	—			—			(11,108		)	—			(11,108		)
Net proceeds from sale of common stock	248,147			—			—			—			248,147
Issuance of 5.50% Convertible Notes	165,600			—			—			—			165,600
Payments of preferred dividends	(2,846		)	—			—			—			(2,846		)
Dividend paid to noncontrolling interests	—			—			(1,286		)	—			(1,286		)
Borrowings from non-guarantor	—			40,000			—			(40,000		)	—
Borrowing from guarantor	—			—			1,300			(1,300		)	—
Intercompany advances owed	—			182,491			10,963			(193,454		)	—
Other financing activities	—			(79		)	—			—			(79		)
Net cash provided by (used in) financing activities	410,901			222,412			(131		)	(234,754		)	398,428
Effect of exchange rate changes on cash	—			—			(140		)	—			(140		)
Net change in cash and cash equivalents	234,658			(15,049		)	(42,565		)	—			177,044
Cash and cash equivalents at beginning of the period	16,560			18,020			193,210			—			227,790
Cash and cash equivalents at end of period	$	251,218		$	2,971		$	150,645		$	—		$	404,834

36

MOLYCORP, INC.

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2013 (Continued)

	Three Months Ended March 31, 2012
	(in thousands)
Condensed Consolidating Statements of Cash Flows	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Molycorp, Inc. consolidated
Net cash (used in) provided by operating activities	$	(3,250	)	$	30,777		$	(11,500	)	$	—		$	16,027
Cash flows from investing activities:
Loans to non-guarantor	—			(5,200		)	—			5,200			—
Intercompany advances made	(198,544		)	—			—			198,544			—
Investment in joint ventures	—			(3,836		)	—			—			(3,836		)
Deposits	—			(459		)	—			—			(459		)
Capital expenditures	—			(204,276		)	(2,187		)	—			(206,463		)
Other investing activities	—			—			2			—			2
Net cash (used in) provided by investing activities	(198,544		)	(213,771		)	(2,185		)	203,744			(210,756		)
Cash flows provided from financing activities:
Capital contributions from stockholder	390,225			—			—			—			390,225
Repayments of short-term borrowings—related party	—			(870		)	—			—			(870		)
Repayments of debt	—			—			(777		)	—			(777		)
Payments of preferred dividends	(2,846		)	—			—			—			(2,846		)
Borrowing from guarantor	—			—			5,200			(5,200		)	—
Intercompany advances owed	—			189,806			8,738			(198,544		)	—
Other financing activities	(132		)	—			—			—			(132		)
Net cash provided by (used in) financing activities	387,247			188,936			13,161			(203,744		)	385,600
Effect of exchange rate changes on cash	—			—			68			—			68
Net change in cash and cash equivalents	185,453			5,942			(456		)	—			190,939
Cash and cash equivalents at beginning of the period	407,446			10,758			651			—			418,855
Cash and cash equivalents at end of period	$	592,899		$	16,700		$	195		$	—		$	609,794

37

MOLYCORP, INC.

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2013 (Continued)

(26) Recent Accounting Pronouncements

In February 2013, the Financial Accounting Standard Board ("FASB") issued ASU 2013-02, Comprehensive Income (Topic 220), Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income. This update requires companies to report, in one place, information about reclassifications out of accumulated other comprehensive income ("AOCI"). Companies also are required to present reclassifications by component when reporting changes in AOCI balances. For significant items reclassified out of AOCI to net income in their entirety in the period, companies must report the effect of the reclassifications on the respective line items in the statement where net income is presented. In certain circumstances, this can be done on the face of that statement. Otherwise, it must be presented in the notes. For items not reclassified to net income in their entirety in the period (e.g., pension amounts that are capitalized in inventory), companies must cross-reference in a note to other required disclosures. This update was effective for public companies in fiscal years, and interim periods within those years, beginning after December 15, 2012. The adoption of this updated guidance did not have any impact on the Company's financial statements and related disclosures.

In July 2012, the FASB issued ASU 2012-02, Intangibles - Goodwill and Other (Topic 350), Testing Indefinite-Lived Intangible Assets for Impairment. In accordance with this update, an entity has the option first to assess qualitative factors to determine whether the existence of events and circumstances indicates that it is more likely than not that the indefinite-lived intangible asset is impaired. If, after assessing the totality of events and circumstances, an entity concludes that it is not more likely than not that the indefinite-lived intangible asset is impaired, then the entity is not required to take further action. However, if an entity concludes otherwise, then it is required to determine the fair value of the indefinite-lived intangible asset and perform the quantitative impairment test by comparing the fair value with the carrying amount and record an impairment charge, if any. This update was effective for annual and interim period impairment tests performed for fiscal years beginning after September 15, 2012. Early adoption was permitted. The adoption of this updated guidance did not have any impact on the Company's financial statements and related disclosures.

(27) Subsequent Events

Preferred stock dividend

In May 2013, the Company declared a cash dividend of $1.375 per share on the Convertible Preferred Stock to be paid on June 1, 2013 to holders of record at the close of business on May 15, 2013.

38

ITEM 2.    MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS.

        In this Quarterly Report on Form 10-Q, unless the context requires otherwise, references to “Molycorp,” “we,” “our” or “us” refer to Molycorp, Inc. and its consolidated subsidiaries. As used herein, a ton is equal to 2,000 pounds, the term “mt” means a metric ton (equal to 2,205 pounds). For definitions of certain rare earth-related and mining terms, see “Glossary of Selected REEs, Rare Metals and Mining Terms.”

This Quarterly Report on Form 10-Q contains forward-looking statements that represent our beliefs, projections and predictions about future events or our future performance. You can identify forward-looking statements by terminology such as “may,” “will,” “would,” “could,” “should,” “expect,” “intend,” “plan,” “anticipate,” “believe,” “estimate,” “predict,” “potential,” “continue” or the negative of these terms or other similar expressions or phrases. These forward-looking statements are necessarily subjective and involve known and unknown risks, uncertainties and other important factors that could cause our actual results, performance or achievements or industry results to differ materially from any future results, performance or achievement described in or implied by such statements.

Risk factors and uncertainties that may cause actual results to differ materially from expected results include, among others: our ability to successfully integrate Neo Material Technologies Inc., formerly referred to as Neo or Neo Materials and now Molycorp Minerals Canada ULC or Molycorp Canada, into our operations; our ability to achieve fully the strategic and financial objectives related to our acquisition of Molycorp Canada, including the acquisition’s impact on our financial condition and results of operations; and unexpected costs or liabilities that may arise from the acquisition, ownership or operation of Molycorp Canada.

Additional risk factors that may cause actual results to differ materially from expected results described in forward-looking statements include, but are not limited to:

• the potential need to secure additional capital to implement our business plans, and our ability to successfully secure any such capital;

• our ability to complete our planned capital projects, such as our modernization and expansion efforts, including the achievement of an initial annual run rate of 19,050 mt of rare earth oxides, or REO, at our Molycorp Mountain Pass Rare Earth Facility, which we refer to as the Molycorp Mountain Pass facility, and reach full planned production of REO and other planned downstream products, in each case within the projected time frame;

• the success of our cost mitigation efforts in connection with our modernization and expansion efforts at the Molycorp Mountain Pass facility, which if unsuccessful, might cause our costs to exceed budget;

• the final costs of our planned capital projects which may differ from estimated costs;

• market conditions, including prices and demand for our products;

• our ability to control our working capital needs;

• risks and uncertainties associated with intangible assets, including any future goodwill impairment charges;

• foreign exchange rate fluctuations;

• the development and commercialization of new products;

• unexpected actions of domestic and foreign governments;

• various events which could disrupt operations, including natural events and other risks;

• uncertainties associated with our reserve estimates and non-reserve deposit information, including estimated mine life and annual production;

• uncertainties related to feasibility studies that provide estimates of expected or anticipated costs, expenditures and economic returns, REO prices, production costs and other expenses for operations, which are subject to fluctuation;

• uncertainties regarding global supply and demand for rare earths materials;

39

• uncertainties regarding the results of our exploratory drilling programs;

• our ability to enter into additional definitive agreements with our customers and our ability to maintain customer relationships;

• our sintered neodymium-iron-boron, or NdFeB, rare earth magnet joint venture’s ability to successfully manufacture magnets within its expected timeframe;

• our ability to successfully integrate other acquired businesses;

• our ability to maintain appropriate relations with unions and employees;

• our ability to successfully implement our vertical integration strategy;

• environmental laws, regulations and permits affecting our business, directly and indirectly, including, among others, those relating to mine reclamation and restoration, climate change, emissions to the air and water and human exposure to hazardous substances used, released or disposed of by us;

• uncertainties associated with unanticipated geological conditions related to mining;

• the outcome of the stockholder class action litigation, derivative litigation and the SEC investigation, including any actions taken by government agencies in connection therewith; and

• those other risks discussed and referenced in the section entitled “Risk Factors” described in our Annual Report on Form 10-K for the year ended December 31, 2012.

Any forward-looking statement you read in this Quarterly Report on Form 10-Q reflects our current views with respect to future events and is subject to these and other risks, uncertainties and assumptions relating to our operations, operating results, growth strategy and liquidity. You should not place undue reliance on these forward-looking statements because such statements speak only as to the date when made. We assume no obligation to publicly update or revise these forward-looking statements for any reason, or to update the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future, except as otherwise required by applicable law.

The following discussion and analysis should be read in conjunction with our March 31, 2013 unaudited Condensed Consolidated Financial Statements and related notes included herein. The disclosures in this Management's Discussion and Analysis of Financial Condition and Results of Operations have been updated to reflect the restatement discussed in the Explanatory Note to this Amendment No. 1 and in Note 1A to our Condensed Consolidated Financial Statements contained elsewhere in this document.

This Quarterly Report on Form 10-Q also contains statistical data and estimates we obtained from industry publications and reports generated by third parties. Although we believe that the publications and reports are reliable, we have not independently verified their data.

Overview

We are one of the world's leading global rare earth companies, and the only one that operates a vertically integrated, global supply chain that combines a world-class rare earth resource with manufacturing facilities on three continents that can produce a wide variety of custom engineered, advanced rare earth materials from all of the lanthanide elements, plus yttrium.

Our vertically integrated, global manufacturing supply chain is comprised of a workforce of approximately 2,700 scientists, engineers, chemists, technologists, and highly skilled workers in 27 locations across 11 countries. Our vertical integration allows us to operate multiple product supply chains, serve as a highly reliable supplier of advanced rare earth and rare metal materials, and provide price visibility to customers worldwide.

Our business is organized into four reportable segments: (1) Resources; (2) Chemicals and Oxides; (3) Magnetic Materials and Alloys; and (4) Rare Metals. See Note 3 in Part 1, Item 1 of this Quarterly Report on Form 10-Q for financial information regarding our reportable segments.

The Resources segment includes our operations at the Molycorp Mountain Pass facility, home to one of the world's largest and richest deposits of rare earths (including light, mid, and heavy rare earths). At the Molycorp Mountain Pass facility, we conduct rare earth minerals extraction to produce: rare earth concentrates; REO, including lanthanum, cerium, neodymium,

40

praseodymium, and yttrium; heavy rare earth concentrates, which include samarium, europium, gadolinium, terbium, dysprosium, and others; and SorbX^TM, a line of proprietary rare earth-based water treatment products. We currently are conducting pilot and full-scale tests to determine the efficacy of SorbX^TM in removing phosphates from municipal wastewater on a commercial basis as compared to other water treatment products. In addition, we expect to conduct similar tests with industrial wastewater. We are conducting these tests to determine the efficacy of SorbX^TM beyond the laboratory-scale tests we previously have conducted. Based on the results of these tests, we expect to be able to determine the size and scope of the municipal and industrial wastewater treatment markets where SorbX^TM will be effective.

The Chemicals and Oxides segment includes: production of REO at our operations at Molycorp Silmet; separated heavy rare earth oxides and other custom engineered materials from our facilities in Jiangyin, Jiangsu Province, China; and production of REO, salts of rare earth elements, or REEs, zirconium-based engineered materials and mixed rare earth/zirconium oxides from our facilities in Zibo, Shandong Province, China. Rare earth and zirconium applications from products made in this segment include catalytic converters, computers, television display panels, optical lenses, mobile phones, electronic chips, and many others.

The Magnetic Materials and Alloys segment includes: the production of Neo Powders™ through our wholly-owned manufacturing facilities in Tianjin, China, and Korat, Thailand, under the Molycorp Magnequench brand. This operating segment also includes manufacturing of neodymium and samarium magnet alloys, other specialty alloy products and rare earth metals at our MMA facility, located in Tolleson, Arizona. Neo Powders™ are used in micro motors, precision motors, sensors, and other applications requiring high levels of magnetic strength, flexibility, small size, and reduced weight.

The Rare Metals segment produces, reclaims, refines and markets high value niche metals and their compounds that include gallium, indium, rhenium, tantalum, and niobium. Operations in this segment include the following: Quapaw, Oklahoma; Blanding, Utah; Peterborough, Ontario; Napanee, Ontario; Sagard, Germany; Hyeongok Industrial Zone in South Korea; and Sillamäe, Estonia. Applications from products made in this segment include wireless technologies, LED, flat panel display, turbine, solar, catalyst, steel additive, electronics applications, and others.

Our Molycorp Mountain Pass facility has been producing rare earth products for approximately 60 years. Upon reaching a planned annual run rate of 19,050 mt of REO by mid-2013, and upon completion of the chloralkali plant (expected later in 2013), we expect our Molycorp Mountain Pass facility to have production cash costs lower than those publicly reported for China by government officials and those reported for other non-Chinese rare earth projects. Although the modernization and expansion of our Molycorp Mountain Pass facility was planned to allow an expanded run rate of up to 40,000 mt of REO per year, we will not expand production beyond the initial planned run rate unless market demand, product pricing, capital availability and financial returns justify such production.

Material Changes in Results of Operations

The comparability of our operating results during the first quarter of 2013 and 2012 is significantly affected by the Molycorp Canada acquisition on June 11, 2012.

Recent Developments

Public Offerings

On January 30, 2013, we completed a public offering of $150.0 million aggregate principal amount of 5.50% convertible senior notes due 2018. We granted the underwriters the right to purchase, within a 30-day period from January 30, 2013, up to an additional $22.5 million aggregate principal amount of notes, solely to cover over-allotments, which right was exercised in full on March 1, 2013. Holders may convert their convertible senior notes at their option at any time prior to the close of business on the second scheduled trading day immediately preceding the maturity date. Upon conversion, we will pay or deliver, as the case may be, cash, shares of our common stock or a combination of cash and shares of our common stock, at our election. The conversion rate is initially 138.8889 shares of common stock per $1,000 principal amount of convertible senior notes (equivalent to an initial conversion price of approximately $7.20 per share of common stock) and is subject to adjustment in some events.

In addition to the 5.50% convertible senior notes offering, we completed a public offering of 37,500,000 shares of common stock at a price of $6.00 per share on January 30, 2013. We also granted the underwriters the right to purchase, within a 30-day period from January 30, 2013, up to an additional 5,625,000 of shares of our common stock, which right was exercised in full on February 5, 2013. Also, to facilitate transactions by which investors in the 5.50% convertible senior notes may hedge their investments, we entered into a share lending agreement with an affiliate of the underwriter, under which the affiliate initially borrowed 6,666,666 shares of common stock.

41

We intend to use the net proceeds, before issuance costs, of $414.2 million from the convertible notes offering and the common stock offering to fund current capital needs for capital expenditures and other cash requirements for 2013, including, without limitation, capital expenditures at the Molycorp Mountain Pass facility.

Modernization and Expansion of our Molycorp Mountain Pass Facility

We experienced delays associated with our modernization and expansion efforts at our Molycorp Mountain Pass facility that led to lower-than-anticipated production from the Resources segment in 2012. We had forecast that the facility would be operational during the fourth quarter of 2012 to a level that would have allowed us to achieve an initial planned annual run rate of 19,050 mt beginning in 2013. However, we revised that production ramp-up schedule in January 2013 to reflect an updated estimate whereby the facility is expected to achieve an initial planned annual run rate of 19,050 mt by mid-year 2013. This revised forecast and lower-than-anticipated production in 2012 were the result of several factors typical of the start-up of complex, multi-stage mining and chemical manufacturing facilities, primarily the following: delays in bringing the mill up to initial run rate capacity; certain defective engineering work that required additional engineering, procurement, and construction to correct; delays in the delivery of critical parts and equipment; production bottlenecks during start-up resulting from delays in bringing the leach and multi-stage crack processes up to initial run rate capacity; and limitations on available bastnasite feedstock due to delays in bringing the mill up to initial run rate capacity and the fact that historic stockpiles were exhausted in 2012. Production at Mountain Pass from stockpiled feedstock versus newly produced feedstock in 2012 can be broken down as follows: 100% of production from January 1, 2012 through June 25, 2012 was from stockpiled material; from June 26, 2012 through July 30, 2012, 91.7% came from stockpiled material and 8.3% from new material; from July 31, 2012 through September, 27, 2012, 50% came from stockpiled material and 50% from new material; and from September 28, 2012 through December 31, 2012, 100% came from new material.

All key production components of our Molycorp Mountain Pass facility are operational and now ramping up toward our initial planned annual run rate of 19,050 mt of REO by mid-year 2013. Our ability to expand production beyond the initial planned annual run rate will be influenced by customer demand and end-market conditions, among other factors.

We expect to complete construction of the chloralkali plant at our Molycorp Mountain Pass facility in the second half of 2013. Our chloralkali plant will help us recycle water used in separation processes, as well as regenerate chemical reagents needed for separations, which is expected to significantly reduce the amount of reagent supplies we must purchase. While the chloralkali plant is not required for rare earth production, it is expected to significantly drive down our unit production costs at our Molycorp Mountain Pass facility to a level below production costs in China, as reported by Chinese public officials, once it comes online.

In addition to directly supplying customer demand, our Molycorp Mountain Pass facility is also expected to provide rare earth feedstock for our value-added processing plants in Sillamäe, Estonia; Zibo, China; Jiangyin, China; and Tolleson, Arizona. Those facilities produce advanced materials that are custom engineered for a variety of global rare earth markets. We expect that upon reaching our initial planned annual run rate of 19,050 mt of REO, our Molycorp Mountain Pass facility will have the capacity to produce rare earth feedstock in volumes greater than our initial planned run rates. We expect our Molycorp Mountain Pass facility to provide sufficient rare earth feedstock to meet the planned production of our Sillamäe and Zibo facilities in 2013.

Neodymium/praseodymium produced at our Molycorp Mountain Pass facility is expected to be sold directly to magnetic material customers, the Intermetallics Japan joint venture, or IMJ, MMA and our downstream operations under the Molycorp Magnequench brand at our wholly-owned manufacturing facilities in Tianjin, China and Korat, Thailand.

Factors Affecting our Results of Operations

Sales

The quantities we sell are affected by the production capabilities of our rare earth products and rare metals processing facilities, and by a combination of global and regional supply and demand factors, including the production level of certain industries relying on rare earth products, such as the automotive and electronics industries, China REEs export quotas and regulations, prices of REEs, and the demand and sophistication of downstream applications with rare earths content. Sales of our products are also subject to seasonal decreases in the first quarter of each year as customers react to the Chinese New Year holiday shutdown.

42

Cost of Sales

Our cost of sales includes the processing costs and the cost of certain raw materials we purchased from outside vendors, which we allocated to the products we produced at our operating facilities. In addition, our cost of sales reflects the cost allocated to the inventory we acquired as part of various business acquisitions. Because many of our costs are fixed, as our production increases or decreases, our average cost per metric ton produced decreases or increases, respectively. Primary production costs include direct labor and benefits, chemicals, natural gas, depreciation and amortization, electricity, maintenance, operating supplies and other plant overhead expenses. Our cost of sales may also reflect the write-down of inventory based on current prices for our products, which could materially affect our consolidated net results of operations.

Our most significant variable costs are chemicals, raw materials and electricity. In early September 2012, our on-site CHP plant began feeding low-cost, high efficiency electrical power and steam to plants and buildings across the Molycorp Mountain Pass facility. As a result, natural gas costs will replace third-party electricity costs, which we expect will help us bring our power costs down significantly as further described in the Recent Developments section above. In the future, we also intend to produce more of our chemicals for the Molycorp Mountain Pass facility at an on-site plant, which we expect will reduce our variable chemical costs in that facility.

In addition to volume fluctuations, our variable costs, such as electricity, operating supplies and chemicals, are influenced by general economic conditions that are beyond our control.

Selling, General and Administrative Expenses

Our selling, general and administrative expenses consist primarily of personnel and related costs, including stock-based compensation, legal, accounting and other professional fees, occupancy costs and information technology costs. We continue to experience increased selling, general and administrative expenses as we expand our business, including our recent acquisition of Molycorp Canada, operate as a publicly traded company and expand our Molycorp Mountain Pass facility.

Corporate Development

Our corporate development expenses consist of travel costs, legal and advisory fees that we incur in connection with business acquisitions and other business development activities we pursue as part of our vertical integration strategy.

Research and Development

We incur expenses to improve the efficiency of our REO processing operations, develop new applications for individual REEs, research value added rare metals applications and perform exploratory drilling. These expenses, which we anticipate to continue to increase, consist primarily of salaries, outside labor, material and equipment. The acquisition of Molycorp Canada will further bolster our research and development activities with the addition of labs in Singapore and the United Kingdom and process development capabilities at most of the production facilities.

Interest Expenses

We are incurring significantly higher interest costs as a result of issuing additional indebtedness to partially finance the Molycorp Canada acquisition, including the repayment of Molycorp Canada's indebtedness, and to fund the remaining capital expenditures at our Molycorp Mountain Pass facility. The substantial majority of our interest costs is currently capitalized.

Income Taxes

We account for income taxes in accordance with Accounting Standard Codification 740, Income Taxes. This guidance requires the recognition of deferred tax assets and liabilities for the tax effect of temporary differences between the financial statement and tax basis of recorded assets and liabilities at enacted statutory tax rates. This guidance also requires that deferred tax assets be reduced by a valuation allowance if it is more likely than not that some portion or all of the deferred tax assets will not be realized. The recoverability of deferred tax assets is based on both our historical and anticipated earnings levels and is reviewed each reporting period to determine if any additional valuation allowance is necessary when it is more likely than not that amounts will not be recovered. We have concluded that a valuation allowance of $22.7 million and $20.6 million was required as of March 31, 2013 and December 31, 2012, respectively.

We review our deferred tax assets and liabilities each reporting period using the enacted tax rate expected to apply to taxable income for the period in which the deferred tax asset or liability is expected to be realized. The statutory income tax

43

rates that are applied to our current and deferred income tax calculations are significantly impacted by the jurisdictions in which we conduct business. Changes in jurisdiction income tax rates and apportionment laws will result in changes in the calculation of our current and deferred income taxes. The effects of any changes are recorded in the period of enactment and can increase or decrease the net deferred tax assets and liabilities on the balance sheet.

Environmental

Our operations are subject to numerous and detailed environmental laws, regulations and permits, including those pertaining to employee health and safety, environmental permitting and licensing, air quality standards, greenhouse gas, or GHG, emissions, water usage and pollution, waste management, plant and wildlife protection, handling and disposal of radioactive substances, remediation of soil and groundwater contamination, land use, reclamation and restoration of properties, the discharge of materials into the environment and groundwater quality and availability.

We have spent, and anticipate that we will continue to spend, financial and managerial resources to comply with environmental requirements. For example, we incurred approximately $5.2 million and $2.2 million during the first quarter of 2013 and 2012, respectively, and expect to incur approximately $17.1 million for the remainder of 2013, for ongoing operating environmental expenditures, including salaries, monitoring, compliance, reporting and permits. The amounts above include expenditures for the removal and disposal of wastewater generated in excess of the existing evaporation capability of all ponds at our Molycorp Mountain Pass facility, which we incurred primarily to allow the chloralkali facility to become fully operational. We estimate that we will incur approximately $11.8 million for wastewater transportation and disposal costs for the remainder of 2013. This estimate was revised upward after the first quarter of 2013 as a result of anticipated delays in the completion of the chloralkali facility.

The costs we anticipate to incur as part of our on-going mine reclamation activities at our Molycorp Mountain Pass facility, which we expect to continue throughout closure and post-closure periods of our mining operations, are included in asset retirement obligation disclosure in Note 13 in Part 1, Item 1 of this Quarterly Report on Form 10-Q.

Although we have incurred only nominal environmental expenditures at some of our other operating facilities in the first quarter of 2013 and 2012, we may have to incur environmental capital and operating costs associated with future possible modernization and expansion plans related to those other facilities.

Discussion and Analysis of our Reportable Segments

The following analysis presents operating results on a gross basis (i.e., before intercompany eliminations). We believe this presentation provides a better understanding of the performance of each reportable segment in terms of contribution to our vertically integrated operations.

Prior to the third quarter of 2012, our basis of segment reporting was the location of our operations. As a result of the changes in the composition of our reportable segments discussed in Note 3 of Part 1, Item 1 of this Quarterly Report on Form 10-Q, the reportable segments presentation of the prior interim period has been revised for comparative purposes.

44

Three Months Ended March 31, 2013 Compared to Three Months Ended March 31, 2012

Three months ended March 31, 2013 - As restated, Note 1A	Resources			Chemicals and Oxides			Magnetic Materials and Alloys			Rare Metals			Corporate and other(b) (d)			Eliminations(a)			Total Molycorp, Inc.
Revenues:	(In thousands)
External	$	14,658		$	49,600		$	54,678		$	27,431					$	—		$	146,367
Intersegment	2,645			14,610			—			—						(17,255		)	—
Total revenues	$	17,303		$	64,210		$	54,678		$	27,431					$	(17,255	)	$	146,367
Depreciation, amortization and accretion	$	(9,053	)	$	(5,537	)	$	(5,480	)	$	(2,403	)	$	(59	)	$	—		$	(22,532	)
Operating (loss) income	$	(40,126	)	$	(3,306	)	$	6,763		$	2,978		$	(11,564	)	$	(538	)	$	(45,793	)
(Loss) income before income taxes and equity earnings	$	(39,694	)	$	(2,891	)	$	16,900		$	3,731		$	(35,079	)	$	(538	)	$	(57,571	)
Total assets at March 31, 2013	$	1,884,262		$	599,389		$	610,890		$	111,276		$	1,042,315		$	(1,024,834	)	$	3,223,298
Capital expenditures (c)	$	92,339		$	2,961		$	1,041		$	2,931		$	74		$	—		$	99,346

Three months ended March 31, 2012	Resources			Chemicals and Oxides			Magnetic Materials and Alloys			Rare Metals			Corporate and other(b)			Eliminations(a)			Total Molycorp, Inc.
Revenues:	(In thousands)
External	$	44,478		$	7,320		$	18,956		$	13,716					$	—		$	84,470
Intersegment	1,832			3,210			—			—						(5,042		)	—
Total revenues	$	46,310		$	10,530		$	18,956		$	13,716					$	(5,042	)	$	84,470
Depreciation, amortization and accretion	$	(2,114	)	$	(315	)	$	(76	)	$	(1,202	)	$	(24	)	$	—		$	(3,731	)
Operating income (loss)	$	17,531		$	(13,537	)	$	145		$	1,392		$	(19,843	)	$	13,767		$	(545	)
Income (loss) before income taxes	$	17,599		$	(12,894	)	$	(137	)	$	2,230		$	(25,999	)	$	13,767		$	(5,434	)
Capital expenditures (c)	$	259,438		$	2,501		$	100		$	—		$	—		$	—		$	262,039

(a) The net elimination in operating results includes costs of sales eliminations of $16,717 and $18,809 for the three months ended March 31, 2013 and 2012, respectively, which consist of intercompany gross profits as well as eliminations of lower of cost or market adjustments related to intercompany inventory. The total assets elimination is comprised primarily of intercompany investments and intercompany accounts receivable and profits in inventory.

(b) Corporate loss before income taxes and equity earnings includes business development costs, personnel and related costs, including stock-based compensation expense, accounting and legal fees, occupancy expense, information technology costs and interest expense. Total corporate assets is comprised primarily of cash and cash equivalents and deferred tax assets.

(c) On an accrual basis excluding capitalized interest.

(d) First quarter 2013 loss at the Corporate segment includes severance charges of $2,077. See Note 24 in Part 1, Item 1 for details.

45

Resources

For the three months ended March 31, 2013, revenues from our Resources segment were $17.3 million on product volume of 763 mt at an average sales price, or ASP, of $22.68 per kilogram, as compared to revenues of $46.3 million for the corresponding prior-year quarter on volume of 673 mt at an ASP of $68.81 per kilogram.

The persistent global economic weakness, combined with the unwinding of speculative purchases following a period (mostly the first half of 2011) when abnormal premiums were placed on Chinese export quotas for REEs, led to an oversupply of rare earth products that has caused prices for the segment's primary products to significantly deteriorate from the first quarter of 2012 to the first quarter of 2013. For example, prices for cerium oxide 99%, lanthanum oxide 99% and neodymium/praseodymium oxide 99% have decreased, on average and based on China export prices quoted by major REEs market sources, by approximately 74%, 77% and 38%, respectively. The anticipation of falling REEs prices generally results in a very conservative purchasing pattern by our customers.

Aggregate production volume at our Resources segment was 606 mt in the first quarter of 2013, as compared to 615 mt for the first quarter of 2012. During the three months ended March 31, 2013, we expensed $20.1 million of production-related costs that would have otherwise been charged to inventory if we maintained normal production levels. This compares to expensing of abnormal production-related costs of $3.0 million in the first quarter of 2012. Given the lower level of production attained in the first quarter of 2013, as compared to the first quarter of 2012, period over period labor cost increases also had a negative effect on the results of operations for this segment. As of March 31, 2013, we had a total of 387 employees at our Molycorp Mountain Pass facility, as compared to 300 employees as of March 31, 2012. Staffing increases are directly related to the ramp up in employees needed to run the larger production facilities, which are in the process of coming online. We expect to return to normalized production levels as we ramp-up to an initial planned run rate of 19,050 mt of REO per year at our Molycorp Mountain Pass facility by mid-2013.

For the three months ended March 31, 2013, our operating income at the Resources segment was further reduced by $19.2 million of total inventory write-down, as compared to an inventory write-down of $6.6 million in the corresponding prior period. The deterioration in REEs prices described above, combined with a lower inventory turnover caused by the current conservative purchasing pattern of our customers, led to this higher inventory write-down in the first quarter of 2013.

Even though the costs of hydrochloric acid and caustic soda, which are the main chemicals used in our REO separation processes at Resources, have decreased from the first quarter 2012, as compared to the first quarter of 2013, variable production costs at Resources were unfavorably affected by higher consumption of those chemicals per unit of REO produced during the commissioning and testing phase of our new separation processes in the first quarter of 2013. Hydrochloric acid and caustic soda costs have decreased, on average, by approximately 20% over the prior-year period, contributing to savings of approximately $0.15 cents per kilogram of REO produced, whereas the temporary higher consumption of chemicals associated with the start-up phase of our new separation processes led to an increase of approximately $5.17 per kilogram of REO produced.

The commissioning and testing of the new separation processes at Resources also led to an increase in wastewater transportation costs of approximately $0.80 per kilogram of REO produced in the first quarter of 2013, as compared to the corresponding prior-year period.

However, we anticipate sourcing more of our chemicals internally by the second half of 2013 when our chloralkali plant is expected to be fully operational, which will allow us to recycle water used in the REO separation process, as well as regenerate chemicals needed for the REO separation at the Resources segment. The anticipated incremental, but not absolute, sourcing of chemicals from within our Molycorp Mountain Pass facility, and the future elimination of our current need to transport wastewater at an offsite facility, are expected to gradually contribute to lowering our cost of production over the next few quarters.

We currently are conducting pilot and full-scale tests to determine the efficacy of SorbX^TM in removing phosphates from municipal wastewater on a commercial basis as compared to other water treatment products. In addition, we expect to conduct similar tests with industrial wastewater. We are conducting these tests to determine the efficacy of SorbX^TM beyond the laboratory-scale tests we previously have conducted. Based on the results of these tests, we expect to be able to determine the size and scope of the municipal and industrial wastewater treatment markets where SorbX^TM will be effective.

46

Chemicals and Oxides

Comparative results for the Chemicals and Oxides segment were affected by the addition to our product mix of REO, salts of REEs, zirconium-based engineered materials and mixed rare earth/zirconium oxides from the Molycorp Canada acquisition on June 11, 2012. Chemicals and Oxides' sales volume in the first quarter of each year is particularly affected by the typical manufacturing slow down across Asia during the Chinese New Year and Spring Festival holidays.

Chemicals and Oxides' sales were $64.2 million on product volume of 1,866 mt for the three months ended March 31, 2013. This compares to revenues for this segment of $10.5 million on volume of 277 mt in the first quarter of 2012. ASP was $34.41 per kilogram and $35.58 per kilogram for the three months ended March 31, 2013 and 2012, respectively. The Molycorp Canada acquisition accounted for approximately 75% of the first quarter 2013 sales in this segment at an ASP of $40.74 per kilogram.    

Given the current global economic environment, customers in all market segments we serve have been monitoring closely and, in some instances, reducing their inventory levels. Although certain markets served by this segment have shown signs of improvements during the first quarter of 2013, demand for multi-layer ceramic capacitor, glass polishing, and phosphor applications remained weak. REO demand for automotive catalyst and fluid cracking catalyst applications, as well as automotive and smaller battery applications, continued to improve during the first quarter of 2013, as compared to the corresponding period in 2012.

The segment's operating income in the first quarter of 2013 was negatively affected by the release of inventory that was stepped-up in value in conjunction with the Molycorp Canada acquisition, which caused our costs of sales to be $2.0 million higher had we not stepped-up the inventory value at the time of acquisition. In addition, during three months ended March 31, 2013, we recognized write-down of inventory to net realizable value of $2.7 million, and expensed $1.4 million of production-related costs that would have otherwise been charged to inventory if we maintained normal production levels. Write-down of inventory to net realizable value during the first quarter of 2012 was $13.0 million. The prior-year period write-down was caused by the release of inventory that was stepped-up in value in conjunction with the Molycorp Silmet acquisition, which was completed at the time when abnormal premiums were placed on Chinese export quotas for REEs.

Magnetic Materials and Alloys

Comparative results for the Magnetic Materials and Alloys segment were affected by the inclusion of Neo Powders™ from the Molycorp Canada acquisition on June 11, 2012. First quarter sales in this segment are typically weaker than the following periods due to the fact that the first quarter of each year coincides with the end of the fiscal year for most Japanese companies in the supply chain predominantly served by the Magnetic Materials and Alloys segment. The effort by these companies to draw down inventory levels near to their year-end closing typically results into lower shipments of this segment's products.

Magnetic Materials and Alloys' revenues were $54.7 million on product volume of 1,263 mt for the three months ended March 31, 2013. This compares to sales of $19.0 million on volume of 168 mt for the three months ended March 31, 2012. ASP was $43.29 per kilogram in the first quarter of 2013, as compared to $113.10 per kilogram for corresponding prior period. Sales of Neo Powders™ in the first quarter of 2013 accounted for approximately 92% of this segment revenues at an ASP of $40.11 per kilogram.

Various manufacturers of hard disk drives, optical disc drives and office automation products represent the base markets for the Neo Powders™. In the first quarter of 2012, revenues from this segment derived primarily from the sale of neodymium and samarium alloys to one customer.     

Magnetic Materials and Alloys' operating income in the first quarter of 2013 was negatively affected by the write-down of inventory to net realizable value for $0.1 million, and by $0.4 million of expenses for production-related costs that would have otherwise been charged to inventory if we maintained normal production levels. These adjustments were partially offset by the release of inventory that was stepped-down in value in conjunction with the Molycorp Canada acquisition, which caused our costs of sales to be $0.1 million lower had we not stepped-down the inventory value at the time of acquisition. There were no inventory-related adjustments for this segment in the first quarter of 2012.     

Rare Metals

Comparative results for the Rare Metals segment were affected by the addition to our product mix of gallium, indium and rhenium from the Molycorp Canada acquisition on June 11, 2012.

Revenues from our Rare Metals segment were $27.4 million during first quarter of 2013, as compared to $13.7 million in the first quarter of 2012. For the three months ended March 31, 2013 and 2012, Rare Metals sold 81 mt and 75 mt of products,

47

respectively, at an ASP of $338.63 per kilogram and $182.88 per kilogram, respectively. The Molycorp Canada acquisition accounted for approximately 51% of Rare Metals' first quarter 2013 sales at an ASP of $389.42 per kilogram.

The continued adoption of LED applications, which require the use of some rare metals we produce, is allowing this segment to benefit from the diversification that our Chemicals and Oxides segment is experiencing relative to certain rare earth phosphor markets.

Similarly to the other segments, Rare Metals' operating income in the first quarter of 2013 was negatively affected by the release of inventory that was stepped-up in value in conjunction with the Molycorp Canada acquisition, which caused our costs of sales to be $0.5 million higher had we not stepped-up the inventory value at the time of acquisition. In addition, during the same period we recognized write-down of inventory to net realizable value for $0.1 million, and expensed $0.1 million of production-related costs that would have otherwise been charged to inventory if we maintained normal production levels. There were no material adjustments to inventory in the prior corresponding period for this segment.

Selling, General and Administrative Expenses

Our consolidated selling, general and administrative expenses, including stock-based compensation, were $26.5 million and $24.2 million for the three months ended March 31, 2013 and 2012, respectively.

In the first quarter of 2013, we took a number of actions throughout the organization as part of our continuing effort to contain costs and increase the efficiency of our operations. As a result, we reduced a portion of our workforce, primarily within the Corporate group, and recognized employee severance and benefit costs of $2.1 million in our Corporate segment. As of March 31, 2013, none of these severance benefits were paid. The remainder will be paid over 11 months from March 31, 2013. Starting in the latter part of fiscal 2011 and all through fiscal 2012, there was a significant deterioration in prices of rare earth products. In addition, delays in ramping up our Molycorp Mountain Pass facility to its initial planned annual run rate in 2012 deferred our ability to enter into longer-term contracts and generate the anticipated synergies, including positive cash flows, expected from the Molycorp Canada acquisition, which we completed in June 2012. Although our long-term strategy remains in place, such as achieving full-scale commercial production at our Molycorp Mountain Pass facility in 2013 and targeting the downstream markets that we believe have the potential for stronger rare earth products demand later in 2013, the weaker-than-expected financial performance of the last few quarters, attributable mainly to the operational and economic factors described above, required us to make certain adjustments to our short-term strategy to conserve cash and minimize costs.

Start-up costs related to the construction of our Molycorp Mountain Pass facility were $0.6 million during the three months ended March 31, 2013 and $8.9 million in the first quarter of 2012, and, accordingly, our consolidated selling, general and administrative expenses did not change significantly period-over-period despite the Molycorp Canada acquisition and the severance and benefit costs we recognized in the first quarter of 2013.

Corporate Development

Corporate development expenses were $0.1 million for the three months ended March 31, 2013, as compared to $3.4 million in the second quarter of 2012 when we began incurring due diligence and other costs related to the Molycorp Canada acquisition.

Depreciation, Amortization and Accretion

Consolidated depreciation and amortization expenses related to production were $14.3 million in the first quarter of 2013, as compared to $3.4 million for the first quarter of 2012. This period-over-period increase was primarily related to the addition of fixed assets acquired as part of the Molycorp Canada acquisition, and fixed assets that we constructed and placed into service at our Molycorp Mountain Pass facility subsequent to the first quarter of 2012.

Consolidated depreciation, amortization and accretion expenses unrelated to production were $8.2 million and $0.4 million for the three months ended March 31, 2013 and 2012, respectively. Such a large annual increase was mainly due to the addition of approximately $480.0 million in amortizable intangible assets in connection with the Molycorp Canada acquisition.

Research and Development

Consolidated research and development expenses were $6.4 million for the three months ended March 31, 2013, as compared to $3.7 million for the first quarter of 2012. The period-over-period increase was attributable primarily to our efforts to improve the efficiency of our REO processing operations, to develop new applications for individual REEs, research value

48

added rare metals applications, and perform exploratory drilling. These expenses, which we anticipate to continue to increase in the future, albeit at a slower pace, consist primarily of salaries, outside labor, material and equipment.

Interest Expense

The significant period-over-period increase in our short-term and long-term indebtedness led to the higher interest cost in the first quarter of 2013, as compared to the same quarter in 2012. Approximately 75% of the interest cost on our long-term debt was capitalized for the three months ended March 31, 2013, whereas the interest on our long-term debt outstanding during the first quarter of 2012 was all capitalized.

Foreign exchange (loss) gain

We had a net foreign currency transaction loss of $0.4 million during the three months ended March 31, 2013, as compared to a foreign currency transaction gain of $1.6 million in the first quarter of 2012, related primarily to the revaluation in euro of U.S. dollar monetary balances owed by Molycorp Silmet.

Other Expense

On March 28, 2012, we entered into a contingent forward contract to purchase Canadian dollars with a notional amount of Cdn$870.0 million to manage the foreign currency exposure with respect to our acquisition of Molycorp Canada. As of March 31, 2012, we recognized a loss of $6.7 million in other expense related to this contract.

Capital Expenditures

Our consolidated capital expenditures, on an accrual basis and excluding capitalized interest, totaled $99.4 million for the three months ended March 31, 2013, as compared to $262.0 million in the first quarter of 2012. The majority of these capitalized costs related to the modernization and expansion of our Molycorp Mountain Pass facility.

Related Party Transactions

For the three months ended March 31, 2013, we sold $1.0 million of Neo Powders™ to TMT and purchased $0.5 million worth of compounds from TMT. Also during the first quarter of 2013, we purchased metals and received services from Keli for a total of $9.6 million, and purchased $1.2 million of gallium metal from Ingal Stade.

Outlook for the Remainder of 2013

We expect that our financial performance for the first half of 2013 will be weaker than the second half of 2012. This is due to typical seasonality resulting in slow rare earth sales in the first quarter, combined with the expectation that our Molycorp Mountain Pass facility will not achieve full-scale commercial production until mid-year 2013.

Capital Investments

We expect capital expenditures for the modernization and expansion efforts and certain other capital projects at our Molycorp Mountain Pass Rare Earth facility to total approximately $1.54 billion. This updated projection includes certain expenditures that are expected to be deferred until 2014, including discretionary expenditures required only to expand production beyond the initial planned annual run rate of 19,050 metric tons of REO, if and when market demand, product pricing, capital availability and financial returns will justify such production. Of the $1.54 billion projected capital expenditures, we had spent approximately $1.30 billion on a cash basis through June 30, 2013, excluding capitalized interest.

As of June 30, 2013, we estimate cash expenditures totaling approximately $150 million through December 31, 2013 and approximately $85 million in 2014 to fund remaining capital expenditures for the modernization and expansion efforts and certain other capital expenditures at our Molycorp Mountain Pass facility. Additionally, we expect to spend approximately $17 million on other maintenance and expansion capital expenditures across all operating segments during the second half of 2013, the majority of which is discretionary.

Other cash requirements for the remainder of 2013 include the final payment of approximately $6.0 million to the noncontrolling shareholder of our majority owned Jiangyin Jia Hua Advanced Materal Resources Co. Ltd. facility in Jiangyin, China, and preferred stock dividend payments of approximately $5.6 million, if and after they are declared by our Board of Directors to be paid in cash.        

49

Liquidity and Capital Resources

Given the combination of ramping up toward the initial planned run rate of 19,050 mt of REO per year at our Molycorp Mountain Pass facility and the declining pricing environment of rare earth elements, or "REEs", we anticipate significantly lower than previously expected revenues and cash flow from operations through the remainder of 2013.

We plan to fund our capital expenditures primarily from our consolidated cash balances of $264.2 million as of June 30, 2013, and cash generated from operations. While our cash balances as of June 30, 2013 will fund a substantial portion of these capital needs, the full funding of our planned capital expenditures continues to be dependent on (i) our cost estimates for capital expenditures being accurate, (ii) our ability to ramp up run rates at our Molycorp Mountain Pass facility pursuant to our expectations without delays, (iii) our ability to generate sufficient cash flow from our operating segments, under variable market conditions that continue to be weaker than anticipated, to meet other cash needs (we estimate that a 15% drop in market prices for all REEs would reduce our estimated consolidated cash balance as of December 31, 2013 by approximately $8 million and that a 15% drop in volumes would reduce our estimated consolidated cash balance as of December 31, 2013 by approximately $30 million), (iv) our ability to sell our entire production of REO and (v) the absence of any payments on current and future contingent liabilities. If these assumptions prove inaccurate, our estimates could prove incorrect and it may need additional financing.

In addition to the remaining capital expenditures at our Molycorp Mountain Pass facility and other operating facilities, we expect to fund our working capital and other cash requirements, with our available cash balances of $264.2 million at June 30, 2013, anticipated future cash flow from operations at certain segments and potential proceeds from from revolving credit facilities, equity issuance, and lease and loan financing for certain equipment that we are currently pursuing in our normal process of properly managing our cash and working capital requirements.

There can be no assurance that we will be successful in securing access to additional cash proceeds through the revolving credit facilities or other forms of financing that we are currently pursuing on commercially acceptable terms, or at all. Accordingly, if necessary, we believe we have the ability to curtail capital expenditures and revise our current business plan to the extent necessary to preserve adequate liquidity sufficient to sustain operations.

Cash Used in Operating Activities

Net cash used in operating activities was $36.6 million during the three months ended March 31, 2013, as compared to a positive cash flow from operations of $16.0 million in the corresponding prior period. This change was primarily driven by lower sales prices combined with a significant increase in operating expenses, the latter attributed to the acquisition of Molycorp Canada and staffing increases at our Molycorp Mountain Pass facility of approximately 30% period over period.

Cash Used in Investing Activities

Net cash used in investing activities in the first quarter of 2013 were $184.6 million as compared to $210.8 million in the first quarter of 2012. This decrease was primarily attributable to a slow down in capital expenditures at the Molycorp Mountain Pass facility, where the largest and more complex infrastructures erected as part of our expansion and modernization efforts are about to be completed.

Cash from Financing Activities

Net cash provided from financing activities were $398.4 million and $385.6 million during the three months ended March 31, 2013 and 2012, respectively. In the first quarter of 2013, we raised $413.7 million, net of underwriting discount and transaction costs, through the issuance of our 5.50% convertible notes and the issuance of 43,125,000 shares of common stock. These cash inflows were partially offset by the repayment of certain bank loans for $11.1 million, the payment of preferred stock dividends for $2.8 million and other dividends we paid to one of our noncontrolling interests for $1.3 million. In the first quarter of 2012, we raised $390.2 million through the issuance of common stock in a private placement to an entity that now is one of our largest stockholders.

Liquidity of Subsidiaries

Our total $404.8 million of cash and cash equivalents at March 31, 2013 is comprised of: 1) $251.1 million held by Molycorp Minerals, LLC; 2) $0.5 million held by Molycorp Silmet; 3) $3.0 million held by MMA; 4) $150.0 million held by Molycorp Canada; and 5) $0.2 million held by our sales office in Tokyo, Japan.

At March 31, 2013, our foreign operating subsidiaries held cash and cash equivalents in foreign countries as follows (in thousands):

50

China (including Hong Kong)	$	115,069
Barbados	8,345
Canada	9,269
Japan	2,581
Germany	2,991
United Kingdom	2,540
Thailand	988
Korea	553
Singapore	724
Estonia	456
Luxembourg	44
Total cash and cash equivalents in foreign countries	143,560
United States	261,274
Total cash and cash equivalents	$	404,834

In addition to cash and cash equivalents, the primary sources of liquidity of our operating subsidiaries are cash provided by operations and, in the case of our operations in China, Japan and Estonia, borrowing under certain bank loans. From time to time, the sources of liquidity for our operating subsidiaries may be supplemented by intercompany loans in the form of interest bearing unsecured promissory notes. At March 31, 2013, Molycorp Minerals, LLC advanced funds to Molycorp Canada for $117.5 million, Molycorp Silmet for $18.5 million, MMA for $1.0 million and our sales office in Tokyo, Japan for $0.3 million. Also at March 31, 2013, our Molycorp Magnequench division advanced $40.0 million to Molycorp Minerals, LLC. Our operating subsidiaries' liquidity generally is used to fund their working capital requirements, capital expenditures and third-party debt service requirements.

51

Contractual Obligations

At March 31, 2013, we had the following contractual obligations:

	Payments Due by Period
Contractual Obligations	Total		Less Than 1 Year		1 - 3 Years		4 - 5 Years		More Than 5 Years
	(In thousands)
Operating lease obligations (1)	$	8,174	$	2,751	$	3,878	$	420	$	1,125
Purchase obligations and other commitments (2)	260,593		232,805		14,076		7,329		6,383
Employee obligations (3)	2,159		2,159		—		—		—
Asset retirement obligations (4)	34,766		1,993		7,780		393		24,600
Debt and capital lease obligations, including fixed interest payments	2,204,055		135,920		553,129		757,215		757,791
Total	$	2,509,747	$	375,628	$	578,863	$	765,357	$	789,899

(1) Represents all operating lease payments for office space, land and office equipment.

(2) Represents contractual commitments for the purchase of materials and services from vendors.

(3) Represents primarily payments due to employees for awards under our annual incentive plan.

(4) Under applicable environmental laws and regulations, we are subject to reclamation and remediation obligations resulting from our operations. The amounts presented above represent our estimated future undiscounted cash flows required to satisfy the obligations currently known to us.

Off-Balance Sheet Arrangements

As of March 31, 2013, our only off-balance sheet arrangements are the operating leases and purchase obligations included in the contractual obligations table above.

Recent Accounting Pronouncements

In February 2013, the Financial Accounting Standard Board ("FASB") issued ASU 2013-02, Comprehensive Income (Topic 220), Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income. This update requires companies to report, in one place, information about reclassifications out of accumulated other comprehensive income ("AOCI"). Companies also are required to present reclassifications by component when reporting changes in AOCI balances. For significant items reclassified out of AOCI to net income in their entirety in the period, companies must report the effect of the reclassifications on the respective line items in the statement where net income is presented. In certain circumstances, this can be done on the face of that statement. Otherwise, it must be presented in the notes. For items not reclassified to net income in their entirety in the period (e.g., pension amounts that are capitalized in inventory), companies must cross-reference in a note to other required disclosures. This update was effective for public companies in fiscal years, and interim periods within those years, beginning after 15 December 2012. The adoption of this updated guidance did not have any impact on our financial statements and related disclosures.

In July 2012, the FASB issued ASU 2012-02, Intangibles - Goodwill and Other (Topic 350), Testing Indefinite-Lived Intangible Assets for Impairment. In accordance with this update, an entity has the option first to assess qualitative factors to determine whether the existence of events and circumstances indicates that it is more likely than not that the indefinite-lived intangible asset is impaired. If, after assessing the totality of events and circumstances, an entity concludes that it is not more likely than not that the indefinite-lived intangible asset is impaired, then the entity is not required to take further action. However, if an entity concludes otherwise, then it is required to determine the fair value of the indefinite-lived intangible asset and perform the quantitative impairment test by comparing the fair value with the carrying amount and record an impairment charge, if any. The update was effective for annual and interim period impairment tests performed for fiscal years beginning after September 15, 2012. Early adoption was permitted. The adoption of this updated guidance did not have any impact on our financial statements and related disclosures.

52

GLOSSARY OF SELECTED REEs, RARE METALS AND MINING TERMS

The following is a glossary of selected REEs, rare metals and mining terms used in this Quarterly Report on Form 10-Q that may be technical in nature:

Assay	The analysis of the proportions of metals in ore, or the testing of an ore or mineral for composition, purity, weight, or other properties of commercial interest.
Bastnasite	Bastnasite is a mixed-lanthanide fluoro-carbonate mineral (Ln F CO3) that currently provides the bulk of the world's supply of the light REEs. Bastnasite and monazite are the two most common sources of cerium and other REEs. Bastnasite is found in carbonatites, igneous carbonate rocks that melt at unusually low temperatures.
Bonded magnet	Bonded neodymium-magnets are prepared by melt spinning a thin ribbon of the Nd-Fe-B alloy. The ribbon contains randomly oriented Nd2Fe14B nano-scale grains. This ribbon is then pulverized into particles, mixed with a polymer and either compression or injection molded into bonded magnets. Bonded magnets offer less flux than sintered magnets, but can be net-shape formed into intricately shaped parts and do not suffer significant eddy current losses.
Cerium	Cerium (Ce) is a soft, silvery, ductile metal which easily oxidizes in air. Cerium is the most abundant of the REEs, and is found in a number of minerals, including monazite and bastnasite. Cerium has two relatively stable oxidation states, enabling both the storage of oxygen and its widespread use in catalytic converters. Cerium is also widely used in glass polish.
Concentrate	A mineral processing product that generally describes the material that is produced after crushing and grinding ore, effecting significant separation of gangue (waste) minerals from the desired metal and/or metal minerals, and discarding the waste minerals. The resulting “concentrate” of minerals typically has an order of magnitude higher content of minerals than the beginning ore material.
Cut-off grade	The lowest grade of mineralized material that qualifies as ore in a given deposit. The grade above which minerals are considered economically mineable considering the following parameters: estimates over the relevant period of mining costs, ore treatment costs, general and administrative costs, refining costs, royalty expenses, by-product credits, process and refining recovery rates and price.
Didymium	Didymium is a natural and unseparated combination of neodymium and praseodymium, which is approximately 75% neodymium and 25% praseodymium, depending on the ore.
Dysprosium	A few percent of Dysprosium (Dy) is often added to high power neodymium iron boron magnets to increase their resistance to demagnetization. A minor use of dysprosium is in the magnetostrictive alloy, based on DyTbFe called terfenol-D.
Europium	Europium (Eu) is desirable due to its photon emission. Excitation of the europium atom, by absorption of electrons or by UV radiation, results in changes in energy levels that create a visible emission. Almost all practical uses of europium utilize this luminescent behavior.
Gadolinium	Gadolinium (Gd) absorbs neutrons and therefore is used for shielding and controlling neutron radiography and in nuclear reactors. Because of its paramagnetic properties, solutions of organic gadolinium complexes and gadolinium compounds are popular intravenous contrast enhancing agents for medical Magnetic Resonance Imaging contrast agents in (MRI). Gadolinium is sometimes added to samarium cobalt magnets to make their magnetic properties less temperature dependent.
Gallium	Elemental gallium is not found in nature, but it is easily obtained by smelting. Very pure gallium metal has a brilliant silvery color and its solid metal fractures conchoidally like glass. Almost all gallium is used for microelectronics.
Grade	The average REE content, as determined by assay of a metric ton of ore.
Indium	A rare, very soft, malleable and easily fusible post-transition metal that is chemically similar to gallium and thallium, and shows intermediate properties between these two. Indium's current primary application is to form transparent electrodes from indium tin oxide (ITO) in liquid crystal displays and touchscreens, and this use largely determines its global mining production. It is widely used in thin-films to form lubricated layers. It is also used for making particularly low melting point alloys, and is a component in some lead-free solders.
Lanthanum	Lanthanum (La) is the first member of the Lanthanide series. Lanthanum is a strategically important rare earth element due to its use in fluid bed cracking catalysts, FCCs, which are used in the production of transportation and aircraft fuel. Lanthanum is also used in fuel cells and batteries.
Mill	A processing plant that produces a concentrate of the valuable minerals contained in an ore.
Mineralization	The process or processes by which a mineral or minerals are introduced into a rock, resulting in a valuable or potentially valuable deposit.

53

Monazite	Monazite is a reddish-brown phosphate mineral. Monazite minerals are typically accompanied by concentrations of uranium and thorium. This has historically limited the processing of monazite, however this mineral is becoming more attractive because it typically has elevated concentrations of mid-to heavy rare earths.
Niobium	Niobium is a rare, soft, grey, ductile transition metal found in the minerals pyrochlore, the main commercial source for niobium, and columbite. Niobium is used mostly in alloys, the largest part in special steel such as that used in gas pipelines. Although alloys contain only a maximum of 0.1%, that small percentage of niobium improves the strength of the steel. The temperature stability of niobium-containing superalloys is important for its use in jet and rocket engines. Niobium is used in various superconducting materials.
Neodymium	Neodymium (Nd) has two major uses. It is key constituent of NdFeB permanent magnets and it is an additive to capacitor dielectrics. NdFeB magnets maximize the power/weight ratio, and are found in a large variety of motors, generators, sensors and hard disk drives. Capacitors containing neodymium are found in cellular telephones, computers and nearly all other electronic devices. A minor application of neodymium is in lasers.
Ore	That part of a mineral deposit which could be economically and legally extracted or produced at the time of reserve determination.
Overburden	In surface mining, overburden is the material that overlays an ore deposit. Overburden is removed prior to mining.
Praseodymium	Praseodymium (Pr) comprises about 4% of the lanthanide content of bastnasite and has a few specific applications, based mainly on its optical properties. It is a common coloring pigment, and is used in photographic filters, airport signal lenses, and welder's glasses. Because it chemically and magnetically is so similar to its neighbors neodymium and lanthanum, it is typically found in small amounts in applications where neodymium and lanthanum are popular, such as NdFeB magnets and catalysts. These latter applications are actually the largest uses for praseodymium because the magnet and catalyst markets are so large. Thus praseodymium plays an important role, in extending the availability of the more popular neodymium and lanthanum.
Probable reserves	Reserves for which quantity and grade and/or quality are computed from information similar to that used for proven reserves, but the sites for inspection, sampling, and measurement are farther apart or are otherwise less adequately spaced. The degree of assurance, although lower than that for proven reserves, is high enough to assume continuity between points of observation.
Proven reserves	Reserves for which (a) quantity is computed from dimensions revealed in outcrops, trenches, workings or drill holes; grade and/or quality are computed from the results of detailed sampling; and (b) the sites for inspection, sampling and measurement are spaced so closely and the geologic character is so well defined that size, shape, depth and mineral content of reserves are well established.
Recovery	The percentage of contained metal actually extracted from ore in the course of processing such ore.
Reserves	That part of a mineral deposit which could be economically and legally extracted or produced at the time of the reserve determination. Same definition as 'ore'
Rhenium	It is a silvery-white, heavy, third-row transition metal. With an estimated average concentration of 1 part per billion (ppb), rhenium is one of the rarest elements in the Earth's crust. The free element has the third-highest melting point and highest boiling point of any element. Rhenium resembles manganese chemically and is obtained as a by-product of molybdenum and copper ore's extraction and refinement. Nickel-based superalloys of rhenium are used in the combustion chambers, turbine blades, and exhaust nozzles of jet engines. These alloys contain up to 6% rhenium, making jet engine construction the largest single use for the element, with the chemical industry's catalytic uses being next-most important.
Samarium	Samarium (Sm) is predominantly used to produce samarium cobalt magnets. Although these magnets are slightly less powerful than NdFeB magnets at room temperature, samarium cobalt magnets can be used over a wider range of temperatures and are less susceptible to corrosion.
Sintered magnet	Sintered neodymium-magnets are prepared by the raw materials being melted in a furnace, cast into a mold and cooled to form ingots. The ingots are pulverized and milled to tiny particles. This undergoes a process of liquid-phase sintering whereby the powder is magnetically aligned into dense blocks which are then heat-treated, cut to shape, surface treated and magnetized.
Tantalum	Tantalum is a rare, hard, blue-gray, lustrous transition metal that is highly corrosion resistant. It is part of the refractory metals group, which are widely used as minor component in alloys. The chemical inertness of tantalum makes it a valuable substance for laboratory equipment and a substitute for platinum, but its main use today is in tantalum capacitors in electronic equipment such as mobile phones, DVD players, video game systems and computers.
Terbium	Terbium (Tb) is used primarily as a phosphor, either in fluorescent lamps or x-ray screens. It can replace dysprosium in NdFeB magnets but usually does not because of its cost. A minor use of terbium is in the magnetostrictive alloy, based on DyTbFe called terfenol-D.

54

Yttrium	Yttrium (Y), although not a lanthanide series element, is often considered to be a rare earth element and its behavior is similar to heavy rare earth elements. It is predominantly utilized in lighting applications and ceramics. Other uses include resonators, lasers, microwave communication devices and other electronic devices.
Zirconium oxide	A white amorphous powder that is insoluble in water and highly refractory, used as a pigment for paints, a catalyst, and an abrasive.

55

ITEM 4. CONTROLS AND PROCEDURES.

Evaluation of disclosure controls and procedures

In our Quarterly Report on Form 10-Q for the period ended March 31, 2013 filed on May 9, 2013, our management, including our Chief Executive Officer and Chief Financial Officer concluded that our "disclosure controls and procedures", as defined in Rules 13a-15(e) and 15d-15(e) of the Securities Exchange Act of 1934, or the Exchange Act, were effective as of March 31, 2013. In connection with the restatement of the unaudited condensed consolidated financial statements for the three months ended March 31, 2013 as discussed in Part I. Financial Information, Notes to Condensed Consolidated Financial Statements, Note 1A - Restatement, a re-evaluation was carried out under the supervision and with the participation of our management, including our Chief Executive Officer and Chief Financial Officer, of the effectiveness of the operation of our disclosure controls and procedures as of March 31, 2013. Based on that re-evaluation and in light of the material weakness described below, our Chief Executive Officer and Chief Financial Officer concluded that as of March 31, 2013, our disclosure controls and procedures were not effective to ensure that information we are required to disclose in reports that we file or submit under the Exchange Act is recorded, processed, summarized and reported within the time periods specified in rules and forms of the SEC, and is accumulated and communicated to our management as appropriate to allow timely decisions regarding required disclosure.

A material weakness is a deficiency, or a combination of deficiencies, in internal control over financial reporting, such that there is a reasonable possibility that a material misstatement of the company's annual or interim financial statements will not be prevented or detected on a timely basis.

Sufficient complement of accounting and financial reporting personnel

As of March 31, 2013, we did not maintain a sufficient complement of resources with an appropriate level of accounting knowledge, experience and training commensurate with our financial reporting requirements. This limited our ability, in certain areas, to ensure the necessary consistent communication, reinforcement, and application of accounting policies to make appropriate accounting adjustments and disclosure decisions and resulted in ineffective review of certain reconciliations and journal entries and errors in recording transactions in the financial records. This material weakness contributed to the adjustments identified in Part I. Financial Information, Notes to Condensed Consolidated Financial Statements, Note 1A - Restatement of our unaudited condensed consolidated financial statements for the three month period ended March 31, 2013.

In light of the material weakness as of March 31, 2013 described above, we re-evaluated our conclusion regarding the effectiveness of our internal control over financial reporting as of December 31, 2012. During our assessment of the effectiveness of our internal control over financial reporting as of December 31, 2012, we identified certain deficiencies that were not considered to be a material weakness, either individually or in the aggregate. Given the subsequent identification of a material weakness for the quarter ended March 31, 2013, we now consider certain control deficiencies identified as of December 31, 2012 to be a material weakness when considered in the aggregate. As of December 31, 2012, we did not maintain a sufficient complement of resources with an appropriate level of accounting knowledge, experience and training commensurate with our financial reporting requirements. This limited our ability, in certain areas, to ensure the necessary consistent communication, reinforcement, and application of accounting policies to make appropriate accounting adjustments and disclosure decisions and resulted in ineffective review of certain reconciliations and journal entries and errors in recording transactions in the financial records.

The control deficiency described above could result in a material misstatement to the annual consolidated financial statements and disclosures or additional material misstatements to the interim consolidated financial statements and disclosures that would not be prevented or detected. No additional material misstatements of the Company's historical annual or interim consolidated financial statements and disclosures have been identified.

Remediation plan

In response to the material weakness described above, our management, with oversight from our Audit and Ethics Committee, is dedicating appropriate resources to remediate such material weakness. Until the remediation steps set forth below are fully implemented, the material weakness described above will continue to exist.

Management is taking the following actions to remediate the material weakness related to our complement of accounting and financial reporting personnel described above:

56

• Re-training the accounting staff at our Mountain Pass operation on the performance of controls for the preparation, execution and review of the calculation of inventory and costs of sales, and controls that are intended to ensure that all accounting reconciliations and journal entries are appropriately prepared and reviewed;

• Replacing the Operations Controller at our Mountain Pass operation; and

• Supplementing our accounting department with personnel having an appropriate level of accounting knowledge, experience and training commensurate with our financial reporting requirements, and training them on our control procedures that are intended to ensure that all accounting reconciliations and journal entries are appropriately prepared and reviewed.

Inherent limitations of internal controls

Internal control over financial reporting has inherent limitations. Internal control over financial reporting is a process that involves human diligence and compliance and is subject to lapses in judgment and breakdowns resulting from human failures. Internal control over financial reporting also can be circumvented by collusion or improper management override. Because of such limitations, there is a risk that material misstatements will not be prevented or detected on a timely basis by internal control over financial reporting. However, these inherent limitations are known features of the financial reporting process. Therefore, it is possible to design into the process safeguards to reduce, though not eliminate, this risk.

Exclusion from our assessment of the effectiveness of our internal control over financial reporting

We acquired the predecessor of Molycorp Minerals Canada ULC in the second quarter of 2012 and we have excluded Molycorp Minerals Canada ULC from our assessment of the effectiveness of our internal control over financial reporting. As such, the scope of our assessment of the effectiveness of our controls and procedures does not include Molycorp Minerals Canada ULC. This exclusion is in accordance with the SEC's general guidance that an assessment of a recently acquired business may be omitted from our scope in the year of acquisition. Our assessment of the effectiveness of our controls and procedures for the year ending December 31, 2013 will include Molycorp Minerals Canada ULC.

Changes in internal control over financial reporting

There have been no changes in the Company's internal control over financial reporting that occurred during the quarter ended March 31, 2013 that have materially affected, or are reasonably likely to materially affect, the Company's internal control over financial reporting.

57

PART II. OTHER INFORMATION

ITEM 6.    EXHIBITS.

See the Exhibit Index at the end of this document, which is incorporated by reference herein.

58

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

	MOLYCORP, INC.
August 14, 2013	By:	/s/ Constantine E. Karayannopoulos
		Constantine E. Karayannopoulos President and Chief Executive Officer (Principal Executive Officer)
August 14, 2013	By:	/s/ Michael F. Doolan
		Michael F. Doolan Chief Financial Officer (Principal Financial Officer)

59

EXHIBIT INDEX

3.1	*	Amended and Restated Certificate of Incorporation of Molycorp, Inc., as amended (incorporated by reference to Exhibit 3.1 to Molycorp, Inc.'s Quarterly Report on Form 10-Q (File No. 001-34827) for the quarterly period ended June 30, 2012)
3.2	*	Bylaws of Molycorp, Inc., amended as of August 3, 2010 (incorporated by reference to Exhibit 3.2 to Molycorp, Inc.’s Current Report on Form 8-K (File No. 001-34827) filed with the Securities and Exchange Commission on August 6, 2010
4.1	**	Second Supplemental Indenture by and between the Company and Wells Fargo Bank, National Association, as Trustee (including Form of Note)
10.1	*	Share Lending Agreement, dated as of January 24, 2013, by and between the Company, as Lender, and Morgan Stanley Capital Services LLC, as Borrower (incorporated by reference to Exhibit 10.1 to Molycorp,  Inc.'s Current Report on Form 8-K (File No. 001-34827) filed with the Securities and Exchange Commission on January 30, 2013)
10.2	**	Amended severance policy for senior management in certain salary grades who are not also parties to an employment agreement with the Company, dated March 7, 2013
10.3	**	Separation Agreement and General Release, dated March 22, 2013, between Molycorp, Inc. and John F. Ashburn, Jr.
10.4	**	Consulting Agreement, dated March 22, 2013, between Molycorp, Inc. and John F. Ashburn, Jr.
10.5	**	Separation Agreement and General Release, dated March 22, 2013, between Molycorp, Inc. and John L. Burba, PhD
10.6	**	Consulting Agreement, dated March 22, 2013, between Molycorp, Inc. and John L. Burba, PhD
31.1		Certification of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
31.2		Certification of Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
32.1		Certification pursuant to U.S.C. Section 1350 as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
95.1	**	Information concerning mine safety violations or other regulatory matters required by Section 1503(a) of the Dodd-Frank Wall Street Reform and Consumer Protection Act.
101.INS		XBRL Instance Document
101.SCH		XBRL Taxonomy Extension Schema Document
101.CAL		XBRL Taxonomy Extension Calculation Linkbase Document
101.DEF		XBRL Taxonomy Extension Definition Linkbase Document
101.LAB		XBRL Taxonomy Extension Label Linkbase Document
101.PRE		XBRL Taxonomy Extension Presentation Linkbase Document
*		Previously filed as indicated and incorporated herein by reference.
**		Previously filed.

60

EX-31.1

EXHIBIT 31.1

CERTIFICATION

I, Constantine E. Karayannopoulos, certify that:

1. I have reviewed this Amendment No.1 of this quarterly report on Form 10-Q/A of Molycorp, Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5. The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Date: August 14, 2013

/s/ CONSTANTINE E. KARAYANNOPOULOS

Constantine E. Karayannopoulos President and Chief Executive Officer
(Principal Executive Officer)

EX-31.2

EXHIBIT 31.2

CERTIFICATION

I, Michael F. Doolan, certify that:

1. I have reviewed this Amendment No.1 of this quarterly report on Form 10-Q/A of Molycorp, Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5. The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Date: August 14, 2013

/s/ MICHAEL F. DOOLAN

Michael F. Doolan

Executive Vice President and Chief Financial Officer (Principal Financial Officer and Principal Accounting Officer)

EX-32.1

Exhibit 32.1

CERTIFICATION

PURSUANT TO

18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES‑OXLEY ACT OF 2002

In connection with the Amendment No.1 on Form 10-Q/A of Molycorp, Inc. (the “Company”) for the three months ended March 31, 2013, as filed with the Securities and Exchange Commission on the date hereof (the “Report”), Constantine E. Karayannopoulos, as President and Chief Executive Officer of the Company, and Michael F. Doolan, as Chief Financial Officer of the Company, each hereby certifies, pursuant to and solely for the purpose of 18 U.S.C. § 1350, as adopted pursuant to § 906 of the Sarbanes‑Oxley Act of 2002, to the best of his knowledge and belief, that:

(1)    The Report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934 (15 U.S.C. 78m or 78o(d)); and

(2)    The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company as of the dates and for the periods expressed in the Report.

/s/ CONSTANTINE E. KARAYANNOPOULOS

Constantine E. Karayannopoulos President and Chief Executive Officer (Principal Executive Officer)

August 14, 2013

/s/ MICHAEL F. DOOLAN

Michael F. Doolan

Executive Vice President and Chief Financial Officer (Principal Financial Officer and Principal Accounting Officer)

August 14, 2013

XML

Subsequent Events (Details) (Subsequent Event, USD $)	0 Months Ended
	May 09, 2013
Subsequent Event
Subsequent Events
Cash dividend declared (in dollars per share)	$ 1.375

XML

Concentrations (Details) (USD $)	3 Months Ended
	Mar. 31, 2013	Mar. 31, 2012
Concentrations
Sales, net of intercompany transactions	$ 146,367,000	$ 84,470,000
Product Concentration | Customers Concentration
Concentrations
Sales, net of intercompany transactions	0
Product Concentration | Customers Concentration | Hitachi Metals Ltd.
Concentrations
Sales, net of intercompany transactions		20,400,000
Product Concentration | Customers Concentration | W.R. Grace & Co.— Conn.
Concentrations
Sales, net of intercompany transactions		17,200,000
Product Concentration | Customers Concentration | Magnetic Materials and Alloys | Santoku
Concentrations
Sales, net of intercompany transactions		$ 16,600,000
Product Concentration | Resources | Lanthanum products
Concentrations
Entity-wide revenue, major customers		46.00%
Product Concentration | Resources | Neodymium and Praseodymium products
Concentrations
Entity-wide revenue, major customers		53.00%
Product Concentration | Chemicals and Oxides | Cerium products
Concentrations
Entity-wide revenue, major customers	11.60%
Product Concentration | Magnetic Materials and Alloys | Neo Powders
Concentrations
Entity-wide revenue, major customers	34.00%
Product Concentration | Magnetic Materials and Alloys | NdFeB Alloys
Concentrations
Entity-wide revenue, major customers		19.00%
Product Concentration | Rare Metals | Tantalum Metal [Member]
Concentrations
Entity-wide revenue, major customers	16.00%

XML

Net Change in Operating Assets and Liabilities (Details) (USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2013	Mar. 31, 2012
Decrease (increase) in operating assets:
Accounts receivable	$ (10,928)	$ 25,408
Inventory	14,367	(4,442)
Prepaid expenses and other assets	1,850	382
Increase (decrease) in operating liabilities:
Accounts payable	(15,835)	(13,924)
Income tax payable	5,092	1,560
Interest payable	(3,746)	0
Asset retirement obligation	(308)	0
Accrued expenses	(6,369)	(4,605)
Net change in operating assets and liabilities	$ (15,877)	$ 4,379

XML

Investments

3 Months Ended

Mar. 31, 2013

Investments, Debt and Equity Securities [Abstract]

Investments

Investments

Boulder Wind Power, Inc.

On September 13, 2011, the Company invested $20.0 million into Boulder Wind Power, Inc. Series B convertible preferred stock, which is accounted for at cost. At March 31, 2013, the fair value of this investment was not estimated as there were no identified events or changes in circumstances that may have had a significant adverse effect on the fair value of the investment.

Intermetallics Japan Joint Venture

In January 2012, Molycorp, Daido Steel Co., Ltd. (“Daido”) and Mitsubishi Corporation (“Mitsubishi”) entered into a definitive shareholders agreement for the purpose of funding a new joint venture, Intermetallics Japan ("IMJ"), to manufacture sintered NdFeB permanent rare earth magnets. The capital contribution ratio of IMJ is 30.0% by Molycorp, 35.5% by Daido and 34.5% by Mitsubishi.

During the first quarter of 2013, Molycorp contributed $3.4 million in cash to complete the acquisition of its proportional ownership in IMJ. Total contributions by Molycorp to IMJ from the signing of the definitive shareholders agreement were $31.1 million.

Molycorp accounts for this investment under the equity method because it has the ability to exercise significant influence over the operating and financial policies of IMJ, as evidenced by Molycorp’s ownership share and its proportional voting rights and representation in the Board of Directors of IMJ. The condensed consolidated statements of operations and comprehensive income for the three months ended March 31, 2013 and 2012 include a loss of $2.0 million and $0.2 million, respectively, associated with this equity method interest.

Molycorp Canada Investments

As a result of the acquisition of Neo Material Technologies Inc., formerly referred to as Neo or Neo Materials and now Molycorp Minerals Canada ULC or Molycorp Canada, in June 2012, Molycorp acquired the following investments:

• 25% ownership interest in Ganzhou Keli Rare Earth New Material Co., Ltd. (“Keli”), a company that converts REO into metals for use in Neo Powders™. The purchase allocation attributable to this investment at the time of the Molycorp Canada acquisition was $12.2 million. Molycorp accounts for this ownership interest under the equity method because it has the ability to exercise significant influence over the operating and financial policies of Keli, as evidenced by Molycorp’s ownership share and its proportional voting rights. The condensed consolidated statements of operations and comprehensive income include a loss of $1.0 million for the three months ended March 31, 2013 associated with this equity method ownership interest.

• 33% ownership interest in Toda Magnequench Magnetic Materials Co. Ltd. (“TMT”), a company that produces rare earth magnetic compounds with Neo Powders™ supplied by Magnequench (Tianjin) Company Limited in its normal course of business. The purchase allocation attributable to this investment at the time of the Molycorp Canada acquisition was $1.6 million. Molycorp accounts for this ownership interest under the equity method because it has the ability to exercise significant influence over the operating and financial policies of TMT, as evidenced by Molycorp’s ownership share and its proportional voting rights.

• 50% ownership interest in Ingal Stade GmbH (“Ingal Stade”), a joint venture facility in Stade, Germany, which extracts gallium metal from alumina smelter bayer liquor with purity level of 5N (99.999%) or higher. The purchase allocation attributable to this investment at the time of the Molycorp Canada acquisition was $4.9 million. Molycorp accounts for this ownership interest under the equity method because it has the ability to exercise significant influence over the operating and financial policies of Ingal Stade, as evidenced by Molycorp’s ownership share and its proportional voting rights.

• 19.5% ownership interest in Atlantic Metals & Alloys, LLC, a company which provides refining services for residues and scrap of the rare and platinum group metals. The purchase allocation attributable to this investment at the time of the Molycorp Canada acquisition was $1.4 million. Molycorp accounts for this ownership interest under the cost method. At March 31, 2013, the fair value of this investment was not estimated as there were no identified events or changes in circumstances that may have had a significant adverse effect on the fair value of the investment.

• 7% ownership interest in Vive Crop Protection, a company that specializes in the formulation of active ingredients used in crop protection. The purchase allocation attributable to this investment at the time of the Molycorp Canada acquisition was $0.9 million. Molycorp accounts for this ownership interest under the cost method. At March 31, 2013, the fair value of this investment was not estimated as there were no identified events or changes in circumstances that may have had a significant adverse effect on the fair value of the investment.

XML

Capital Requirements (Details) (USD $)	3 Months Ended					35 Months Ended
	Mar. 31, 2013	Mar. 31, 2012	Jun. 30, 2013	Dec. 31, 2012	Dec. 31, 2011	Jun. 30, 2013 Molycorp Mountain Pass facility Mg	Jun. 30, 2013 Minimum All operating segments	Jun. 30, 2013 Jiangyin Jia Hua Advanced Material Resources Co Ltd [Member]
Capital Expenditures [Line Items]
Total current estimated costs						$ 1,540,000,000
Planned annual production capacity (in metric tonnes)						19,050
Capital expenditures	181,103,000	206,463,000				1,300,000,000
Estimated future capital expenditures remainder of 2013						150,000,000
Estimated capital expenditures in 2014						85,000,000
Estimated expenditures on other maintenance and expansion capital expenditures in 2013							17,000,000
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Changes, Purchase of Interest by Parent, Note Payable to Sellers								6,000,000
Preferred stock dividend payments, if declared in the remainder of the year.			5,600,000
Cash and cash equivalents	404,834,000	609,794,000	264,200,000	227,790,000	418,855,000
Effect of 15% decrease in REEs mark price on expected cash flow						30,000,000
Effect of 15% decrease in REEs volume on expected cash flow						$ 8,000,000

XML

Condensed Consolidated Statements of Operations and Comprehensive Income (USD $) In Thousands, except Per Share data, unless otherwise specified	3 Months Ended
	Mar. 31, 2013	Mar. 31, 2012
Income Statement [Abstract]
Revenues	$ 146,367	$ 84,470
Costs of sales:
Costs excluding depreciation and amortization	(136,594)	(50,070)
Depreciation and amortization	(14,309)	(3,373)
Gross (loss) profit	(4,536)	31,027
Operating expenses:
Selling, general and administrative	(26,514)	(24,183)
Corporate development	(115)	(3,381)
Depreciation, amortization and accretion	(8,223)	(358)
Research and development	(6,405)	(3,650)
Operating loss	(45,793)	(545)
Other (expense) income:
Other income (expense)	260	(6,578)
Foreign exchange (loss) gain, net	(389)	1,604
Interest (expense) income, net of capitalized interest	(11,649)	85
Total other expense	(11,778)	(4,889)
Loss before income taxes and equity earnings	(57,571)	(5,434)
Income tax benefit	22,490	2,183
Equity in results of affiliates	(3,072)	(227)
Net loss	(38,153)	(3,478)
Net income attributable to noncontrolling interest	(818)	0
Net loss attributable to Molycorp stockholders	(38,971)	(3,478)
Other comprehensive income:
Foreign currency translation adjustments	(3,294)	2,530
Comprehensive loss	(41,447)	(948)
Comprehensive loss attributable to:
Molycorp stockholders	(40,629)	(948)
Noncontrolling interest	(818)	0
Comprehensive loss	$ (41,447)	$ (948)
Loss per share of common stock (Note 17):
Basic (in dollars per share)	$ (0.27)	$ (0.07)
Diluted (in dollars per share)	$ (0.27)	$ (0.07)

XML

Segment Information

3 Months Ended

Mar. 31, 2013

Segment Reporting [Abstract]

Segment Information

Segment Information

In the third quarter of 2012, management reorganized the Company's operations into four new reportable segments to better reflect its primary activities as a global producer of custom engineered, advanced rare earth materials: Resources; Chemicals and Oxides; Magnetic Materials and Alloys; and Rare Metals. The new composition of the Company's reportable segments is based on a combination of product lines and technologies aligned with its current strategy.

The Resources segment includes the Company's operations at its Molycorp Mountain Pass facility where it conducts rare earth minerals extraction to produce: rare earth concentrates; REO, including lanthanum, cerium, neodymium, praseodymium and yttrium; heavy rare earth concentrates, which include samarium, europium, gadolinium, terbium, dysprosium, and others; and SorbX^TM, a line of proprietary rare earth-based water treatment products.

The Chemicals and Oxides segment includes: production of REO at the Company's operations in Sillamäe, Estonia ("Molycorp Silmet"); heavy rare earth oxides from the Company's facilities in Jiangyin, Jiangsu Province, China; and production of REO, salts of REEs, zirconium-based engineered materials and mixed rare earth/zirconium oxides from the Company's facilities in Zibo, Shandong Province, China. Rare earths products and zirconium-based engineered products are primarily supplied to the automotive catalyst, electronics, ceramic, clean technology and glass industries.

The Magnetic Materials and Alloys segment includes: the production of neodymium-iron-boron ("NdFeB") magnet powders ("Neo Powders™") through Molycorp's wholly-owned manufacturing facilities in Tianjin, China and Korat, Thailand, under the Molycorp Magnequench brand. Neo Powders™ are used to make bonded magnets for a variety of electronic and mechanical products such as micro motors, precision motors, sensors and other applications requiring high levels of magnetic strength, flexibility, small size and reduced weight. This reporting segment also includes manufacturing of neodymium and samarium magnet alloys, other specialty alloy products and rare earth metals at Molycorp Metals and Alloys ("MMA") in Tolleson, Arizona.

The Rare Metals segment comprises: Molycorp's production of gallium, indium, tantalum and rhenium from its operations in Quapaw, Oklahoma; Blanding, Utah; Peterborough, Ontario; Napanee, Ontario; Sagard, Germany; and Hyeongok Industrial Zone in South Korea. This operating segment also includes tantalum and niobium from the Company's operations in Sillamäe, Estonia. Rare metals are primarily used in the wireless, light-emitting diode, flat panel display, turbine, solar and catalyst industries.

The asset retirement obligation is recognized only within the Resources segment. In addition, the annual profit earned from the Estonian operations is not taxed. In accordance with the Estonian Income Tax Act, only distribution of annual profit is subject to income tax in Estonia. Intersegment sales and transfers are based on similar arms-length transactions with third parties at the time of the sale.

Prior to the third quarter of 2012, the basis of segmentation of the Company's activities was the location of its operations. As a result of the changes in the composition of the Company's reportable segments discussed above, the prior period reporting segments presentation has been revised for comparative purposes.

Three months ended March 31, 2013 - As restated, Note 1A	Resources			Chemicals and Oxides			Magnetic Materials and Alloys			Rare Metals			Corporate and other(b) (d)			Eliminations(a)			Total Molycorp, Inc.
Revenues:	(In thousands)
External	$	14,658		$	49,600		$	54,678		$	27,431					$	—		$	146,367
Intersegment	2,645			14,610			—			—						(17,255		)	—
Total revenues	$	17,303		$	64,210		$	54,678		$	27,431					$	(17,255	)	$	146,367
Depreciation, amortization and accretion	$	(9,053	)	$	(5,537	)	$	(5,480	)	$	(2,403	)	$	(59	)	$	—		$	(22,532	)
Operating (loss) income	$	(40,126	)	$	(3,306	)	$	6,763		$	2,978		$	(11,564	)	$	(538	)	$	(45,793	)
(Loss) income before income taxes and equity earnings	$	(39,694	)	$	(2,891	)	$	16,900		$	3,731		$	(35,079	)	$	(538	)	$	(57,571	)
Total assets at March 31, 2013	$	1,884,262		$	599,389		$	610,890		$	111,276		$	1,042,315		$	(1,024,834	)	$	3,223,298
Capital expenditures (c)	$	92,339		$	2,961		$	1,041		$	2,931		$	74		$	—		$	99,346

Three months ended March 31, 2012	Resources			Chemicals and Oxides			Magnetic Materials and Alloys			Rare Metals			Corporate and other(b)			Eliminations(a)			Total Molycorp, Inc.
Revenues:	(In thousands)
External	$	44,478		$	7,320		$	18,956		$	13,716					$	—		$	84,470
Intersegment	1,832			3,210			—			—						(5,042		)	—
Total revenues	$	46,310		$	10,530		$	18,956		$	13,716					$	(5,042	)	$	84,470
Depreciation, amortization and accretion	$	(2,114	)	$	(315	)	$	(76	)	$	(1,202	)	$	(24	)	$	—		$	(3,731	)
Operating income (loss)	$	17,531		$	(13,537	)	$	145		$	1,392		$	(19,843	)	$	13,767		$	(545	)
Income (loss) before income taxes	$	17,599		$	(12,894	)	$	(137	)	$	2,230		$	(25,999	)	$	13,767		$	(5,434	)
Capital expenditures (c)	$	259,438		$	2,501		$	100		$	—		$	—		$	—		$	262,039

(a) The net elimination in operating results includes costs of sales eliminations of $16,717 and $18,809 for the three months ended March 31, 2013 and 2012, respectively, which consist of intercompany gross profits as well as eliminations of lower of cost or market adjustments related to intercompany inventory. The total assets elimination is comprised primarily of intercompany investments and intercompany accounts receivable and profits in inventory.

(b) Corporate loss before income taxes and equity earnings includes business development costs, personnel and related costs, including stock-based compensation expense, accounting and legal fees, occupancy expense, information technology costs and interest expense. Total corporate assets is comprised primarily of cash and cash equivalents and deferred tax assets.

(c) On an accrual basis excluding capitalized interest.

(d) First quarter 2013 loss at the Corporate segment includes severance charges of $2,077. See Note 24 for details.

XML

Loss per Share

3 Months Ended

Mar. 31, 2013

Earnings Per Share [Abstract]

Loss per Share

Loss per Share

For the three months ended March 31, 2013 and 2012, the dividends on the Convertible Preferred Stock were subtracted from net loss attributable to Molycorp stockholders for the purpose of computing the basic and diluted earnings per share.

	Three Months Ended March 31,
(In thousands, except share and per share amounts)	2013			2012
	As restated, Note 1A
Net loss attributable to Molycorp stockholders	$	(38,971	)	$	(3,478	)
Dividends on Convertible Preferred Stock	(2,846		)	(2,846		)
Loss attributable to common stockholders	(41,817		)	(6,324		)
Weighted average common shares outstanding—basic	153,314,081			87,006,460
Basic loss per share	$	(0.27	)	$	(0.07	)
Weighted average common shares outstanding—diluted	153,314,081			87,006,460
Diluted loss per share	$	(0.27	)	$	(0.07	)

Diluted earnings per share reflect the dilutive impact of potential common stock and unvested restricted shares of common stock in the weighted average number of common shares outstanding during the period, if dilutive. For this purpose, the “treasury stock method” and “if-converted method,” as applicable, are used.

Under the treasury stock method, assumed proceeds upon the exercise of stock options are considered to be used to purchase common stock at the average market price of the shares during the period. Also under the treasury stock method, fixed awards and non-vested shares, such as restricted stock units, are deemed options for purposes of computing diluted earnings per share. At March 31, 2013 and 2012, all potential common stock under the treasury stock method were antidilutive in nature; consequently, the Company did not have any adjustments between earnings per share and diluted earnings per share related to stock options and restricted stock units.

In applying the if-converted method, conversion is not assumed for purposes of computing diluted earnings per share if the effect would be antidilutive. Convertible preferred stock is antidilutive whenever the amount of the dividend declared in or accumulated for the current period per common share obtainable on conversion, including the deemed dividend in the period from a beneficial conversion feature, exceeds basic earnings per share. Molycorp's Convertible Preferred Stock was antidilutive at March 31, 2013 and 2012.

Also, under the if-converted method, convertible debt is antidilutive whenever its interest per common share obtainable on conversion, including any deemed interest from a beneficial conversion feature and nondiscretionary adjustments, net of tax, exceeds basic earnings per share. At March 31, 2013 and 2012, all of the Company's convertible notes were antidilutive.

XML

Income Taxes Narrative (Details) (USD $)	3 Months Ended
	Mar. 31, 2013	Mar. 31, 2012
Significant Change in Unrecognized Tax Benefits is Reasonably Possible [Line Items]
(Loss) income before income taxes and equity earnings	$ (57,571,000)	$ (5,434,000)
Deferred tax liabilities, net	126,600,000
Valuation allowance	22,700,000
Foreign subsidiary earnings and withholding taxes	24,900,000
Deferred income tax expense due to elimination of intercompany balances and transactions	6,100,000
Income tax payable due to elimination of intercompany balances and transactions	6,100,000
Unrecognized Tax Benefits	6,200,000
Statute of limitations expiration and possible settements with taxing authorities
Significant Change in Unrecognized Tax Benefits is Reasonably Possible [Line Items]
Significant change in unrecognized tax benefits is reasonably possible, estimated range of change, lower bound	4,000,000
Significant change in unrecognized tax benefits is reasonably possible, estimated range of change, higher bound	6,000,000
Foreign Tax Authority
Significant Change in Unrecognized Tax Benefits is Reasonably Possible [Line Items]
Increase (Decrease) in Deferred Income Taxes	2,900,000
Decrease in deferred tax liabilities as a result of the American Taxpayer Relief Act	$ 5,800,000

XML

Inventory (Details) (USD $)	3 Months Ended
	Mar. 31, 2013	Mar. 31, 2012	Dec. 31, 2012
Current:
Concentrate stockpiles	$ 4,743,000		$ 6,393,000
Raw materials	75,540,000		95,248,000
Work in process	53,134,000		55,229,000
Finished goods	95,135,000		114,903,000
Materials and supplies	18,901,000		15,603,000
Total current	247,453,000		287,376,000
Long-term:
Concentrate stockpiles	4,000		4,000
Raw materials	24,980,000		26,092,000
Total long-term	24,984,000		26,096,000
Production costs expensed that would have been allocated to additional tons produced, assuming operations at normal production rates	22,000,000	3,000,000
Write-down of inventory as a result of production or purchase costs in excess of net realizable value	19,700,000	6,600,000
Write-down of work-in-process inventory and stockpile based on estimated REO quantities	$ 2,400,000	$ 0

XML

Acquisitions

3 Months Ended

Mar. 31, 2013

Business Combinations [Abstract]

Acquisitions

Acquisitions

Molycorp Canada

On June 11, 2012, Molycorp completed the acquisition of all of the outstanding equity of Molycorp Canada's predecessor company pursuant to the terms of an arrangement agreement (the "Arrangement Agreement") for an aggregate purchase price of approximately $1,192.3 million. Pursuant to the Arrangement Agreement, Molycorp Canada's former shareholders elected to receive: (a) cash consideration equal to Canadian dollars ("Cdn") $11.30 per share of Molycorp Canada's predecessor company's common stock; or (b) share consideration of 0.4242 shares of Molycorp common stock or 0.4242 shares (the "Exchangeable Shares") issued by MCP Exchangeco Inc., Molycorp's wholly-owned Canadian subsidiary, which are exchangeable for shares of Molycorp's common stock on a one-for-one basis, per each share of Molycorp Canada's predecessor company's common stock; or (c) a combination of cash and shares of Molycorp common stock or Exchangeable Shares, all subject to the proration mechanics set forth in the Arrangement Agreement.

The consideration paid to Molycorp Canada's former shareholders was comprised of approximately $908.2 million in cash, exclusive of realized losses on the contingent forward contract to purchase $870.0 million Canadian dollars, accounted for as a separate transaction apart from the business combination, as further discussed in Note 25. Additionally, 13,534,950 shares of Molycorp common stock and 507,203 Exchangeable Shares were issued and collectively valued at $284.1 million based on the closing price of the Company's common stock on the acquisition date in accordance with the relevant accounting guidance. The Exchangeable Shares have no par value.

A preliminary allocation of the consideration transferred to the net assets of Molycorp Canada was made as of June 11, 2012. During the second quarter of 2013, the Company further adjusted the preliminary values assigned to certain assets and liabilities of Molycorp Canada in order to reflect additional information obtained since June 11, 2012. As a result of the additional goodwill recognized during the final allocation of the consideration transferred to the net assets of Molycorp Canada, the goodwill impairment the Company recognized in the fourth quarter of 2012 has increased by $31.6 million to $287.9 million. The measurement period adjustments described in the table below have been reflected in the opening balance sheet; however, since these adjustments did not have a significant impact on the Company's condensed consolidated statements of operations and comprehensive income or cash flows in any period, those statements were not retrospectively adjusted.

The following table summarizes the determination of the fair value of identifiable assets acquired and liabilities assumed in the Molycorp Canada acquisition:

	Preliminary Allocation of Consideration Transferred as of December 31, 2012			Measurement Period Adjustments			Final Allocation of Consideration Transferred
Purchase consideration:	(In thousands)
Cash consideration	$	908,181					$	908,181
Fair value of Molycorp common stock and Exchangeable Shares issued	284,144						284,144
Total purchase consideration	$	1,192,325					$	1,192,325
Estimated fair values of the assets and liabilities acquired:
Cash and cash equivalents	$	317,169		$	—		$	317,169
Restricted cash	4,951			—			4,951
Accounts receivable	101,470			—			101,470
Inventory	250,989			—			250,989
Prepaid expenses and other current assets	26,893			—			26,893
Property, plant and equipment	75,745			—			75,745
Investments	21,019			(1,091		)	19,928
Intangibles	482,234			—			482,234
Deferred tax charges	13,435			—			13,435
Deferred tax assets	11,473			(1,423		)	10,050
Goodwill	494,809			31,616			526,425
Other non-current assets	4,367			—			4,367
Accounts payable and accrued expenses	(138,576		)	—			(138,576		)
Debt	(255,338		)	—			(255,338		)
Other current liabilities	(33,990		)	—			(33,990		)
Deferred tax liabilities	(154,309		)	5,880			(148,429		)
Other non-current liabilities	(14,255		)	—			(14,255		)
Non-controlling interests	(15,761		)	(34,982		)	(50,743		)
Total purchase consideration	$	1,192,325		$	—		$	1,192,325

Goodwill associated with the Molycorp Canada acquisition arose primarily because of Molycorp Canada's proven leadership in the development, processing, and distribution of technically advanced rare earth products; greater exposure to the world’s largest and fastest-growing rare earths consuming market, China; deferred tax liabilities; and expected synergies that do not qualify for separate recognition. The goodwill is not amortized and is not deductible for tax purposes. During the fourth quarter of 2012, after giving effect to the final purchase price adjustments as noted above, the Company recognized a goodwill impairment of $287.9 million, and an impairment of patents of $6.0 million related to the Molycorp Canada acquisition.

The revenues, earnings and earnings per share of the combined entity had the acquisition date been January 1, 2011, were as follows:

(In thousands, except per share amounts)	Revenues		Net Income (Loss)		Net Income (Loss) Attributable To Molycorp		EPS Basic
Unaudited pro forma January 1, 2012 to March 31, 2012 (combined entity)	$	263,322	$	68,298	$	66,506	$	0.73

The unaudited pro forma amounts are not necessarily indicative of the operating results that would have occurred if the Molycorp Canada acquisition had taken place on January 1, 2011. The unaudited pro forma revenues, earnings and earnings per share of the combined entity above are adjusted: a) to eliminate the effect of sales and costs that occurred previous to the business combination between the Company and Molycorp Canada; b) to reflect the net incremental depreciation and amortization expense as a result of the allocation of the purchase price to certain depreciable and amortizable assets with useful lives ranging from two to 30 years; c) the tax effect of unaudited pro forma adjustments using the Molycorp federal, state and international statutory tax rates based on the applicable tax jurisdictions; and d) the estimated net increase of interest expense associated with the issuance of the Company's Senior Notes (as defined below) as part of the acquisition. The unaudited pro forma earnings of the combined entity for the three months ended March 31, 2012 were also adjusted to exclude $115.2 million of non-recurring direct transaction costs. The weighted average number of shares outstanding utilized in the EPS basic calculation have been adjusted to reflect the additional shares issued pursuant to the acquisition of Molycorp Canada and the Molibdenos y Metales S.A. equity financing.

XML

Net Change in Operating Assets and Liabilities (Tables)

3 Months Ended

Mar. 31, 2013

Net Change in Operating Assets and Liabilities

Schedule of changes in operating assets and liabilities, net of the effects of acquisitions and dispositions

Net change in operating assets and liabilities, net of the effects of acquisitions and dispositions, consisted of the following:

	Three Months Ended March 31,
(In thousands)	2013			2012
	As restated, Note 1A
Decrease (increase) in operating assets:
Accounts receivable	$	(10,928	)	$	25,408
Inventory	14,367			(4,442		)
Prepaid expenses and other assets	1,850			382
Increase (decrease) in operating liabilities:
Accounts payable	(15,835		)	(13,924		)
Income tax payable	5,092			1,560
Interest payable	(3,746		)	—
Asset retirement obligation	(308		)	—
Accrued expenses	(6,369		)	(4,605		)
	$	(15,877	)	$	4,379

XML

Employee Benefit Plans (Narrative) (Details) (USD $) In Millions, unless otherwise specified	3 Months Ended
	Mar. 31, 2013	Mar. 31, 2012
Compensation and Retirement Disclosure [Abstract]
Company matching contribution as a percentage of the first 3.0% compensation contributed by each eligible employee	100.00%
Percentage of each employee's compensation eligible for Compoany match of 100% in defined contribution plan	3.00%
Company matching contribution as a percentage of the next 2.0% of compensation contributed by each eligible employee	50.00%
Percentage of each employee's compensation eligible for Company match of 50% in defined contribution plan	2.00%
Safe harbor matching contribution vesting percentage	100.00%
Vesting percentage of discretionary matching contribution after 3 years of service	100.00%
Period of service after which employees vest in Company contributions	3 years
Expenses related to defined contribution plan	$ 0.8	$ 1.1
Estimated future employer contributions in 2013	$ 0.1

XML

Deposits (Details) (USD $)	Mar. 31, 2013	Dec. 31, 2012
Deposits [Line Items]
Deposits	$ 26,639,000	$ 26,769,000
Deposits related to construction insurance program	1,500,000
Other restricted cash requirements related to deposits	4,500,000
Kern River Gas Transmission Company
Deposits [Line Items]
Escrow deposit	$ 20,600,000

XML

Property, Plant and Equipment, net (Tables)

3 Months Ended

Mar. 31, 2013

Property, Plant and Equipment [Abstract]

Schedule of property, plant and equipment

March 31, 2013 and December 31, 2012, property, plant and equipment consisted of the following (in thousands):

	March 31, 2013			December 31, 2012
Land	$	12,218		$	12,475
Land improvements	66,547			63,269
Buildings and improvements	336,867			237,379
Plant and equipment	261,183			194,934
Vehicles	2,907			2,842
Computer software	9,540			9,528
Furniture and fixtures	1,119			1,116
Construction in progress (a)	956,441			1,011,541
Capital Lease	15,658			15,658
Mineral properties	24,255			24,327
Exploration rights	16,166			16,166
Property, plant and equipment at cost	1,702,901			1,589,235
Less accumulated depreciation	(57,527		)	(44,931		)
Property, plant and equipment, net	$	1,645,374		$	1,544,304

(a) Represents costs incurred at the Molycorp Mountain Pass facility and all other capital projects. See Note 2.

XML

Concentrations

3 Months Ended

Mar. 31, 2013

Risks and Uncertainties [Abstract]

Concentrations

Concentrations

(a) Products

There were no significant sales by product during the first quarter of 2013 at the Resources segment. For the corresponding prior period, significant sales by product, as percentage of consolidated revenues, were as follows at the Resources segment:

	March 31, 2012
Lanthanum products	46	%
Neodymium and Praseodymium products	53	%

The Chemicals and Oxides segment includes sales of REO, zirconium-based engineered materials and mixed rare earth/zirconium oxides from the Molycorp Canada acquisition on June 11, 2012. Sales of cerium products within the Chemicals and Oxides segment accounted for approximately 11.6% of consolidated revenues in the first quarter of 2013.

Within the Magnetic Materials and Alloys segment, sales of Neo Powders™ were approximately 34% of consolidated revenues for the three-month period ended March 31, 2013. The Neo Powders™ were introduced into Molycorp's product mix with the Molycorp Canada acquisition. Sales of NdFeB alloys during the first quarter of 2012, were approximately 19% of consolidated revenues in the Magnetic Materials and Alloys segment.

Sales of Tantalum at the Rare Metals segment were approximately 16% of consolidated revenues during the first quarter of 2013.

(b) Customers

There were no significant sales to individual customers relative to consolidated revenues at any of the Company's segments during the three months ended March 31, 2013. In the corresponding prior period, the Resources segment had the following significant sales by customer (in millions):

	March 31, 2012
Hitachi Metals Ltd.	$	20.4
W.R. Grace & Co.— Conn.	17.2

Sales from the Magnetic Materials and Alloys segment to Santoku Corporation in the first quarter of 2012 were $16.6 million.

XML

Commitments and Contingencies

3 Months Ended

Mar. 31, 2013

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies

Commitments and Contingencies

(a) Future Operating Lease Commitments

The Company has certain operating leases for office space, trailers and certain equipment. Remaining annual minimum payments under these leases at March 31, 2013 were as follows:

(In thousands)	Total		Less Than 1 Year		1 - 3 Years		4 - 5 Years		More Than 5 Years
Operating lease obligations	$	8,174	$	2,751	$	3,878	$	420	$	1,125

(b) Purchase Commitments

In connection with the Molycorp Mountain Pass facility modernization and expansion and future operations, the Company entered into contractual commitments for the purchase of materials and services from various vendors. Future payments for all purchase commitments at March 31, 2013 were as follows:

(In thousands)	Total		Less Than 1 Year		1 - 3 Years		4 - 5 Years		More Than 5 Years
Purchase obligations and other commitment	$	260,593	$	232,805	$	14,076	$	7,329	$	6,383

(c) Labor Contract

Certain Molycorp Mountain Pass facility employees are covered by a collective bargaining agreement with the United Steelworkers of America that expires on March 15, 2015. At March 31, 2013, 234 employees, or approximately 61% of the Company’s workforce at the Molycorp Mountain Pass facility, were covered by this collective bargaining agreement.

At March 31, 2013, 174 employees, or approximately 29% of the workforce at the Company’s Molycorp Silmet facility, were unionized employees. The contract with the labor union in Estonia was renewed in February 2012.

(d) Reclamation Surety Bonds

At March 31, 2013, Molycorp had placed $28.8 million of surety bonds with California state and regional agencies to secure its Mountain Pass facility closure and reclamation obligations.

(e) Purported Class Action, Derivative Lawsuits and Investigation

In February 2012, a purported class action lawsuit captioned, Angelo Albano, Individually and on Behalf of All Others Similarly Situated v. Molycorp, Inc., et al., was filed against the Company and certain of its executive officers in the U.S. District Court for the District of Colorado. This federal court action alleges, among other things, that the Company and those officers violated Section 10(b) of the Securities Exchange Act of 1934 in connection with statements relating to its third quarter fiscal 2011 financial results and fourth quarter 2011 production guidance that the Company had filed with or furnished to the SEC, or otherwise made available to the public. In July 2012, the plaintiffs filed an amended consolidated class action complaint against the Company, certain of its officers and directors, certain of its private equity investors, and certain underwriters involved in our public offerings in 2011. The amended complaint alleges, among other things, that some or all of the defendants violated Sections 10(b), 20(a) and 20A of the Securities Exchange Act of 1934 as well as Sections 11, 12(a)(2) and 15 of the Securities Act . The plaintiffs are seeking unspecified damages and other relief. In October 2012, the defendants filed a motion to dismiss all the claims in the amended complaint. The motion has been fully briefed and is pending. No hearing date has been set. The Company believes the allegations are without merit and that it has valid defenses to such allegations. The Company intends to defend this action vigorously. The Company is unable to provide meaningful quantification of how the final resolution of these claims may impact its future consolidated financial position or results of operations.

Seven stockholder derivative lawsuits have been filed in three different jurisdictions purportedly on behalf of Molycorp, Inc., against certain of its directors and officers, and certain of its private equity investors. These cases have been filed in the Delaware Court of Chancery, the U.S. District Court in Colorado, and the District Court in Arapahoe County, Colorado. They are captioned: Gaines v. Smith et al., Case No. 7282 (Del. Ch. Feb. 12, 2012); Paskowitz v. Smith et al., Case No. 7319 (Del. Ch. Mar. 9, 2012); Wilson v. Smith et al., No. 7395-VCN (Del. Ch. April 4, 2012); Wells v. Smith et al., No. 1:12-cv-00447-WJM (D. Colo. Feb. 21, 2012); Swaggerty v. Smith et al., No. 12-cv-00589-CMA-KLM (D. Colo. Mar. 7, 2012); Clem v. Smith et al., No. 12 CV 392 (Arapahoe Cnty., Colo. Feb. 24, 2012); and Nationwide Consulting, Inc. v. Smith et al., No. 12 CV 448 (Arapahoe Cnty., Colo. Mar. 5, 2012). The Clem and Nationwide cases, which were previously consolidated under the caption Clem v. Smith et al., No. 12 CV 392 (Arapahoe Cnty., Colo.), have been voluntarily dismissed without prejudice. The Wells and Swaggerty cases have both been dismissed without prejudice in favor of the lawsuits proceeding in the Delaware Court of Chancery. As a result, plaintiffs in the Wells and Swaggerty cases filed notices of appeal before the 10th Circuit. The defendants have filed a responsive brief in the 10th Circuit in the Wells and Swaggerty cases. The 10th Circuit case has been fully briefed and the court has heard oral argument. The court has not yet ruled on the appeal.

The derivative cases have been consolidated and are proceeding in the Delaware Court of Chancery. In August 2012, a consolidated amended shareholder derivative complaint was filed with the Delaware Court of Chancery challenging, among other things, certain sales of stock by officers, directors and private equity firms, and certain Molycorp corporate acquisitions during 2011. The amended complaint asserts causes of action for: (1) alleged breaches of fiduciary duty, including the duties of loyalty and due care; (2) alleged breach of fiduciary duty not to trade on or misuse material non-public information; (3) alleged unjust enrichment; and (4) alleged aiding and abetting a breach of fiduciary duty against controlling stockholders. On behalf of Molycorp, the plaintiffs in the derivative actions seek, among other things, monetary damages, restitution, an accounting, and certain changes to corporate governance procedures. The defendants filed motions to dismiss and motions to stay the consolidated Delaware derivative action in October 2012, which are pending. Oral argument on the motion to stay is scheduled for May 15, 2013. Briefing of the motion to dismiss has been stayed pending resolution of the motion to stay the action.

On October 22, 2012, the defendants filed motions to dismiss and motions to stay the derivative case with the Delaware Court of Chancery. Defendants filed their opening briefs in support of the Motions to Stay on November 5, 2012. The parties agreed that all briefing on defendants' Motions to Dismiss should be stayed pending resolution of defendants' Motions to Stay.

In August 2012, the staff of the SEC notified the Company that a formal order of investigation had been issued regarding, among other things, the accuracy of the Company's public disclosures. The Company is cooperating with the staff of the SEC in connection with the investigation. The Company cannot predict the length, scope or results of the investigation or the impact, if any, of the investigation on the Company's results of operations.

XML

Commitments and Contingencies Commitments and Contingencies (Tables)

3 Months Ended

Mar. 31, 2013

Commitments and Contingencies Disclosure [Abstract]

Schedule of future minimum rental payments for operating leases

The Company has certain operating leases for office space, trailers and certain equipment. Remaining annual minimum payments under these leases at March 31, 2013 were as follows:

(In thousands)	Total		Less Than 1 Year		1 - 3 Years		4 - 5 Years		More Than 5 Years
Operating lease obligations	$	8,174	$	2,751	$	3,878	$	420	$	1,125

Schedule of minimum payments for purchase obligations

Future payments for all purchase commitments at March 31, 2013 were as follows:

(In thousands)	Total		Less Than 1 Year		1 - 3 Years		4 - 5 Years		More Than 5 Years
Purchase obligations and other commitment	$	260,593	$	232,805	$	14,076	$	7,329	$	6,383

XML

Subsequent Events

3 Months Ended

Mar. 31, 2013

Subsequent Events [Abstract]

Subsequent Events

Subsequent Events

Preferred stock dividend

In May 2013, the Company declared a cash dividend of $1.375 per share on the Convertible Preferred Stock to be paid on June 1, 2013 to holders of record at the close of business on May 15, 2013.

XML

Acquisitions (Tables)

3 Months Ended

Mar. 31, 2013

Business Combinations [Abstract]

Summarizes the purchase prices and opening balance sheets for the acquisitions

	Preliminary Allocation of Consideration Transferred as of December 31, 2012			Measurement Period Adjustments			Final Allocation of Consideration Transferred
Purchase consideration:	(In thousands)
Cash consideration	$	908,181					$	908,181
Fair value of Molycorp common stock and Exchangeable Shares issued	284,144						284,144
Total purchase consideration	$	1,192,325					$	1,192,325
Estimated fair values of the assets and liabilities acquired:
Cash and cash equivalents	$	317,169		$	—		$	317,169
Restricted cash	4,951			—			4,951
Accounts receivable	101,470			—			101,470
Inventory	250,989			—			250,989
Prepaid expenses and other current assets	26,893			—			26,893
Property, plant and equipment	75,745			—			75,745
Investments	21,019			(1,091		)	19,928
Intangibles	482,234			—			482,234
Deferred tax charges	13,435			—			13,435
Deferred tax assets	11,473			(1,423		)	10,050
Goodwill	494,809			31,616			526,425
Other non-current assets	4,367			—			4,367
Accounts payable and accrued expenses	(138,576		)	—			(138,576		)
Debt	(255,338		)	—			(255,338		)
Other current liabilities	(33,990		)	—			(33,990		)
Deferred tax liabilities	(154,309		)	5,880			(148,429		)
Other non-current liabilities	(14,255		)	—			(14,255		)
Non-controlling interests	(15,761		)	(34,982		)	(50,743		)
Total purchase consideration	$	1,192,325		$	—		$	1,192,325

Summary of actual and pro forma information

The revenues, earnings and earnings per share of the combined entity had the acquisition date been January 1, 2011, were as follows:

(In thousands, except per share amounts)	Revenues		Net Income (Loss)		Net Income (Loss) Attributable To Molycorp		EPS Basic
Unaudited pro forma January 1, 2012 to March 31, 2012 (combined entity)	$	263,322	$	68,298	$	66,506	$	0.73

XML

Employee Benefit Plans (Tables)

3 Months Ended

Mar. 31, 2013

Compensation and Retirement Disclosure [Abstract]

Schedule of Net Benefit Costs

The components of the net periodic pension expense for the three months ended March 31, 2013 for the Pension Plan and PBP are set forth below (in thousands):

	Pension Plan			PBP			Total
Components of net periodic benefit cost:
Service Cost	$	—		$	—		$	—
Interest cost	78			2			80
Expected return on plan assets	(68		)	—			(68		)
Amortization of transition obligation/(asset)	—			—			—
Amortization of prior service cost	—			(1		)	(1		)
Amortization of actuarial loss	63			(2		)	61
Net periodic benefit cost	$	73		$	(1	)	$	72

XML

Employee Benefit Plans

3 Months Ended

Mar. 31, 2013

Compensation and Retirement Disclosure [Abstract]

Employee Benefit Plans

Employee Benefit Plans and Severance Charges - As restated, Note 1A

Employee Benefit Plans

Defined Contribution Retirement Plans

The Company maintains defined contribution retirement plans for all U.S. employees. The Company currently makes Safe Harbor Matching Contributions in an amount equal to 100% of the first 3% contributed and 50% of the next 2% contributed by each eligible employee. In addition, the Company may determine to make discretionary matching or nonelective employer (profit sharing) contributions in an amount designated by the Company. Discretionary matching contributions, if any, will be based on a percentage of employee contributions to the defined contribution plans each year, as designated by the Company. The Company's Safe Harbor Matching Contributions will always be 100% vested. Employees become 100% vested in Company discretionary matching contributions and/or nonelective employer contributions, if any, after 3 years of service.

Expenses related to this plan totaled $0.8 million and $1.1 million for the three months ended March 31, 2013 and 2012, respectively.

Defined Benefit Pension Plan and Other Post-Retirement Benefits

In accordance with the terms of the Arrangement Agreement, the Company maintained the terms of the benefit plans for Molycorp Canada’s current and former employees. Molycorp Canada's predecessor company had a defined benefit pension plan (“Pension Plan”), which covered all hourly employees employed as of September 30, 1995, and all hourly employees subsequently hired by Molycorp Canada's predecessor company up to 2003 at its former U.S. manufacturing facility in Anderson, Indiana. A December 31 measurement date is used for the Pension Plan.

The Company also maintained the terms of Molycorp Canada postretirement medical and life insurance benefits plan for certain employees from the Anderson, Indiana manufacturing facility. The measurement date for this postretirement benefit plan (“PBP”) is December 31. The actuarial valuation for funding purposes of the Pension Plan and PBP is January 1 of each year.

The Company's total contribution to the Pension Plan and PBP is expected to be approximately $0.1 million in 2013.

The components of the net periodic pension expense for the three months ended March 31, 2013 for the Pension Plan and PBP are set forth below (in thousands):

	Pension Plan			PBP			Total
Components of net periodic benefit cost:
Service Cost	$	—		$	—		$	—
Interest cost	78			2			80
Expected return on plan assets	(68		)	—			(68		)
Amortization of transition obligation/(asset)	—			—			—
Amortization of prior service cost	—			(1		)	(1		)
Amortization of actuarial loss	63			(2		)	61
Net periodic benefit cost	$	73		$	(1	)	$	72

Severance Charges - As restated, Note 1A

In the first quarter of 2013, the Company took a number of actions throughout the organization as part of its continuing effort to contain costs and increase the efficiency of its operations. As a result, the Company reduced a portion of its workforce, primarily within the Corporate group, and recognized employee severance and benefit costs of $2.1 million, which were included in "Selling, general and administrative” expense in the condensed consolidated statement of operations and comprehensive income for the current interim period. As of March 31, 2013, none of these severance benefits were paid.

Starting in the latter part of fiscal 2011 and all through fiscal 2012, there was a significant deterioration in prices of rare earth products. In addition, delays in ramping up the Molycorp Mountain Pass facility to its initial planned annual run rate in 2012 deferred the Company's ability to enter into longer-term contracts and generate the anticipated synergies, including positive cash flows, expected from the Molycorp Canada acquisition, which was completed in June 2012.

Although the Company's long-term strategy remains in place, such as achieving full-scale commercial production at its Molycorp Mountain Pass facility in 2013 and targeting the downstream markets that, according to management, have the potential for stronger rare earth products demand later in 2013, the weaker-than-expected financial performance of the last few quarters, attributable mainly to the operational and economic factors described above, required the Company to make certain adjustments to its short-term strategy to conserve cash and minimize costs.

XML

Asset Retirement Obligation (Details) (USD $)	3 Months Ended	12 Months Ended
	Mar. 31, 2013	Dec. 31, 2012
Asset retirement obligation activity
Balance at beginning of period	$ 22,125,000	$ 15,541,000
Obligations settled	(308,000)	(2,954,000)
Accretion expense	344,000	1,299,000
Revisions in estimated cash flows	0	7,872,000
Loss on settlement	0	367,000
Balance at end of period	22,161,000	22,125,000
Asset Retirement Obligation [Abstract]
Asset retirement obligation, current	4,600,000	3,500,000
Financial assurance requirement satisfied with surety bonds	28,800,000
Resources
Asset retirement obligation activity
Revisions in estimated cash flows	3,800,000
Demolition and Reclamation of the Old Mill and Mineral Recovery Areas at the Molycorp Mountain Pass Facility
Asset retirement obligation activity
Revisions in estimated cash flows		$ 4,100,000

XML

Stock Option Activity (Details) (USD $)	3 Months Ended
	Mar. 31, 2013
Number of Shares
Outstanding at beginning of period (in shares)	35,624
Granted (in shares)	0
Exercised (in shares)	0
Forfeited and expired (in shares)	(8,238)
Outstanding at end of period (in shares)	27,386
Options exercisable at period end (in shares)	18,257.3333333333
Weighted Average Exercise Price
Outstanding at beginning of period (in dollars per share)	$ 48.87
Granted (in dollars per share)	$ 0.00
Exercised (in dollars per share)	$ 0.00
Forfeited and expired (in dollars per share)	$ 48.87
Outstanding at end of period (in dollars per share)	$ 48.87
Options exercisable at period end (in dollars per share)	$ 48.87

XML

Accrued Expenses (Details) (USD $) In Thousands, unless otherwise specified	Mar. 31, 2013	Dec. 31, 2012
Accrued Expenses
Defined contribution plan	$ 1,955	$ 1,400
Professional fees	4,727	4,971
Accrued payroll and related benefits	6,399	7,532
Sales and use tax	1,827	7,187
Bonus accrual	4,049	3,503
Interest payable	28,065	15,253
Advance from customer	797	1,753
Withholding taxes	3,315	2,929
Amount payable to noncontrolling shareholder	9,737	9,640
Other accrued expenses	4,586	4,845
Total accrued expenses	$ 65,457	$ 59,013

XML

Debt and Capital Lease Obligations (Tables)

3 Months Ended

Mar. 31, 2013

Debt Disclosure [Abstract]

Schedule of Long-term Debt Instruments

The following table provides a summary of the current and non-current portions of Molycorp's debt outstanding at March 31, 2013 and December 31, 2012 (in thousands):

	March 31, 2013				December 31, 2012
	Current		Non-Current		Current		Non-Current
Bank loans due April 2013 - September 2017	$	28,410	$	3,714	$	39,252	$	4,118
3.25% Convertible Notes, net of discount, due June 2016	—		200,734		—		198,689
6.00% Convertible Notes, net of discount, due June 2017	—		335,532		—		331,977
5.00% Debentures, net of discount, due December 2017	—		2,774		—		2,774
5.50% Convertible Notes, net of discount, due February 2018	—		144,549		—		—
10% Senior Secured Notes, net of discount, due June 2020	—		636,431		—		636,111
Total debt	28,410		1,323,734		39,252		1,173,669
Capital lease obligations	378		15,059		352		15,163
Total debt and capital lease obligations	$	28,788	$	1,338,793	$	39,604	$	1,188,832

Schedule of Long-term Debt Conversions

Additional detail on the convertible debt instruments that may be settled entirely or partially in cash upon conversion in a manner that reflects the issuer's economic interest cost is as follows (in thousands):

	3.25% Convertible Notes				6.00% Convertible Notes				5.50% Convertible Notes
	At March 31, 2013		At December 31, 2012		At March 31, 2013		At December 31, 2012		At March 31, 2013		At December 31, 2012
Liability component (a)	$	198,412	$	196,702	$	332,942	$	330,177	$	144,357	n/a
Equity component	$	36,251	$	36,251	$	68,695	$	68,695	$	21,815	n/a
	Three Months Ended March 31, 2013		Three Months Ended March 31, 2012		Three Months Ended March 31, 2013		Three Months Ended March 31, 2012		Three Months Ended March 31, 2013		Three Months Ended March 31, 2012
Accretion of liability component	$	1,710	$	1,594	$	2,765	n/a		$	573	n/a
Interest cost (b)	$	3,920	$	3,791	$	9,813	n/a		$	2,297	n/a
Capitalized interest	$	2,581	$	3,791	$	6,461	n/a		$	1,509	n/a
(a) The liability component is the difference between the net proceeds and the equity component of a convertible note that can be settled in a combination of cash and shares of stock at the election of the issuer. The equity component represents the conversion feature of a convertible note and is treated as original issue discount in addition to the underwriting discount. The liability component includes the periodic amortization of the additional discount.
(b) Interest cost includes the coupon interest, the accretion of the liability component, the accretion of the underwriting discount and the amortization of the issuance costs allocated to the liability component.

XML

Loss per Share (Details) (USD $) In Thousands, except Share data, unless otherwise specified	3 Months Ended
	Mar. 31, 2013	Mar. 31, 2012
Earnings Per Share [Abstract]
Net loss attributable to Molycorp stockholders	$ (38,971)	$ (3,478)
Dividends on Convertible Preferred Stock	(2,846)	(2,846)
Loss attributable to common stockholders	$ (41,817)	$ (6,324)
Weighted average common shares outstanding—basic	153,314,081	87,006,460
Basic loss per share (in dollars per share)	$ (0.27)	$ (0.07)
Weighted average common shares outstanding—diluted	153,314,081	87,006,460
Diluted loss per share (in dollars per share)	$ (0.27)	$ (0.07)

XML

Stock-Based Compensation

3 Months Ended

Mar. 31, 2013

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Stock-Based Compensation

Stock-Based Compensation

Molycorp has stock-based compensation plans for executives, eligible employees and non-employee directors. Stock-based awards issued under these plans include stock options to purchase shares of the Company’s common stock, restricted stock awards (“RSAs”), restricted stock units (“RSUs”) and, starting in the first quarter of 2012, performance-based restricted stock units ("PBRSUs"). Quarterly amounts recognized in total for all stock-based awards were as follows (in millions):

	Three Months Ended March 31,
	2013	2012
Compensation benefit (cost), net of forfeitures	$0.3	$(0.8)

The compensation benefit in the first quarter of 2013 was attributable to the recognition of forfeiture amounts in excess of stock-based compensation expenses for the period, which were in total approximately $0.8 million for all stock-based awards outstanding at March 31, 2013.

During the first quarter of 2013 and 2012, the Company granted RSUs to certain non-employee directors who elected to convert a portion of their quarterly cash retainer into restricted stock. These converted RSUs are fully vested because they relate to services already rendered by the non-employee directors. The same non-employee directors who elected to convert their cash retainer into RSUs, received additional RSUs as matching contributions by the Company equal to 25% of the converted units. The matching RSUs vest on the third anniversary of the grant date.

The following tables summarize the activity related to restricted stock and stock options for the three months ended March 31, 2013:

PBRSUs	Number of Shares		Weighted Average Grant-Date Price
Unvested at January 1, 2013	29,302		30.33
Granted	—		$	—
Forfeited	(8,395	)	$	30.33
Vested	—		—
Unvested at March 31, 2013	20,907		$	30.33

RSUs	Number of Shares		Weighted Average Grant-Date Price
Unvested at January 1, 2013	181,602		$	32.15
Granted	6,399		$	5.81
Forfeited	(46,380	)	$	36.77
Vested*	(5,120	)	$	5.81
Unvested at March 31, 2013	136,501		$	31.39

* Relates to the deferral and conversion of a portion of fees payable to certain non-employee directors of the Company.

RSAs	Number of Shares		Weighted Average Grant-Date Price
Unvested at January 1, 2013	39,974		$	40.09
Granted	—		—
Forfeited	(7,697	)	$	39.24
Vested	—		—
Unvested at March 31, 2013	32,277		$	38.02

Stock Options	Number of Shares		Weighted Average Exercise Price
Outstanding at January 1, 2013	35,624		$	48.87
Granted	—		—
Exercised	—		—
Forfeited and expired	(8,238	)	48.87
Outstanding at March 31, 2013	27,386		$	48.87
Options exercisable at March 31, 2013	18,257		$	48.87

XML

Condensed Consolidated Statements of Cash Flows (USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2013	Mar. 31, 2012
Cash flows from operating activities:
Net loss	$ (38,153)	$ (3,478)
Adjustments to reconcile net loss to net cash from operating activities:
Depreciation, amortization and accretion	22,532	3,731
Deferred income tax benefit	(29,475)	(3,725)
Inventory write-downs	22,125	6,563
Release of inventory step-up value	2,497	0
Stock-based compensation (benefit) expense	(325)	825
Unrealized loss on derivatives	0	6,641
Allowance for doubtful accounts	0	2,500
Foreign exchange loss	2,197	(1,668)
Other operating adjustments	(2,149)	259
Net change in operating assets and liabilities (Note 22)	(15,877)	4,379
Net cash (used in) provided by operating activities	(36,628)	16,027
Cash flows from investing activities:
Investment in joint ventures	(3,423)	(3,836)
Deposits	0	(459)
Capital expenditures	(181,103)	(206,463)
Other investing activities	(90)	2
Net cash used in investing activities	(184,616)	(210,756)
Cash flows from financing activities:
Capital contributions	0	390,225
Repayments of short-term borrowings—related party	0	(870)
Repayments of debt	(11,108)	(777)
Net proceeds from sale of common stock	248,147	0
Issuance of 5.50% Convertible Notes	165,600	0
Payments of preferred dividends	(2,846)	(2,846)
Dividend paid to noncontrolling interests	(1,286)	0
Other financing activities	(79)	(132)
Net cash provided by financing activities	398,428	385,600
Effect of exchange rate changes on cash	(140)	68
Net change in cash and cash equivalents	177,044	190,939
Cash and cash equivalents at beginning of the period	227,790	418,855
Cash and cash equivalents at end of period	404,834	609,794
Non-cash financing activities and investing activities:
Change in accrued capital expenditures	$ (82,646)	$ 55,226

XML

Restatement

3 Months Ended

Mar. 31, 2013

Accounting Changes and Error Corrections [Abstract]

Restatement

Restatement

On August 6, 2013, the Company determined that its unaudited Condensed Consolidated Financial Statements for the three months ended March 31, 2013 contained an error with respect to the reconciliation of its physical inventory to the general ledger during the first quarter of 2013, which resulted in a cumulative overstatement of costs of sales and understatement of current inventory of approximately $16.0 million. This error also caused the income tax benefit in the first quarter of 2013 to be overstated by approximately $6.5 million. The inventory reconciliation error also involved errors in determining the proper inventory valuation and related write-downs of inventory attributable to abnormal costs and net realizable value calculations, resulting in the previously disclosed consolidated assessment of normal production levels to be understated by approximately $17.4 million, and the consolidated total write-down of inventory to be overstated by $18.0 million. The misstatement had no effect on the net cash used in operating activities or cash and cash equivalent at the end of the first quarter of 2013.

In addition, the Company determined that its unaudited Condensed Consolidated Financial Statements for the three months ended March 31, 2013 contained an error with respect to the accrual of certain severance charges, which resulted in an understatement of accrued expenses and selling, general and administrative expense of approximately $2.1 million. This error also caused the income tax benefit in the first quarter of 2013 to be understated by approximately $0.8 million. The misstatement had no effect on the net cash used in operating activities or cash and cash equivalent at the end of the first quarter of 2013.

Both errors described above affected the financial position and results of operations of the Resources segment.

The following tables reflect the impact of correcting the affected line items of the Company’s unaudited Condensed Consolidated Financial Statements at and for the three months ended March 31, 2013:

	At March 31, 2013
	As originally reported		As restated
(In thousands)
Inventory	$	231,502	$	247,453
Total current assets	755,260		771,211
Total assets	3,209,239		3,223,298
Accrued expenses	63,381		65,457
Total current liabilities	249,211		251,287
Deferred tax liabilities	135,691		136,055
Total non-current liabilities	1,504,839		1,505,203
Total liabilities	1,754,050		1,756,490
Total stockholders' equity	1,455,189		1,466,808
Total liabilities and stockholders' equity	3,209,239		3,223,298

	Three months ended March 31, 2013
	As originally reported			As restated
(In thousands, except per share amounts)
Costs of sales excluding depreciation and amortization	$	(152,544	)	$	(136,594	)
Gross loss	(20,486		)	(4,536		)
Selling, general and administrative expenses	(24,438		)	(26,514		)
Operating loss	(59,667		)	(45,793		)
Loss before income taxes and equity earnings	(71,445		)	(57,571		)
Income tax benefit	28,112			22,490
Net loss	(46,405		)	(38,153		)
Net loss attributable to Molycorp stockholders	(47,223		)	(38,971		)
Comprehensive loss	(49,699		)	(41,447		)
Comprehensive loss attributable to Molycorp stockholders	(48,881		)	(40,629		)
Loss per share of common stock:
Basic	(0.33		)	(0.27		)
Diluted	(0.33		)	(0.27		)

XML

Trade Accounts Receivable

3 Months Ended

Mar. 31, 2013

Receivables [Abstract]

Trade Accounts Receivable

Trade Accounts Receivable

Trade accounts receivable are recorded at the invoiced amount and do not bear interest. The Company reviews the need for an allowance for doubtful accounts quarterly based on historical experience with each customer and the specifics of each arrangement. At March 31, 2013 and December 31, 2012, the allowance for doubtful accounts was $2.6 million.

XML

Commitments and Contingencies Operating Leases (Details) (Office space, trailers and certain equipment, USD $) In Thousands, unless otherwise specified	Mar. 31, 2013
Office space, trailers and certain equipment
Remaining annual minimum payments under operating leases
Operating lease obligations, total minimum payments	$ 8,174
Operating lease obligations, Less Than 1 Year	2,751
Operating lease obligations, 1 -3 Years	3,878
Operating lease obligations, 4 - 5 Years	420
Operating lease obligations, More Than 5 Years	$ 1,125

XML

Capital Requirements

3 Months Ended

Mar. 31, 2013

CapitalRequirements

Capital Requirements

Capital Requirements

Total capital expenditures for the modernization and expansion efforts and certain other capital projects at the Molycorp Mountain Pass Rare Earth Facility (the "Molycorp Mountain Pass facility") are expected to total approximately $1.54 billion. This updated projection includes certain expenditures that are expected to be deferred until 2014, including discretionary expenditures required only to expand production beyond the initial planned annual run rate of 19,050 metric tons ("mt") of rare earth oxides ("REO"), if and when market demand, product pricing, capital availability and financial returns will justify such production. Of the $1.54 billion projected capital expenditures and certain other capital projects at the Molycorp Mountain Pass facility, the total amount the Company had spent on a cash basis through June 30, 2013 was approximately $1.3 billion, excluding capitalized interest.

As of June 30, 2013, the Company estimates cash expenditures totaling approximately $150 million through December 31, 2013 and approximately $85 million in 2014 to fund remaining capital expenditures for the modernization and expansion efforts and certain other capital expenditures at the Molycorp Mountain Pass facility. Additionally, the Company expects to spend approximately $17 million on other maintenance and expansion capital expenditures across all operating segments during the second half of 2013, the majority of which is discretionary.

Other cash requirements for the remainder of 2013 include the final payment of approximately $6.0 million to the noncontrolling shareholder of the Company's majority owned Jiangyin Jia Hua Advanced Material Resources Co. Ltd. facility in Jiangyin, China, and preferred stock dividend payments of approximately $5.6 million, if and after they are declared by the Board of Directors of the Company to be paid in cash.

Given the combination of ramping up toward the initial planned run rate of 19,050 mt of REO per year at the Molycorp Mountain Pass facility, and the declining pricing environment of rare earth elements ("REEs"), the Company anticipates significantly lower than previously expected revenues and cash flow from operations through the remainder of 2013.

The Company plans to fund its capital expenditures primarily from its consolidated cash balances of $264.2 million as of June 30, 2013, and cash generated from operations. While the Company's cash balances as of June 30, 2013 will fund a substantial portion of its capital needs, the full funding of the Company's planned capital expenditures continues to be dependent on (i) its cost estimates for capital expenditures being accurate, (ii) its ability to ramp up run rates at its Molycorp Mountain Pass facility pursuant to its expectations without delays, (iii) its ability to generate sufficient cash flow from its operating segments, under variable market conditions that continue to be weaker than anticipated, to meet other cash needs (the Company estimates that a 15% drop in market prices for all REEs would reduce its estimated consolidated cash balance as of December 31, 2013 by approximately $8 million and that a 15% drop in volumes would reduce its estimated consolidated cash balance as of December 31, 2013 by approximately $30 million), (iv) its ability to sell its entire production of REO and (v) the absence of any payments on current and future contingent liabilities. If these assumptions prove inaccurate, its estimates could prove incorrect and it may need additional financing.

As part of its cash management procedures, the Company continues to pursue other sources of liquidity, including potential proceeds from revolving credit facilities, equity issuances, and lease and loan financing for certain equipment.

There can be no assurance that the Company will be successful in securing access to additional cash proceeds through the revolving credit facilities that it is currently pursuing, or other forms of financing on commercially acceptable terms, or at all. Accordingly, if necessary, the Company believes it has the ability to curtail capital expenditures and revise its current business plan to the extent necessary to preserve adequate liquidity sufficient to sustain operations.

XML

Accrued Expenses (Tables)

3 Months Ended

Mar. 31, 2013

Payables and Accruals [Abstract]

Schedule of accrued expenses

Accrued expenses at March 31, 2013 and December 31, 2012 consisted of the following (in thousands):

	March 31, 2013		December 31, 2012
	As restated, Note 1A
Defined contribution plan	$	1,955	$	1,400
Professional fees	4,727		4,971
Accrued payroll and related benefits	6,399		7,532
Sales and use tax	1,827		7,187
Bonus accrual	4,049		3,503
Interest payable	28,065		15,253
Advance from customer	797		1,753
Withholding taxes	3,315		2,929
Amount payable to noncontrolling shareholder	9,737		9,640
Other accrued expenses	4,586		4,845
Total accrued expenses	$	65,457	$	59,013

XML

Related-Party Transactions

3 Months Ended

Mar. 31, 2013

Related Party Transactions [Abstract]

Related-Party Transactions

Related-Party Transactions

Transactions with equity method investees: TMT, Keli and Ingal Stade

The Company supplies Neo Powders™ to TMT to produce rare earth magnetic compounds. Molycorp then purchases these compounds back from TMT in its normal course of business. Additionally, Keli processes rare earth oxides into metals for inclusion in the Neo Powders™.

For the three months ended March 31, 2013, the Company sold $1.0 million of Neo Powders™ to TMT and purchased $0.5 million worth of compounds from TMT.

The Company purchased metals and received services from Keli for a total of $9.6 million during the first quarter of 2013.

Ingal Stade sells gallium to the Company's facilities located in Ontario, Canada and to some of its facilities in the United States. For the three months ended March 31, 2013, the Company purchased $1.2 million of gallium metal from Ingal Stade.

XML

Subsidiary Guarantor Financial Information

3 Months Ended

Mar. 31, 2013

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Subsidiary Guarantor Financial Information

Subsidiary Guarantor Financial Information

The Senior Notes are jointly, severally and unconditionally guaranteed by all of Molycorp, Inc.'s existing and future domestic material subsidiaries, as defined in the indenture governing the Senior Notes. The Senior Notes guarantee of a guarantor will automatically terminate, and the obligations of such guarantor under the Senior Notes guarantee will be unconditionally released and discharged, upon (all terms as defined in the indenture governing the Senior Notes):

(1) any sale, exchange, transfer or other disposition of a majority of the capital stock of (including by way of consolidation or merger) such guarantor by Molycorp or any restricted subsidiary to any person or persons, as a result of which such guarantor is no longer a direct or indirect subsidiary of Molycorp;

(2) any sale, exchange, transfer or other disposition of all or substantially all assets of such guarantor that results in such guarantor having no assets;

(3) the designation by Molycorp of such guarantor as an unrestricted subsidiary; or

(4) defeasance or discharge of the Senior Notes;

provided that any such event occurs in accordance with all other applicable provisions of the indenture.

Presented below are the condensed consolidating financial statements of Molycorp, Inc. (“Parent”) as issuer, its combined guarantor subsidiaries and its combined non-guarantor subsidiaries, which are presented as an alternative to providing separate financial statements for the guarantors. The accounts of the Parent, the guarantor and non-guarantor subsidiaries are presented using the equity method of accounting for investments in subsidiaries for purposes of these condensed consolidating financial statements only. Certain of the prior periods separate financial information has been reclassified to conform to the presentation of the most recent period herein disclosed.

	At March 31, 2013
	(in thousands)
Condensed Consolidating Balance Sheets	Parent		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations			Molycorp, Inc. consolidated
	As restated - Note 1A
Current assets:
Cash and cash equivalents	$	251,218	$	2,971	$	150,645	$	—		$	404,834
Trade accounts receivable, net	—		9,184		53,963		—			63,147
Inventory	—		51,000		196,453		—			247,453
Deferred charges	—		946		5,164		—			6,110
Deferred tax assets	—		—		11,380		(1,942		)	9,438
Income tax receivable	—		20,347		—		(29		)	20,318
Prepaid expenses and other current assets	—		7,879		12,032		—			19,911
Total current assets	251,218		92,327		429,637		(1,971		)	771,211
Non-current assets:

Deposits	1,753			24,743			143			—			26,639
Property, plant and equipment, net	—			1,498,403			146,971			—			1,645,374
Inventory	—			24,984			—			—			24,984
Intangible assets, net	—			491			441,186			—			441,677
Investments	—			46,666			17,741			—			64,407
Deferred tax assets	—			10,980			—			(10,980		)	—
Goodwill	—			—			239,742			—			239,742
Investments in consolidated subsidiaries	813,729			99,038			—			(912,767		)	—
Intercompany accounts receivable	1,713,039			104,747			794			(1,818,580		)	—
Other non-current assets	—			3,291			5,973			—			9,264
Total non-current assets	2,528,521			1,813,343			852,550			(2,742,327		)	2,452,087
Total assets	$	2,779,739		$	1,905,670		$	1,282,187		$	(2,744,298	)	$	3,223,298
Current liabilities:
Trade accounts payable	$	—		$	110,923		$	25,939		$	—		$	136,862
Accrued expenses	27,683			8,510			29,264			—			65,457
Income tax payable	2,746			16			15,604			(2,775		)	15,591
Deferred tax liabilities	—			1,942			—			(1,942		)	—
Debt and capital lease obligations	—			378			28,410			—			28,788
Other current liabilities	—			4,589			—			—			4,589
Total current liabilities	30,429			126,358			99,217			(4,717		)	251,287
Non-current liabilities:
Asset retirement obligation	—			17,572			—			—			17,572
Deferred tax liabilities	—			1			144,288			(8,234		)	136,055
Debt and capital lease obligations	1,317,246			15,059			6,488			—			1,338,793
Derivative liability	—			—			7,028			—			7,028
Pension liabilities	—			—			3,338			—			3,338
Intercompany accounts payable	—			1,753,926			64,654			(1,818,580		)	—
Other non-current liabilities	—			1,153			1,264			—			2,417
Total non-current liabilities	1,317,246			1,787,711			227,060			(1,826,814		)	1,505,203
Total liabilities	$	1,347,675		$	1,914,069		$	326,277		$	(1,831,531	)	$	1,756,490
Stockholders’ equity:
Common stock	189			—			—			—			189
Preferred stock	2			—			—			—			2
Additional paid-in capital	1,949,662			149,857			1,283,863			(1,433,720		)	1,949,662
Accumulated other comprehensive loss	(12,727		)	—			(12,727		)	12,727			(12,727		)
(Deficit) retained earnings	(505,062		)	(158,256		)	(349,970		)	508,226			(505,062		)
Total Molycorp stockholders’ equity	1,432,064			(8,399		)	921,166			(912,767		)	1,432,064
Noncontrolling interests	—			—			34,744			—			34,744
Total stockholders’ equity	1,432,064			(8,399		)	955,910			(912,767		)	1,466,808
Total liabilities and stockholders’ equity	$	2,779,739		$	1,905,670		$	1,282,187		$	(2,744,298	)	$	3,223,298

	At December 31, 2012
	(in thousands)
	(Revised)
Condensed Consolidating Balance Sheets	Parent		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations			Molycorp, Inc. consolidated
Current assets:
Cash and cash equivalents	$	16,560	$	18,020	$	193,210	$	—		$	227,790
Trade accounts receivable, net	—		7,738		44,692		—			52,430
Inventory	—		49,416		237,960		—			287,376
Deferred charges	—		2,203		7,209		—			9,412
Deferred tax assets	—		—		11,731		(1,942		)	9,789
Income tax receivable	—		25,087		—		—			25,087
Prepaid expenses and other current assets	—		9,085		12,709		—			21,794
Total current assets	16,560		111,549		507,511		(1,942		)	633,678
Non-current assets:
Deposits	1,752		24,862		155		—			26,769
Property, plant and equipment, net	—		1,377,147		167,157		—			1,544,304
Inventory	—		26,096		—		—			26,096
Intangible assets, net	—		508		450,430		—			450,938
Investments	—		45,241		18,795					64,036
Deferred tax assets	—		—		—		—			—
Goodwill	—		—		239,742		—			239,742
Investments in consolidated subsidiaries	860,390		97,960		—		(958,350		)	—
Intercompany accounts receivable	1,577,466		169,446		794		(1,747,706		)	—
Other non-current assets	—		885		6,087		—			6,972
Total non-current assets	2,439,608		1,742,145		883,160		(2,706,056		)	2,358,857
Total assets	$	2,456,168	$	1,853,694	$	1,390,671	$	(2,707,998	)	$	2,992,535
Current liabilities:
Trade accounts payable	$	—	$	191,769	$	50,225	$	—		$	241,994
Accrued expenses	14,872		10,087		34,054		—			59,013
Income tax payable	2,746		—		15,267		(2,746		)	15,267
Deferred tax liabilities	—		1,942		—		(1,942		)	—
Debt and capital lease obligations	—		352		39,252		—			39,604
Other current liabilities	—		3,539		—		—			3,539
Total current liabilities	17,618		207,689		138,798		(4,688		)	359,417
Non-current liabilities:
Asset retirement obligation	—		18,586		—		—			18,586
Deferred tax liabilities	5,884		8,470		143,575		2,746			160,675
Debt and capital lease obligations	1,166,777		15,163		6,892		—			1,188,832
Derivative liability	—		—		7,816		—			7,816
Pension liabilities	—		—		3,292		—			3,292
Intercompany accounts payable	49,843		1,577,363		120,500		(1,747,706		)	—

Other non-current liabilities	—			1,102			1,557			—			2,659
Total non-current liabilities	1,222,504			1,620,684			283,632			(1,744,960		)	1,381,860
Total liabilities	$	1,240,122		$	1,828,373		$	422,430		$	(1,749,648	)	$	1,741,277
Stockholders’ equity:
Common stock	139			—			—			—			139
Preferred stock	2			—			—			—			2
Additional paid-in capital	1,691,429			149,857			1,283,863			(1,433,720		)	1,691,429
Accumulated other comprehensive loss	(9,433		)	—			(9,433		)	9,433			(9,433		)
(Deficit) retained earnings	(466,091		)	(124,536		)	(341,401		)	465,937			(466,091		)
Total Molycorp stockholders’ equity	1,216,046			25,321			933,029			(958,350		)	1,216,046
Noncontrolling interests	—			—			35,212			—			35,212
Total stockholders’ equity	1,216,046			25,321			968,241			(958,350		)	1,251,258
Total liabilities and stockholders’ equity	$	2,456,168		$	1,853,694		$	1,390,671		$	(2,707,998	)	$	2,992,535

	Three Months Ended March 31, 2013
	(in thousands)
Condensed Consolidating Statements of Operations and Comprehensive Income	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Molycorp, Inc. consolidated
	As restated - Note 1A
Revenues	$	—		$	21,609		$	135,116		$	(10,358	)	$	146,367
Costs of sales:
Costs excluding depreciation and amortization	—			(45,329		)	(101,623		)	10,358			(136,594		)
Depreciation and amortization	—			(7,430		)	(6,879		)	—			(14,309		)
Gross (loss) profit	—			(31,150		)	26,614			—			(4,536		)
Operating expenses:
Selling, general and administrative	—			(16,901		)	(9,613		)	—			(26,514		)
Corporate development	—			(115		)	—			—			(115		)
Depreciation, amortization and accretion	—			(1,709		)	(6,514		)	—			(8,223		)
Research and development	—			(1,960		)	(4,445		)	—			(6,405		)
Operating (loss) income	—			(51,835		)	6,042			—			(45,793		)
Other (expense) income:
Other expense	—			—			260			—			260
Foreign exchange losses, net	—			—			(389		)	—			(389		)
Interest (expense) income, net	(11,139		)	(2,060		)	1,550			—			(11,649		)
Interest income (expense) from intercompany notes	9,651			1,644			(11,295		)	—			—
Equity (loss) earnings from consolidated subsidiaries	(43,367		)	1,078			—			42,289			—
	(44,855		)	662			(9,874		)	42,289			(11,778		)
Loss before income taxes and equity earnings	(44,855		)	(51,173		)	(3,832		)	42,289			(57,571		)
Income tax benefit (loss)	5,884			19,450			(2,844		)				22,490
Equity in results of affiliates	—			(1,998		)	(1,074		)				(3,072		)
Net loss	(38,971		)	(33,721		)	(7,750		)	42,289			(38,153		)
Net income attributable to noncontrolling interest	—			—			(818		)	—			(818		)
Net loss attributable to Molycorp stockholders	$	(38,971	)	$	(33,721	)	$	(8,568	)	$	42,289		$	(38,971	)
Net loss	$	(38,971	)	$	(33,721	)	$	(7,750	)	$	42,289		$	(38,153	)
Other comprehensive income:
Foreign currency translation adjustments	—			—			(3,294		)				(3,294		)
Comprehensive loss	$	(38,971	)	$	(33,721	)	$	(11,044	)	$	42,289		$	(41,447	)
Comprehensive loss attributable to:
Molycorp stockholders	(38,971		)	(33,721		)	(10,226		)	42,289			(40,629		)
Noncontrolling interest	—			—			(818		)	—			(818		)
	$	(38,971	)	$	(33,721	)	$	(11,044	)	$	42,289		$	(41,447	)

	Three Months Ended March 31, 2012
	(in thousands)
Condensed Consolidating Statements of Operations and Comprehensive Income	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Molycorp, Inc. consolidated
Revenues	$	—		$	65,266		$	24,246		$	(5,042	)	$	84,470
Costs of sales:
Costs excluding depreciation and amortization	—			(29,123		)	(25,989		)	5,042			(50,070		)
Depreciation and amortization	—			(1,856		)	(1,517		)	—			(3,373		)
Gross profit (loss)	—			34,287			(3,260		)	—			31,027
Operating expenses:
Selling, general and administrative	37			(22,697		)	(1,523		)	—			(24,183		)
Corporate development	(17		)	(3,364		)	—			—			(3,381		)
Depreciation, amortization and accretion	—			(334		)	(24		)	—			(358		)
Research and development	—			(3,571		)	(79		)	—			(3,650		)
Operating loss	20			4,321			(4,886		)	—			(545		)
Other (expense) income:
Other expense	(6,578		)	—			—			—			(6,578		)
Foreign exchange gains, net	—			1			1,603			—			1,604
Interest income (expense), net	129			(1		)	(43		)	—			85
Interest income (expense) from intercompany notes	—			98			(98		)	—			—
Equity loss from consolidated subsidiaries	1,642			(10,677		)	—			9,035			—
	(4,807		)	(10,579		)	1,462			9,035			(4,889		)
Loss before income taxes and equity earnings	(4,787		)	(6,258		)	(3,424		)	9,035			(5,434		)
Income tax benefit	1,309			874			—						2,183
Equity in results of affiliates	—			(227		)	—						(227		)
Net loss	(3,478		)	(5,611		)	(3,424		)	9,035			(3,478		)
Net loss	$	(3,478	)	$	(5,611	)	$	(3,424	)	$	9,035		$	(3,478	)
Other comprehensive income:
Foreign currency translation adjustments	—			—			2,530						2,530
Comprehensive loss	$	(3,478	)	$	(5,611	)	$	(894	)	$	9,035		$	(948	)

	Three Months Ended March 31, 2013
	(in thousands)
Condensed Consolidating Statements of Cash Flows	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Molycorp, Inc. consolidated
Net cash (used in) provided by operating activities	$	17,211		$	(58,035	)	$	4,196		$	—		$	(36,628	)
Cash flows from investing activities:
Loans to guarantor	—			—			(40,000		)	40,000			—
Intercompany advances made	(193,454		)	—			—			193,454			—
Loans to non-guarantor	—			(1,300		)	—			1,300			—
Repayments of notes receivable from non-guarantor	—			—			—			—			—
Investment in joint ventures	—			(3,423		)	—			—			(3,423		)
Capital expenditures	—			(174,703		)	(6,400		)	—			(181,103		)
Other investing activities	—			—			(90		)	—			(90		)
Net cash (used in) provided by investing activities	(193,454		)	(179,426		)	(46,490		)	234,754			(184,616		)
Cash flows provided from financing activities:
Repayments of debt	—			—			(11,108		)	—			(11,108		)
Net proceeds from sale of common stock	248,147			—			—			—			248,147
Issuance of 5.50% Convertible Notes	165,600			—			—			—			165,600
Payments of preferred dividends	(2,846		)	—			—			—			(2,846		)
Dividend paid to noncontrolling interests	—			—			(1,286		)	—			(1,286		)
Borrowings from non-guarantor	—			40,000			—			(40,000		)	—
Borrowing from guarantor	—			—			1,300			(1,300		)	—
Intercompany advances owed	—			182,491			10,963			(193,454		)	—
Other financing activities	—			(79		)	—			—			(79		)
Net cash provided by (used in) financing activities	410,901			222,412			(131		)	(234,754		)	398,428
Effect of exchange rate changes on cash	—			—			(140		)	—			(140		)
Net change in cash and cash equivalents	234,658			(15,049		)	(42,565		)	—			177,044
Cash and cash equivalents at beginning of the period	16,560			18,020			193,210			—			227,790
Cash and cash equivalents at end of period	$	251,218		$	2,971		$	150,645		$	—		$	404,834

	Three Months Ended March 31, 2012
	(in thousands)
Condensed Consolidating Statements of Cash Flows	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Molycorp, Inc. consolidated
Net cash (used in) provided by operating activities	$	(3,250	)	$	30,777		$	(11,500	)	$	—		$	16,027
Cash flows from investing activities:
Loans to non-guarantor	—			(5,200		)	—			5,200			—
Intercompany advances made	(198,544		)	—			—			198,544			—
Investment in joint ventures	—			(3,836		)	—			—			(3,836		)
Deposits	—			(459		)	—			—			(459		)
Capital expenditures	—			(204,276		)	(2,187		)	—			(206,463		)
Other investing activities	—			—			2			—			2
Net cash (used in) provided by investing activities	(198,544		)	(213,771		)	(2,185		)	203,744			(210,756		)
Cash flows provided from financing activities:
Capital contributions from stockholder	390,225			—			—			—			390,225
Repayments of short-term borrowings—related party	—			(870		)	—			—			(870		)
Repayments of debt	—			—			(777		)	—			(777		)
Payments of preferred dividends	(2,846		)	—			—			—			(2,846		)
Borrowing from guarantor	—			—			5,200			(5,200		)	—
Intercompany advances owed	—			189,806			8,738			(198,544		)	—
Other financing activities	(132		)	—			—			—			(132		)
Net cash provided by (used in) financing activities	387,247			188,936			13,161			(203,744		)	385,600
Effect of exchange rate changes on cash	—			—			68			—			68
Net change in cash and cash equivalents	185,453			5,942			(456		)	—			190,939
Cash and cash equivalents at beginning of the period	407,446			10,758			651			—			418,855
Cash and cash equivalents at end of period	$	592,899		$	16,700		$	195		$	—		$	609,794

XML

Activity Related to Restricted Stock-based Awards (Details) (USD $)	3 Months Ended
	Mar. 31, 2013
PBRSUs
Number of Shares
Unvested at the beginning of the period (in shares)	29,302
Granted (in shares)	0
Forfeited (in shares)	(8,395)
Vested (in shares)	0
Unvested at the end of the period (in shares)	20,907
Weighted Average Grant-Date Price
Unvested shares at the beginning of the period (in dollars per share)	$ 30.33
Granted (in dollars per share)	$ 0.00
Forfeited (in dollars per share)	$ 30.33
Vested (in dollars per share)	$ 0.00
Unvested shares at the end of the period (in dollars per share)	$ 30.33
RSUs
Number of Shares
Unvested at the beginning of the period (in shares)	181,602
Granted (in shares)	6,399
Forfeited (in shares)	(46,380)
Vested (in shares)	(5,120)	[1]
Unvested at the end of the period (in shares)	136,501
Weighted Average Grant-Date Price
Unvested shares at the beginning of the period (in dollars per share)	$ 32.15
Granted (in dollars per share)	$ 5.81
Forfeited (in dollars per share)	$ 36.77
Vested (in dollars per share)	$ 5.81	[1]
Unvested shares at the end of the period (in dollars per share)	$ 31.39
Restricted Stock
Number of Shares
Unvested at the beginning of the period (in shares)	39,974
Granted (in shares)	0
Forfeited (in shares)	(7,697)
Vested (in shares)	0
Unvested at the end of the period (in shares)	32,277
Weighted Average Grant-Date Price
Unvested shares at the beginning of the period (in dollars per share)	$ 40.09
Granted (in dollars per share)	$ 0.00
Forfeited (in dollars per share)	$ 39.24
Vested (in dollars per share)	$ 0.00
Unvested shares at the end of the period (in dollars per share)	$ 38.02

[1] deferral and conversion of a portion of fees payable to certain non-employee directors of the Company

XML

Inventory (Tables)

3 Months Ended

Mar. 31, 2013

Inventory Disclosure [Abstract]

Schedule of inventory

At March 31, 2013 and December 31, 2012, inventory consisted of the following (in thousands):

	March 31, 2013		December 31, 2012
	As restated, Note 1A
Current:
Concentrate stockpiles	$	4,743	$	6,393
Raw materials	75,540		95,248
Work in process	53,134		55,229
Finished goods	95,135		114,903
Materials and supplies	18,901		15,603
Total current	$	247,453	$	287,376
Long-term:
Concentrate stockpiles	$	4	$	4
Raw materials	24,980		26,092
Total long-term	$	24,984	$	26,096

XML

Allocation of Recognized Period Costs (Details) (USD $) In Millions, unless otherwise specified	3 Months Ended
	Mar. 31, 2013	Mar. 31, 2012
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Excess of forfeiture amounts over stock-based compensation expenses recognized in the period	$ 0.3	$ (0.8)
Allocated share-based compensation expense	$ 0.8
RSUs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Matching contribution by entity as percentage of converted restricted stock	25.00%

XML

Trade Accounts Receivable (Details) (USD $) In Millions, unless otherwise specified	Mar. 31, 2013
Receivables [Abstract]
Allowance for Doubtful Accounts Receivable	$ 2.6

XML

Subsidiary Guarantor Financial Information (Tables)

3 Months Ended

Mar. 31, 2013

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Schedule of Condensed Balance Sheet

	At March 31, 2013
	(in thousands)
Condensed Consolidating Balance Sheets	Parent		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations			Molycorp, Inc. consolidated
	As restated - Note 1A
Current assets:
Cash and cash equivalents	$	251,218	$	2,971	$	150,645	$	—		$	404,834
Trade accounts receivable, net	—		9,184		53,963		—			63,147
Inventory	—		51,000		196,453		—			247,453
Deferred charges	—		946		5,164		—			6,110
Deferred tax assets	—		—		11,380		(1,942		)	9,438
Income tax receivable	—		20,347		—		(29		)	20,318
Prepaid expenses and other current assets	—		7,879		12,032		—			19,911
Total current assets	251,218		92,327		429,637		(1,971		)	771,211
Non-current assets:

Deposits	1,753			24,743			143			—			26,639
Property, plant and equipment, net	—			1,498,403			146,971			—			1,645,374
Inventory	—			24,984			—			—			24,984
Intangible assets, net	—			491			441,186			—			441,677
Investments	—			46,666			17,741			—			64,407
Deferred tax assets	—			10,980			—			(10,980		)	—
Goodwill	—			—			239,742			—			239,742
Investments in consolidated subsidiaries	813,729			99,038			—			(912,767		)	—
Intercompany accounts receivable	1,713,039			104,747			794			(1,818,580		)	—
Other non-current assets	—			3,291			5,973			—			9,264
Total non-current assets	2,528,521			1,813,343			852,550			(2,742,327		)	2,452,087
Total assets	$	2,779,739		$	1,905,670		$	1,282,187		$	(2,744,298	)	$	3,223,298
Current liabilities:
Trade accounts payable	$	—		$	110,923		$	25,939		$	—		$	136,862
Accrued expenses	27,683			8,510			29,264			—			65,457
Income tax payable	2,746			16			15,604			(2,775		)	15,591
Deferred tax liabilities	—			1,942			—			(1,942		)	—
Debt and capital lease obligations	—			378			28,410			—			28,788
Other current liabilities	—			4,589			—			—			4,589
Total current liabilities	30,429			126,358			99,217			(4,717		)	251,287
Non-current liabilities:
Asset retirement obligation	—			17,572			—			—			17,572
Deferred tax liabilities	—			1			144,288			(8,234		)	136,055
Debt and capital lease obligations	1,317,246			15,059			6,488			—			1,338,793
Derivative liability	—			—			7,028			—			7,028
Pension liabilities	—			—			3,338			—			3,338
Intercompany accounts payable	—			1,753,926			64,654			(1,818,580		)	—
Other non-current liabilities	—			1,153			1,264			—			2,417
Total non-current liabilities	1,317,246			1,787,711			227,060			(1,826,814		)	1,505,203
Total liabilities	$	1,347,675		$	1,914,069		$	326,277		$	(1,831,531	)	$	1,756,490
Stockholders’ equity:
Common stock	189			—			—			—			189
Preferred stock	2			—			—			—			2
Additional paid-in capital	1,949,662			149,857			1,283,863			(1,433,720		)	1,949,662
Accumulated other comprehensive loss	(12,727		)	—			(12,727		)	12,727			(12,727		)
(Deficit) retained earnings	(505,062		)	(158,256		)	(349,970		)	508,226			(505,062		)
Total Molycorp stockholders’ equity	1,432,064			(8,399		)	921,166			(912,767		)	1,432,064
Noncontrolling interests	—			—			34,744			—			34,744
Total stockholders’ equity	1,432,064			(8,399		)	955,910			(912,767		)	1,466,808
Total liabilities and stockholders’ equity	$	2,779,739		$	1,905,670		$	1,282,187		$	(2,744,298	)	$	3,223,298

	At December 31, 2012
	(in thousands)
	(Revised)
Condensed Consolidating Balance Sheets	Parent		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations			Molycorp, Inc. consolidated
Current assets:
Cash and cash equivalents	$	16,560	$	18,020	$	193,210	$	—		$	227,790
Trade accounts receivable, net	—		7,738		44,692		—			52,430
Inventory	—		49,416		237,960		—			287,376
Deferred charges	—		2,203		7,209		—			9,412
Deferred tax assets	—		—		11,731		(1,942		)	9,789
Income tax receivable	—		25,087		—		—			25,087
Prepaid expenses and other current assets	—		9,085		12,709		—			21,794
Total current assets	16,560		111,549		507,511		(1,942		)	633,678
Non-current assets:
Deposits	1,752		24,862		155		—			26,769
Property, plant and equipment, net	—		1,377,147		167,157		—			1,544,304
Inventory	—		26,096		—		—			26,096
Intangible assets, net	—		508		450,430		—			450,938
Investments	—		45,241		18,795					64,036
Deferred tax assets	—		—		—		—			—
Goodwill	—		—		239,742		—			239,742
Investments in consolidated subsidiaries	860,390		97,960		—		(958,350		)	—
Intercompany accounts receivable	1,577,466		169,446		794		(1,747,706		)	—
Other non-current assets	—		885		6,087		—			6,972
Total non-current assets	2,439,608		1,742,145		883,160		(2,706,056		)	2,358,857
Total assets	$	2,456,168	$	1,853,694	$	1,390,671	$	(2,707,998	)	$	2,992,535
Current liabilities:
Trade accounts payable	$	—	$	191,769	$	50,225	$	—		$	241,994
Accrued expenses	14,872		10,087		34,054		—			59,013
Income tax payable	2,746		—		15,267		(2,746		)	15,267
Deferred tax liabilities	—		1,942		—		(1,942		)	—
Debt and capital lease obligations	—		352		39,252		—			39,604
Other current liabilities	—		3,539		—		—			3,539
Total current liabilities	17,618		207,689		138,798		(4,688		)	359,417
Non-current liabilities:
Asset retirement obligation	—		18,586		—		—			18,586
Deferred tax liabilities	5,884		8,470		143,575		2,746			160,675
Debt and capital lease obligations	1,166,777		15,163		6,892		—			1,188,832
Derivative liability	—		—		7,816		—			7,816
Pension liabilities	—		—		3,292		—			3,292
Intercompany accounts payable	49,843		1,577,363		120,500		(1,747,706		)	—

Other non-current liabilities	—			1,102			1,557			—			2,659
Total non-current liabilities	1,222,504			1,620,684			283,632			(1,744,960		)	1,381,860
Total liabilities	$	1,240,122		$	1,828,373		$	422,430		$	(1,749,648	)	$	1,741,277
Stockholders’ equity:
Common stock	139			—			—			—			139
Preferred stock	2			—			—			—			2
Additional paid-in capital	1,691,429			149,857			1,283,863			(1,433,720		)	1,691,429
Accumulated other comprehensive loss	(9,433		)	—			(9,433		)	9,433			(9,433		)
(Deficit) retained earnings	(466,091		)	(124,536		)	(341,401		)	465,937			(466,091		)
Total Molycorp stockholders’ equity	1,216,046			25,321			933,029			(958,350		)	1,216,046
Noncontrolling interests	—			—			35,212			—			35,212
Total stockholders’ equity	1,216,046			25,321			968,241			(958,350		)	1,251,258
Total liabilities and stockholders’ equity	$	2,456,168		$	1,853,694		$	1,390,671		$	(2,707,998	)	$	2,992,535

Schedule of Condensed Income Statement and Comprehensive Income

	Three Months Ended March 31, 2013
	(in thousands)
Condensed Consolidating Statements of Operations and Comprehensive Income	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Molycorp, Inc. consolidated
	As restated - Note 1A
Revenues	$	—		$	21,609		$	135,116		$	(10,358	)	$	146,367
Costs of sales:
Costs excluding depreciation and amortization	—			(45,329		)	(101,623		)	10,358			(136,594		)
Depreciation and amortization	—			(7,430		)	(6,879		)	—			(14,309		)
Gross (loss) profit	—			(31,150		)	26,614			—			(4,536		)
Operating expenses:
Selling, general and administrative	—			(16,901		)	(9,613		)	—			(26,514		)
Corporate development	—			(115		)	—			—			(115		)
Depreciation, amortization and accretion	—			(1,709		)	(6,514		)	—			(8,223		)
Research and development	—			(1,960		)	(4,445		)	—			(6,405		)
Operating (loss) income	—			(51,835		)	6,042			—			(45,793		)
Other (expense) income:
Other expense	—			—			260			—			260
Foreign exchange losses, net	—			—			(389		)	—			(389		)
Interest (expense) income, net	(11,139		)	(2,060		)	1,550			—			(11,649		)
Interest income (expense) from intercompany notes	9,651			1,644			(11,295		)	—			—
Equity (loss) earnings from consolidated subsidiaries	(43,367		)	1,078			—			42,289			—
	(44,855		)	662			(9,874		)	42,289			(11,778		)
Loss before income taxes and equity earnings	(44,855		)	(51,173		)	(3,832		)	42,289			(57,571		)
Income tax benefit (loss)	5,884			19,450			(2,844		)				22,490
Equity in results of affiliates	—			(1,998		)	(1,074		)				(3,072		)
Net loss	(38,971		)	(33,721		)	(7,750		)	42,289			(38,153		)
Net income attributable to noncontrolling interest	—			—			(818		)	—			(818		)
Net loss attributable to Molycorp stockholders	$	(38,971	)	$	(33,721	)	$	(8,568	)	$	42,289		$	(38,971	)
Net loss	$	(38,971	)	$	(33,721	)	$	(7,750	)	$	42,289		$	(38,153	)
Other comprehensive income:
Foreign currency translation adjustments	—			—			(3,294		)				(3,294		)
Comprehensive loss	$	(38,971	)	$	(33,721	)	$	(11,044	)	$	42,289		$	(41,447	)
Comprehensive loss attributable to:
Molycorp stockholders	(38,971		)	(33,721		)	(10,226		)	42,289			(40,629		)
Noncontrolling interest	—			—			(818		)	—			(818		)
	$	(38,971	)	$	(33,721	)	$	(11,044	)	$	42,289		$	(41,447	)

	Three Months Ended March 31, 2012
	(in thousands)
Condensed Consolidating Statements of Operations and Comprehensive Income	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Molycorp, Inc. consolidated
Revenues	$	—		$	65,266		$	24,246		$	(5,042	)	$	84,470
Costs of sales:
Costs excluding depreciation and amortization	—			(29,123		)	(25,989		)	5,042			(50,070		)
Depreciation and amortization	—			(1,856		)	(1,517		)	—			(3,373		)
Gross profit (loss)	—			34,287			(3,260		)	—			31,027
Operating expenses:
Selling, general and administrative	37			(22,697		)	(1,523		)	—			(24,183		)
Corporate development	(17		)	(3,364		)	—			—			(3,381		)
Depreciation, amortization and accretion	—			(334		)	(24		)	—			(358		)
Research and development	—			(3,571		)	(79		)	—			(3,650		)
Operating loss	20			4,321			(4,886		)	—			(545		)
Other (expense) income:
Other expense	(6,578		)	—			—			—			(6,578		)
Foreign exchange gains, net	—			1			1,603			—			1,604
Interest income (expense), net	129			(1		)	(43		)	—			85
Interest income (expense) from intercompany notes	—			98			(98		)	—			—
Equity loss from consolidated subsidiaries	1,642			(10,677		)	—			9,035			—
	(4,807		)	(10,579		)	1,462			9,035			(4,889		)
Loss before income taxes and equity earnings	(4,787		)	(6,258		)	(3,424		)	9,035			(5,434		)
Income tax benefit	1,309			874			—						2,183
Equity in results of affiliates	—			(227		)	—						(227		)
Net loss	(3,478		)	(5,611		)	(3,424		)	9,035			(3,478		)
Net loss	$	(3,478	)	$	(5,611	)	$	(3,424	)	$	9,035		$	(3,478	)
Other comprehensive income:
Foreign currency translation adjustments	—			—			2,530						2,530
Comprehensive loss	$	(3,478	)	$	(5,611	)	$	(894	)	$	9,035		$	(948	)

Schedule of Condensed Cash Flow Statement

	Three Months Ended March 31, 2013
	(in thousands)
Condensed Consolidating Statements of Cash Flows	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Molycorp, Inc. consolidated
Net cash (used in) provided by operating activities	$	17,211		$	(58,035	)	$	4,196		$	—		$	(36,628	)
Cash flows from investing activities:
Loans to guarantor	—			—			(40,000		)	40,000			—
Intercompany advances made	(193,454		)	—			—			193,454			—
Loans to non-guarantor	—			(1,300		)	—			1,300			—
Repayments of notes receivable from non-guarantor	—			—			—			—			—
Investment in joint ventures	—			(3,423		)	—			—			(3,423		)
Capital expenditures	—			(174,703		)	(6,400		)	—			(181,103		)
Other investing activities	—			—			(90		)	—			(90		)
Net cash (used in) provided by investing activities	(193,454		)	(179,426		)	(46,490		)	234,754			(184,616		)
Cash flows provided from financing activities:
Repayments of debt	—			—			(11,108		)	—			(11,108		)
Net proceeds from sale of common stock	248,147			—			—			—			248,147
Issuance of 5.50% Convertible Notes	165,600			—			—			—			165,600
Payments of preferred dividends	(2,846		)	—			—			—			(2,846		)
Dividend paid to noncontrolling interests	—			—			(1,286		)	—			(1,286		)
Borrowings from non-guarantor	—			40,000			—			(40,000		)	—
Borrowing from guarantor	—			—			1,300			(1,300		)	—
Intercompany advances owed	—			182,491			10,963			(193,454		)	—
Other financing activities	—			(79		)	—			—			(79		)
Net cash provided by (used in) financing activities	410,901			222,412			(131		)	(234,754		)	398,428
Effect of exchange rate changes on cash	—			—			(140		)	—			(140		)
Net change in cash and cash equivalents	234,658			(15,049		)	(42,565		)	—			177,044
Cash and cash equivalents at beginning of the period	16,560			18,020			193,210			—			227,790
Cash and cash equivalents at end of period	$	251,218		$	2,971		$	150,645		$	—		$	404,834

	Three Months Ended March 31, 2012
	(in thousands)
Condensed Consolidating Statements of Cash Flows	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Molycorp, Inc. consolidated
Net cash (used in) provided by operating activities	$	(3,250	)	$	30,777		$	(11,500	)	$	—		$	16,027
Cash flows from investing activities:
Loans to non-guarantor	—			(5,200		)	—			5,200			—
Intercompany advances made	(198,544		)	—			—			198,544			—
Investment in joint ventures	—			(3,836		)	—			—			(3,836		)
Deposits	—			(459		)	—			—			(459		)
Capital expenditures	—			(204,276		)	(2,187		)	—			(206,463		)
Other investing activities	—			—			2			—			2
Net cash (used in) provided by investing activities	(198,544		)	(213,771		)	(2,185		)	203,744			(210,756		)
Cash flows provided from financing activities:
Capital contributions from stockholder	390,225			—			—			—			390,225
Repayments of short-term borrowings—related party	—			(870		)	—			—			(870		)
Repayments of debt	—			—			(777		)	—			(777		)
Payments of preferred dividends	(2,846		)	—			—			—			(2,846		)
Borrowing from guarantor	—			—			5,200			(5,200		)	—
Intercompany advances owed	—			189,806			8,738			(198,544		)	—
Other financing activities	(132		)	—			—			—			(132		)
Net cash provided by (used in) financing activities	387,247			188,936			13,161			(203,744		)	385,600
Effect of exchange rate changes on cash	—			—			68			—			68
Net change in cash and cash equivalents	185,453			5,942			(456		)	—			190,939
Cash and cash equivalents at beginning of the period	407,446			10,758			651			—			418,855
Cash and cash equivalents at end of period	$	592,899		$	16,700		$	195		$	—		$	609,794

XML

Stock-Based Compensation (Tables)

3 Months Ended

Mar. 31, 2013

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs

Quarterly amounts recognized in total for all stock-based awards were as follows (in millions):

	Three Months Ended March 31,
	2013	2012
Compensation benefit (cost), net of forfeitures	$0.3	$(0.8)

Summary of the Activity and Other Information Related to Stock Option Awards

Stock Options	Number of Shares		Weighted Average Exercise Price
Outstanding at January 1, 2013	35,624		$	48.87
Granted	—		—
Exercised	—		—
Forfeited and expired	(8,238	)	48.87
Outstanding at March 31, 2013	27,386		$	48.87
Options exercisable at March 31, 2013	18,257		$	48.87

PBRSUs

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Summary of Activity Related to Stock-based Awards

The following tables summarize the activity related to restricted stock and stock options for the three months ended March 31, 2013:

PBRSUs	Number of Shares		Weighted Average Grant-Date Price
Unvested at January 1, 2013	29,302		30.33
Granted	—		$	—
Forfeited	(8,395	)	$	30.33
Vested	—		—
Unvested at March 31, 2013	20,907		$	30.33

RSUs

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Summary of Activity Related to Stock-based Awards

RSUs	Number of Shares		Weighted Average Grant-Date Price
Unvested at January 1, 2013	181,602		$	32.15
Granted	6,399		$	5.81
Forfeited	(46,380	)	$	36.77
Vested*	(5,120	)	$	5.81
Unvested at March 31, 2013	136,501		$	31.39

* Relates to the deferral and conversion of a portion of fees payable to certain non-employee directors of the Company

Restricted Stock

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Summary of Activity Related to Stock-based Awards

RSAs	Number of Shares		Weighted Average Grant-Date Price
Unvested at January 1, 2013	39,974		$	40.09
Granted	—		—
Forfeited	(7,697	)	$	39.24
Vested	—		—
Unvested at March 31, 2013	32,277		$	38.02

XML

Condensed Consolidated Balance Sheets (Parenthetical) (USD $)	Mar. 31, 2013
Statement of Financial Position [Abstract]
Common stock, par value	$ 0.001
Common stock, authorized	350,000,000
Preferred stock, par value	$ 0.001
Preferred stock, authorized	5,000,000

XML

Property, Plant and Equipment, net

3 Months Ended

Mar. 31, 2013

Property, Plant and Equipment [Abstract]

Property, Plant and Equipment, net

Property, Plant and Equipment, net

The Company capitalized $120.9 million and $265.8 million for the three months ended March 31, 2013 and 2012, respectively, the majority of which related to the expansion and modernization of the Molycorp Mountain Pass facility. These amounts include capitalized interest of $21.5 million and $3.8 million, respectively.

At March 31, 2013 and December 31, 2012, property, plant and equipment consisted of the following (in thousands):

	March 31, 2013			December 31, 2012
Land	$	12,218		$	12,475
Land improvements	66,547			63,269
Buildings and improvements	336,867			237,379
Plant and equipment	261,183			194,934
Vehicles	2,907			2,842
Computer software	9,540			9,528
Furniture and fixtures	1,119			1,116
Construction in progress (a)	956,441			1,011,541
Capital Lease	15,658			15,658
Mineral properties	24,255			24,327
Exploration rights	16,166			16,166
Property, plant and equipment at cost	1,702,901			1,589,235
Less accumulated depreciation	(57,527		)	(44,931		)
Property, plant and equipment, net	$	1,645,374		$	1,544,304

(a) Represents costs incurred at the Molycorp Mountain Pass facility and all other capital projects. See Note 2.

Subject to certain exceptions, substantially all of the property and assets of the Company are pledged as collateral for some of the Company's indebtedness, as further discussed in Note 14.

XML

Condensed Consolidated Statements of Stockholders' Equity (USD $) In Thousands, except Share data, unless otherwise specified	Total	Total Molycorp Stockholders' Equity	Common Stock	Series A Mandatory Convertible Preferred Stock	Additional Paid-In Capital	Accumulated Other Comprehensive Loss	Retained Earnings	Non controlling interests
Balance at December 31, 2012 (Revised) at Dec. 31, 2012	$ 1,251,258
Increase (Decrease) in Stockholders' Equity
Stock-based compensation (Note 18)	(325)	(325)	0		(325)
Stock-based compensation (Note 18) (in shares)			(7,749)
Component of convertible debt (Note 14)	21,815	21,815			21,815
Deferred taxes on component of convertible debt	(8,508)	(8,508)			(8,508)
Conversion of Exchangeable Shares (Note 16) (in shares)			10,476
Issuance of shares for conversion of Debentures (in shares)			1,253
Issuance of Primary Shares (Note 16)	248,140	248,140	43		248,097
Issuance of Primary Shares (Note 16) (in shares)			43,125,000
Issuance of Borrowed Shares (Note 16)	7	7	7
Issuance of Borrowed Shares (Note 16) (in shares)			6,666,666
Net loss	(38,153)	(38,971)					(38,971)	818
Preferred dividends	(2,846)	(2,846)			(2,846)
Distribution to noncontrolling interests	(1,286)							(1,286)
Other comprehensive loss	(3,294)	(3,294)				(3,294)
Balance at March 31, 2013 - As restated, Note 1A at Mar. 31, 2013	$ 1,466,808	$ 1,432,064	$ 189	$ 2	$ 1,949,662	$ (12,727)	$ (505,062)	$ 34,744
Balance at March 31, 2013 (in shares) at Mar. 31, 2013			188,569,184	2,070,000

XML

Property, Plant and Equipment, net (Details) (USD $)	3 Months Ended
	Mar. 31, 2013		Mar. 31, 2012	Dec. 31, 2012
Property, Plant and Equipment [Line Items]
Plant modernization and other capital costs	$ 21,500,000		$ 3,800,000
Capitalized interest related to plant modernization and other capitalized costs	120,900,000		265,800,000
Property, plant and equipment at cost	1,702,901,000			1,589,235,000
Less accumulated depreciation	(57,527,000)			(44,931,000)
Property, plant and equipment, net	1,645,374,000			1,544,304,000
Land
Property, Plant and Equipment [Line Items]
Property, plant and equipment at cost	12,218,000			12,475,000
Land improvements
Property, Plant and Equipment [Line Items]
Property, plant and equipment at cost	66,547,000			63,269,000
Buildings and improvements
Property, Plant and Equipment [Line Items]
Property, plant and equipment at cost	336,867,000			237,379,000
Plant and equipment
Property, Plant and Equipment [Line Items]
Property, plant and equipment at cost	261,183,000			194,934,000
Vehicles
Property, Plant and Equipment [Line Items]
Property, plant and equipment at cost	2,907,000			2,842,000
Computer software
Property, Plant and Equipment [Line Items]
Property, plant and equipment at cost	9,540,000			9,528,000
Furnitures and fixtures
Property, Plant and Equipment [Line Items]
Property, plant and equipment at cost	1,119,000			1,116,000
Construction in progress
Property, Plant and Equipment [Line Items]
Property, plant and equipment at cost	956,441,000	[1]		1,011,541,000	[1]
Capital Leases
Property, Plant and Equipment [Line Items]
Capital Lease	15,658,000			15,658,000
Mineral properties
Property, Plant and Equipment [Line Items]
Property, plant and equipment at cost	24,255,000			24,327,000
Exploration rights
Property, Plant and Equipment [Line Items]
Property, plant and equipment at cost	$ 16,166,000			$ 16,166,000

[1] Represents costs incurred at the Molycorp Mountain Pass facility and all other capital projects. See Note 2.

XML

Condensed Consolidated Balance Sheets (USD $) In Thousands, unless otherwise specified	Mar. 31, 2013	Dec. 31, 2012
Current assets:
Cash and cash equivalents	$ 404,834	$ 227,790
Trade accounts receivable, net (Note 2)	63,147	52,430
Inventory (Note 5)	247,453	287,376
Deferred charges (Note 15)	6,110	9,412
Deferred tax assets (Note 15)	9,438	9,789
Income tax receivable	20,318	25,087
Prepaid expenses and other current assets	19,911	21,794
Total current assets	771,211	633,678
Non-current assets:
Deposits (Note 6)	26,639	26,769
Property, plant and equipment, net (Note 7)	1,645,374	1,544,304
Inventory (Note 5)	24,984	26,096
Intangible assets, net (Note 9)	441,677	450,938
Investments	64,407	64,036
Deferred tax assets (Note 15)	0	0
Goodwill (Note 9)	239,742	239,742
Other non-current assets	9,264	6,972
Total non-current assets	2,452,087	2,358,857
Total assets	3,223,298	2,992,535
Current liabilities:
Trade accounts payable	136,862	241,994
Accrued expenses (Note 12)	65,457	59,013
Income tax payable	15,591	15,267
Debt and capital lease obligations (Note 14)	28,788	39,604
Other current liabilities	4,589	3,539
Total current liabilities	251,287	359,417
Non-current liabilities:
Asset retirement obligation (Note 13)	17,572	18,586
Deferred tax liabilities (Note 15)	136,055	160,675
Debt and capital lease obligations (Note 14)	1,338,793	1,188,832
Derivative liability (Note 23)	7,028	7,816
Pension liabilities (Note 24)	3,338	3,292
Other non-current liabilities	2,417	2,659
Total non-current liabilities	1,505,203	1,381,860
Total liabilities	1,756,490	1,741,277
Commitments and contingencies (Note 19)
Stockholders’ equity:
Common stock, $0.001 par value; 350,000,000 shares authorized at March 31, 2013 (Note 16)	189	139
Preferred stock, $0.001 par value; 5,000,000 shares authorized at March 31, 2013 (Note 16)	2	2
Additional paid-in capital	1,949,662	1,691,429
Accumulated other comprehensive loss	(12,727)	(9,433)
Deficit	(505,062)	(466,091)
Total Molycorp stockholders’ equity	1,432,064	1,216,046
Noncontrolling interests	34,744	35,212
Total stockholders’ equity	1,466,808	1,251,258
Total liabilities and stockholders’ equity	$ 3,223,298	$ 2,992,535

XML

Basis of Presentation Narrative (Details)	Mar. 31, 2013 location country continent employee
Accounting Policies [Abstract]
Number of continents in which entity operates	3
Number of employees	2,700
Number of worldwide locations	27
Number of countries in which entity operates	11

XML

Derivative Instruments Narrative (Details) In Millions, unless otherwise specified	3 Months Ended		3 Months Ended	0 Months Ended
	Mar. 31, 2012 USD ($)	Mar. 28, 2012 CAD	Mar. 31, 2013 Interest Expense USD ($)	Jun. 11, 2012 Other Expense USD ($)	Mar. 31, 2013 Derivative Liability USD ($)
Fair Value, Option, Quantitative Disclosures [Line Items]
Fair value of put option					$ 7.0
Unrealized gain on change in put option fair value			0.8
Notional amount of derivatives		870.0
Realized loss on settlement of derivative forward contracts	$ 6.7			$ 37.5

XML

Commitments and Contingencies Narrative (Details) (USD $) In Millions, unless otherwise specified	3 Months Ended
	Mar. 31, 2013 jurisdiction employee	Feb. 29, 2012 lawsuit
Plant Modernization and Expansion Commitments
Number of employees	2,700
Surety bonds placed to secure the closure and reclamation obligations	$ 28.8
Number of stockholder derivative lawsuits		7
Number of different jurisdictions in which lawsuits have been filed	3
Employees covered by collective bargaining agreement under facility | Workforce | Molycorp Silmet
Plant Modernization and Expansion Commitments
Number of employees	174
Concentration risk (as a percent)	29.00%
Molycorp Mountain Pass facility | Employees covered by collective bargaining agreement under facility | Workforce
Plant Modernization and Expansion Commitments
Number of employees	234
Concentration risk (as a percent)	61.00%

XML

Net Change in Operating Assets and Liabilities

3 Months Ended

Mar. 31, 2013

Net Change in Operating Assets and Liabilities

Net Change in Operating Assets and Liabilities

Net Change in Operating Assets and Liabilities

Net change in operating assets and liabilities, net of the effects of acquisitions and dispositions, consisted of the following:

	Three Months Ended March 31,
(In thousands)	2013			2012
	As restated, Note 1A
Decrease (increase) in operating assets:
Accounts receivable	$	(10,928	)	$	25,408
Inventory	14,367			(4,442		)
Prepaid expenses and other assets	1,850			382
Increase (decrease) in operating liabilities:
Accounts payable	(15,835		)	(13,924		)
Income tax payable	5,092			1,560
Interest payable	(3,746		)	—
Asset retirement obligation	(308		)	—
Accrued expenses	(6,369		)	(4,605		)
	$	(15,877	)	$	4,379

XML

Stockholders' Equity

3 Months Ended

Mar. 31, 2013

Equity [Abstract]

Stockholders' Equity

Stockholders’ Equity

At March 31, 2013 and December 31, 2012, the Company had 188,569,184 and 138,773,538 shares of common stock outstanding, respectively, and 2,070,000 shares of 5.50% Series A Mandatory Convertible Preferred Stock (“Convertible Preferred Stock”) outstanding. In the first quarter of 2013, the Company declared a cash dividend of $1.375 per share on the Convertible Preferred Stock and paid $2.8 million of the aggregate preferred dividend.

On January 30, 2013, the Company issued 37,500,000 shares of its common stock at a price per share of $6.00 (the “2013 Primary Shares”). The underwriters of this public offering purchased an additional 5,625,000 shares of the 2013 Primary Shares at a price per share of $6.00 on February 5, 2013. The underwriters received a 6.00% fee in the form of an underwriter's discount for the 2013 Primary Shares. Certain officers, directors and other related parties of the Company participated in offering of the 2013 Primary Shares by purchasing 15,016,666 of the total 2013 Primary Shares issued. No underwriting fees were charged to the Company for the purchases of the 2013 Primary Shares by the insiders. After deducting the underwriting discounts and commissions, total net proceeds from the issuance of the 2013 Primary Shares were $248.6 million.

Concurrently with the issuance of the 2013 Primary Shares, and in order to facilitate the offering of the 5.50% Convertible Notes, the Company entered into a share lending agreement with Morgan Stanley Capital Services LLC (“MSCS”), an affiliate of Morgan Stanley & Co. LLC, under which it agreed to loan to MSCS up to 7,666,666 shares of common stock (the “2013 Borrowed Shares”), of which 6,666,666 shares were offered through Morgan Stanley at a price per share of $6.00 in a registered public offering in the first quarter of 2013. MSCS did not exercise its option to borrow the remaining additional shares of common stock under this share lending agreement. The Company received no proceeds from the 2013 Borrowed Shares, but only a nominal lending fee from MSCS for the use of these loaned shares. The 2013 Borrowed Shares are issued and outstanding for corporate law purposes. However, based on certain contractual undertakings of MSCS in the share lending agreement that have the effect of substantially eliminating the economic dilution that otherwise would result from the issuance of the 2013 Borrowed Shares, these loaned shares will not be considered outstanding for the purpose of computing and reporting Molycorp's earnings per share.    

In connection with of the acquisition of Molycorp Canada on June 11, 2012, MCP Exchangeco Inc. issued an aggregate of 507,203 Exchangeable Shares in consideration for that portion of the purchase price Molycorp paid to Molycorp Canada’s former shareholders who elected to receive shares of MCP Exchangeco Inc. at the time of acquisition, and later convert the Exchangeable Shares into Molycorp common stock. During the first quarter of 2013, 10,476 Exchangeable Shares were converted into Molycorp common stock and, as of March 31, 2013, an aggregate of 350,672 Exchangeable Shares had been converted into shares of Molycorp common stock.

XML

Loss per Share (Tables)

3 Months Ended

Mar. 31, 2013

Earnings Per Share [Abstract]

Schedule of earnings per share, basic and diluted

	Three Months Ended March 31,
(In thousands, except share and per share amounts)	2013			2012
	As restated, Note 1A
Net loss attributable to Molycorp stockholders	$	(38,971	)	$	(3,478	)
Dividends on Convertible Preferred Stock	(2,846		)	(2,846		)
Loss attributable to common stockholders	(41,817		)	(6,324		)
Weighted average common shares outstanding—basic	153,314,081			87,006,460
Basic loss per share	$	(0.27	)	$	(0.07	)
Weighted average common shares outstanding—diluted	153,314,081			87,006,460
Diluted loss per share	$	(0.27	)	$	(0.07	)

XML

Related-Party Transactions (Details) (USD $) In Millions, unless otherwise specified	3 Months Ended
	Mar. 31, 2013
Neo Powders | TMT
Related Party Transactions
Sales to related party	$ 1.0
Compounds | TMT
Related Party Transactions
Purchases made from related party	0.5
Metals | Keli
Related Party Transactions
Purchases made from related party	9.6
Gallium Metal | Ingal Stade
Related Party Transactions
Purchases made from related party	$ 1.2

XML

Segment Information (Details) (USD $)	3 Months Ended
	Mar. 31, 2013 segment		Mar. 31, 2012		Dec. 31, 2012
Segment Information
Number of segments	4
Sales:
External	$ 146,367,000		$ 84,470,000
Intersegment	0		0
Total revenues	146,367,000		84,470,000
Depreciation, amortization and accretion	(22,532,000)		(3,731,000)
Operating (loss) income	(45,793,000)		(545,000)
(Loss) income before income taxes and equity earnings	(57,571,000)		(5,434,000)
Total assets at period end	3,223,298,000		1,688,753,000		2,992,535,000
Capital expenditures	99,346,000	[1]	262,039,000	[1]
Resources
Sales:
External	14,658,000		44,478,000
Intersegment	2,645,000		1,832,000
Total revenues	17,303,000		46,310,000
Depreciation, amortization and accretion	(9,053,000)		(2,114,000)
Operating (loss) income	(40,126,000)		17,531,000
(Loss) income before income taxes and equity earnings	(39,694,000)		17,599,000
Total assets at period end	1,884,262,000		1,064,126,000
Capital expenditures	92,339,000	[1]	259,438,000	[1]
Chemicals and Oxides
Sales:
External	49,600,000		7,320,000
Intersegment	14,610,000		3,210,000
Total revenues	64,210,000		10,530,000
Depreciation, amortization and accretion	(5,537,000)		(315,000)
Operating (loss) income	(3,306,000)		(13,537,000)
(Loss) income before income taxes and equity earnings	(2,891,000)		(12,894,000)
Total assets at period end	599,389,000		56,781,000
Capital expenditures	2,961,000	[1]	2,501,000	[1]
Magnetic Materials and Alloys
Sales:
External	54,678,000		18,956,000
Intersegment	0		0
Total revenues	54,678,000		18,956,000
Depreciation, amortization and accretion	(5,480,000)		(76,000)
Operating (loss) income	6,763,000		145,000
(Loss) income before income taxes and equity earnings	16,900,000		(137,000)
Total assets at period end	610,890,000		24,290,000
Capital expenditures	1,041,000	[1]	100,000	[1]
Rare Metals
Sales:
External	27,431,000		13,716,000
Intersegment	0		0
Total revenues	27,431,000		13,716,000
Depreciation, amortization and accretion	(2,403,000)		(1,202,000)
Operating (loss) income	2,978,000		1,392,000
(Loss) income before income taxes and equity earnings	3,731,000		2,230,000
Total assets at period end	111,276,000		43,718,000
Capital expenditures	2,931,000	[1]	0	[1]
Corporate and other
Sales:
Depreciation, amortization and accretion	(59,000)	[2],[3]	(24,000)	[2]
Operating (loss) income	(11,564,000)	[2],[3]	(19,843,000)	[2]
(Loss) income before income taxes and equity earnings	(35,079,000)	[2],[3]	(25,999,000)	[2]
Total assets at period end	1,042,315,000	[2],[3]	612,180,000	[2]
Capital expenditures	74,000	[1],[2],[3]	0	[1],[2]
Eliminations
Sales:
External	0		0
Intersegment	(17,255,000)		(5,042,000)
Total revenues	(17,255,000)		(5,042,000)
Depreciation, amortization and accretion	0		0
Operating (loss) income	(538,000)	[4]	13,767,000	[4]
(Loss) income before income taxes and equity earnings	(538,000)	[4]	13,767,000	[4]
Total assets at period end	(1,024,834,000)	[4]	(112,342,000)	[4]
Capital expenditures	0	[1]	0	[1]
Intercompany Costs	$ (16,717,000)		$ (18,809,000)

[1] On an accrual basis excluding capitalized interest.

[2] Corporate loss before income taxes and equity earnings includes business development costs, personnel and related costs, including stock-based compensation expense, accounting and legal fees, occupancy expense, information technology costs and interest expense. Total corporate assets is comprised primarily of cash and cash equivalents and deferred tax assets

[3] First quarter 2013 loss at the Corporate segment includes severance charges of $2,077. See Note 24 for details.

[4] The net elimination in operating results includes costs of sales eliminations of $16,717 and $18,809 for the three months ended March 31, 2013 and 2012, respectively, which consist of intercompany gross profits as well as eliminations of lower of cost or market adjustments related to intercompany inventory. The total assets elimination is comprised primarily of intercompany investments and intercompany accounts receivable and profits in inventory.

XML

Debt and Capital Lease Obligations (Details) (USD $)									0 Months Ended		0 Months Ended
	Mar. 31, 2013	Dec. 31, 2012	Mar. 31, 2013 Notes Payable to Banks bank loans with a weighted average rate of 4.00% due May 2013 - September 2017	Dec. 31, 2012 Notes Payable to Banks bank loans with a weighted avergare rate of 3.57% due January 2013 - Septmber 2017 [Member]	Mar. 31, 2013 Convertible Debt 3.25% Convertible Notes	Dec. 31, 2012 Convertible Debt 3.25% Convertible Notes	Mar. 31, 2013 Convertible Debt 6.00% Convertible Notes	Dec. 31, 2012 Convertible Debt 6.00% Convertible Notes	Jan. 30, 2013 Convertible Debt 5.50% Convertible Senior Notes due 2018	Mar. 31, 2013 Convertible Debt 5.50% Convertible Senior Notes due 2018	Jan. 30, 2013 Convertible Debt 5.50% Convertible Senior Notes due 2018 Officers, Directors and Other Related Parties	Mar. 31, 2013 Convertible Subordinated Debt 5.00% Debentures, net of discount	Dec. 31, 2012 Convertible Subordinated Debt 5.00% Debentures, net of discount	Mar. 31, 2013 Secured Debt 10% Senior Securied Notes, net of discount, due June 2020	Dec. 31, 2012 Secured Debt 10% Senior Securied Notes, net of discount, due June 2020	Mar. 31, 2013 Molycorp Canada and Molycorp Silmet Notes Payable to Banks bank loans with a weighted average rate of 4.00% due May 2013 - September 2017	Dec. 31, 2012 Molycorp Canada and Molycorp Silmet Notes Payable to Banks bank loans with a weighted avergare rate of 3.57% due January 2013 - Septmber 2017 [Member]
Long-term Debt, Current and Noncurrent [Abstract]
Current portion of debt outstanding	$ 28,410,000	$ 39,252,000			$ 0	$ 0	$ 0	$ 0		$ 0		$ 0	$ 0	$ 0	$ 0	$ 28,410,000	$ 39,252,000
Noncurrent portion of debt outstanding	1,323,734,000	1,173,669,000			200,734,000	198,689,000	335,532,000	331,977,000		144,549,000		2,774,000	2,774,000	636,431,000	636,111,000	3,714,000	4,118,000
Capital lease obligations, current	378,000	352,000
Capital lease obligations, Noncurrent	15,059,000	15,163,000
Total debt and Capital lease obligations, Current	28,788,000	39,604,000
Total debt and Capital lease obligations, Non-Current	1,338,793,000	1,188,832,000
Long-term Debt, by Maturity [Abstract]
Remainder of 2013	28,200,000
2014	1,500,000
2015	1,500,000
2016	230,800,000
2017	417,200,000
Thereafter	823,000,000
Capital Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract]
Total capital leases payments due	47,000,000
Due in 2013	5,100,000
Due in 2014	5,100,000
Due in 2015	5,100,000
Due in 2016	5,100,000
Due in 2017	5,100,000
Due thereafter	21,600,000
Weighted average interest rate			4.26%	3.57%
Debt instrument, face amount									150,000,000
Interest rate					3.25%		6.00%		5.50%	5.50%		5.00%		10.00%
Proceeds from related party debt											20,500,000
Underwriter option to purchase additional principal, face amount									22,500,000
Proceeds from issuance of long-term debt									165,600,000
Conversion ratio per $1,000 of principal debt									138.8889
Conversion ratio, price per share (in dollars per share)									$ 7.20
Percentage of last reported sale price of Molycorp common stock over conversion price on or after February 1, 2016 giving right to the Notes redemption									130.00%
Trading days during any 30 consecutive trading day period ending on, and including, the trading day immediately preceding the date on which Molycorp provides notice of redemption									20 days
Consecutive trading day period ending on, and including, the trading day immediately preceding the date on which Molycorp provides notice of redemption									30 days
Fair market value of assets excluded from security interest, maximum														$ 15,000,000
Cash collateral excluded from security interest, maximum														105.00%
Voting stock of foreign subsidiaries excluded from security interest, minimum														65.00%

XML

Goodwill and Other Intangible Assets (Tables)

3 Months Ended

Mar. 31, 2013

Goodwill and Intangible Assets Disclosure [Abstract]

Schedule of Goodwill

	December 31, 2012					Additional impairment			March 31, 2013
	Reported		Adjustment
	(In thousands)
Chemicals and Oxides	$	125,229	$	16,132		$	(16,132	)	$	125,229
Magnetic Materials and Alloys	102,808		16,716			(16,716		)	102,808
Rare Metals	11,705		(1,232		)	1,232			11,705
Total	$	239,742	$	31,616		$	(31,616	)	$	239,742

Schedule of amortizable intangible assets

At March 31, 2013 and December 31, 2012, other intangible assets consisted of the following (in thousands):

	Customer relationships			Rare earth quotas		Patents		Trade names			Land use rights		Other		Total
Gross carrying amount
At December 31, 2012	$	344,774		78,300		33,252		$	15,586		3,568		4,420		$	479,900
Foreign currency translation adjustment	(90		)	—		—		—			—		—		(90		)
At March 31, 2013	$	344,684		$	78,300	$	33,252	$	15,586		$	3,568	$	4,420	$	479,810
Amortization
At December 31, 2012	$	14,095		4,035		9,365		$	1,152		66		249		$	28,962
Adjustments	—			—		—		(873		)	—		—		(873		)
Amortization	4,888			1,679		3,285		16			22		154		10,044
At March 31, 2013	18,983			5,714		12,650		295			88		403		38,133
Net book value	$	325,701		$	72,586	$	20,602	$	15,291		$	3,480	$	4,017	$	441,677

XML

Restatement (Tables)

3 Months Ended

Mar. 31, 2013

Accounting Changes and Error Corrections [Abstract]

Schedule of Error Corrections and Prior Period Adjustments

The following tables reflect the impact of correcting the affected line items of the Company’s unaudited Condensed Consolidated Financial Statements at and for the three months ended March 31, 2013:

	At March 31, 2013
	As originally reported		As restated
(In thousands)
Inventory	$	231,502	$	247,453
Total current assets	755,260		771,211
Total assets	3,209,239		3,223,298
Accrued expenses	63,381		65,457
Total current liabilities	249,211		251,287
Deferred tax liabilities	135,691		136,055
Total non-current liabilities	1,504,839		1,505,203
Total liabilities	1,754,050		1,756,490
Total stockholders' equity	1,455,189		1,466,808
Total liabilities and stockholders' equity	3,209,239		3,223,298

	Three months ended March 31, 2013
	As originally reported			As restated
(In thousands, except per share amounts)
Costs of sales excluding depreciation and amortization	$	(152,544	)	$	(136,594	)
Gross loss	(20,486		)	(4,536		)
Selling, general and administrative expenses	(24,438		)	(26,514		)
Operating loss	(59,667		)	(45,793		)
Loss before income taxes and equity earnings	(71,445		)	(57,571		)
Income tax benefit	28,112			22,490
Net loss	(46,405		)	(38,153		)
Net loss attributable to Molycorp stockholders	(47,223		)	(38,971		)
Comprehensive loss	(49,699		)	(41,447		)
Comprehensive loss attributable to Molycorp stockholders	(48,881		)	(40,629		)
Loss per share of common stock:
Basic	(0.33		)	(0.27		)
Diluted	(0.33		)	(0.27		)

XML

Segment Information (Tables)

3 Months Ended

Mar. 31, 2013

Segment Reporting [Abstract]

Schedule of segment information

Three months ended March 31, 2013 - As restated, Note 1A	Resources			Chemicals and Oxides			Magnetic Materials and Alloys			Rare Metals			Corporate and other(b) (d)			Eliminations(a)			Total Molycorp, Inc.
Revenues:	(In thousands)
External	$	14,658		$	49,600		$	54,678		$	27,431					$	—		$	146,367
Intersegment	2,645			14,610			—			—						(17,255		)	—
Total revenues	$	17,303		$	64,210		$	54,678		$	27,431					$	(17,255	)	$	146,367
Depreciation, amortization and accretion	$	(9,053	)	$	(5,537	)	$	(5,480	)	$	(2,403	)	$	(59	)	$	—		$	(22,532	)
Operating (loss) income	$	(40,126	)	$	(3,306	)	$	6,763		$	2,978		$	(11,564	)	$	(538	)	$	(45,793	)
(Loss) income before income taxes and equity earnings	$	(39,694	)	$	(2,891	)	$	16,900		$	3,731		$	(35,079	)	$	(538	)	$	(57,571	)
Total assets at March 31, 2013	$	1,884,262		$	599,389		$	610,890		$	111,276		$	1,042,315		$	(1,024,834	)	$	3,223,298
Capital expenditures (c)	$	92,339		$	2,961		$	1,041		$	2,931		$	74		$	—		$	99,346

Three months ended March 31, 2012	Resources			Chemicals and Oxides			Magnetic Materials and Alloys			Rare Metals			Corporate and other(b)			Eliminations(a)			Total Molycorp, Inc.
Revenues:	(In thousands)
External	$	44,478		$	7,320		$	18,956		$	13,716					$	—		$	84,470
Intersegment	1,832			3,210			—			—						(5,042		)	—
Total revenues	$	46,310		$	10,530		$	18,956		$	13,716					$	(5,042	)	$	84,470
Depreciation, amortization and accretion	$	(2,114	)	$	(315	)	$	(76	)	$	(1,202	)	$	(24	)	$	—		$	(3,731	)
Operating income (loss)	$	17,531		$	(13,537	)	$	145		$	1,392		$	(19,843	)	$	13,767		$	(545	)
Income (loss) before income taxes	$	17,599		$	(12,894	)	$	(137	)	$	2,230		$	(25,999	)	$	13,767		$	(5,434	)
Capital expenditures (c)	$	259,438		$	2,501		$	100		$	—		$	—		$	—		$	262,039

(a) The net elimination in operating results includes costs of sales eliminations of $16,717 and $18,809 for the three months ended March 31, 2013 and 2012, respectively, which consist of intercompany gross profits as well as eliminations of lower of cost or market adjustments related to intercompany inventory. The total assets elimination is comprised primarily of intercompany investments and intercompany accounts receivable and profits in inventory.

(b) Corporate loss before income taxes and equity earnings includes business development costs, personnel and related costs, including stock-based compensation expense, accounting and legal fees, occupancy expense, information technology costs and interest expense. Total corporate assets is comprised primarily of cash and cash equivalents and deferred tax assets.

(c) On an accrual basis excluding capitalized interest.

XML

Deposits

3 Months Ended

Mar. 31, 2013

Deposits [Abstract]

Deposits

Deposits

The Company had $26.6 million and $26.8 million in deposits reported as non-current assets at March 31, 2013 and December 31, 2012, respectively. The deposits at March 31, 2013 consisted of $20.6 million under an escrow arrangement for the Company’s facilities agreement with Kern River Gas Transmission Company, $1.5 million related to the Company’s construction insurance program, and $4.5 million comprised primarily of collateral placed against the surety bonds issued to California state and regional agencies for the closure and reclamation obligations at the Molycorp Mountain Pass facility.

XML

Acquisitions (Details)	3 Months Ended				3 Months Ended		3 Months Ended		3 Months Ended			1 Months Ended			1 Months Ended
	Mar. 31, 2013 USD ($)	Dec. 31, 2012 USD ($)	Mar. 31, 2012 USD ($)	Mar. 28, 2012 CAD	Mar. 31, 2013 Magnetic Materials and Alloys USD ($)	Dec. 31, 2012 Measurement Period Adjustments USD ($)	Dec. 31, 2012 Molycorp Canada USD ($)	Jun. 12, 2012 Molycorp Canada CAD	Mar. 31, 2013 Molycorp Canada Magnetic Materials and Alloys USD ($)	Dec. 31, 2012 Molycorp Canada Preliminary Allocation of Consideration Transferred as of December 31, 2012 USD ($)	Dec. 31, 2012 Molycorp Canada Final Allocation of Consideration Transferred USD ($)	Jun. 30, 2012 MCP Exchangeco Inc.	Jun. 30, 2012 MCP Exchangeco Inc. Molycorp Canada	Jun. 12, 2012 MCP Exchangeco Inc. Molycorp Canada	Jun. 30, 2012 Molycorp Molycorp Canada	Jun. 12, 2012 Molycorp Molycorp Canada
Business Acquisition [Line Items]
Cash consideration paid for Molycorp Canada (in CAD per share)								11.30
Share consideration paid for Molycorp Canada (in shares)														0.4242		0.4242
Notional amount of derivatives				870,000,000
Common stock issued to acquire the entity (in shares)												507,203	507,203		13,534,950
Increase in goodwill impairment loss							31,600,000
Impairment of goodwill	31,616,000	31,600,000			16,716,000		287,900,000
Purchase consideration:
Cash consideration										908,181,000	908,181,000
Fair value of Molycorp common stock issued										284,144,000	284,144,000
Total purchase consideration						0				1,192,325,000	1,192,325,000
Fair values of the assets and liabilities acquired:
Cash and cash equivalents						0				317,169,000	317,169,000
Restricted cash						0				4,951,000	4,951,000
Accounts receivable						0				101,470,000	101,470,000
Inventory						0				250,989,000	250,989,000
Prepaid expenses and other current assets						0				26,893,000	26,893,000
Property, plant and equipment						0				75,745,000	75,745,000
Investments						(1,091,000)				21,019,000	19,928,000
Intangibles						0				482,234,000	482,234,000
Deferred tax charges						0				13,435,000	13,435,000
Deferred tax assets						(1,423,000)				11,473,000	10,050,000
Goodwill						31,616,000				494,809,000	526,425,000
Other non-current assets						0				4,367,000	4,367,000
Accounts payable and accrued expenses						0				(138,576,000)	(138,576,000)
Debt						0				(255,338,000)	(255,338,000)
Other current liabilities						0				(33,990,000)	(33,990,000)
Deferred tax liabilities						5,880,000				(154,309,000)	(148,429,000)
Other non-current liabilities						0				(14,255,000)	(14,255,000)
Non-controlling interests						(34,982,000)				(15,761,000)	(50,743,000)
Total purchase consideration						0				1,192,325,000	1,192,325,000
Impairment of other long-lived assets									6,000,000
Unaudited proforma
Revenues			263,322,000
Net Income (Loss)			68,298,000
Net Income (Loss) Attributable To Molycorp			66,506,000
EPS Basic (in dollars per share)			$ 0.73
Other actual and pro forma information
Finite-Lived Assets, Useful Life, Minimum	2 years
Finite-Lived Assets, Useful Life, Maximum	30 years
Direct Transaction Expenses Excluded from Nonrecurring Expense	$ 115,200,000

XML

Derivative Instruments

3 Months Ended

Mar. 31, 2013

Fair Value Disclosures [Abstract]

Derivative Instruments

Derivative Instruments

Put Option

As a result of the Molycorp Canada acquisition, the Company assumed a liability associated with the put option issued to holders of the noncontrolling interest of Buss & Buss, a business acquired by Molycorp Canada's predecessor company. The Buss & Buss put option relates to a share purchase agreement (“SPA”) between NMT Holding GmbH, a German subsidiary of the Company, and the shareholders of Buss & Buss entered into May 27, 2010 by Molycorp Canada's predecessor company. The SPA includes a call and a put option on shares of the remaining shareholder and his legal successors. If the call option is exercised by the Company, a premium is added to the consideration to purchase the underlying shares in Buss & Buss. If the put option is exercised by the remaining shareholder of Buss & Buss or his legal successors, a discount will reduce the cost basis of the securities sold to the Company. The Company does not account for this derivative as a hedge. The put option had a fair value of $7.0 million at March 31, 2013, recorded as "Derivative liability" in the condensed consolidated balance sheet. The change in fair value of the put option resulted in an unrealized gain of $0.8 million for the three months ended March 31, 2013, which was recognized in "Interest expense" in the condensed consolidated statement of operations and comprehensive income. The technique Molycorp used to fair value this derivative is the income approach based on a discounted cash flow model. With the exception of the risk free interest rate, which is a Level 1 input within the fair value hierarchy, all other inputs used to fair value this put option are based on unobservable Level 3 inputs based on management's assumptions. These inputs include: equity-risk premium, risk premium, size premium and growth rate. Any reasonably foreseeable changes in assumed levels of unobservable inputs used to fair value this put option would not be expected to have a material impact on the Company's financial position or results of operations.

2012 Contingent Forward Contract

On March 28, 2012, the Company entered into a contingent forward contract to purchase Canadian dollars with a notional amount of Cdn$870.0 million to manage the foreign currency exposure with respect to its planned acquisition of Molycorp Canada. The Company did not apply hedge accounting to this contingent forward contract. Upon settlement of this derivative on June 11, 2012 (Molycorp Canada acquisition date), the Company recognized a loss of $37.5 million in Other expense. Of this loss, $6.7 million was recognized during the three months ended March 31, 2012 and the remainder during the second quarter of 2012.

XML

Asset Retirement Obligation (Tables)

3 Months Ended

Mar. 31, 2013

Asset Retirement Obligation Disclosure [Abstract]

Schedule of activity in asset retirement obligation

The following table presents the activity in the Company’s asset retirement obligation for the three months ended March 31, 2013 and the year ended December 31, 2012 (in thousands):

	Three Months Ended March 31, 2013			Year Ended December 31, 2012
Balance at beginning of period	$	22,125		$	15,541
Obligations settled	(308		)	(2,954		)
Accretion expense	344			1,299
Revisions in estimated cash flows	—			7,872
Loss on settlement	—			367
Balance at end of period	$	22,161		$	22,125

XML

Goodwill and Other Intangible Assets

3 Months Ended

Mar. 31, 2013

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Other Intangible Assets

Goodwill and Other Intangible Assets

There were some changes in the carrying amount of goodwill as a result of adjusting the preliminary values assigned to certain assets and liabilities of Molycorp Canada based on additional information obtained since June 11, 2012. See Note 11 below for details. However, the Company recognized additional goodwill impairment of $31.6 million that completely offset the goodwill recognized as a result of those adjustments.

	December 31, 2012					Additional impairment			March 31, 2013
	Reported		Adjustment
	(In thousands)
Chemicals and Oxides	$	125,229	$	16,132		$	(16,132	)	$	125,229
Magnetic Materials and Alloys	102,808		16,716			(16,716		)	102,808
Rare Metals	11,705		(1,232		)	1,232			11,705
Total	$	239,742	$	31,616		$	(31,616	)	$	239,742

At March 31, 2013 and December 31, 2012, other intangible assets consisted of the following (in thousands):

	Customer relationships			Rare earth quotas		Patents		Trade names			Land use rights		Other		Total
Gross carrying amount
At December 31, 2012	$	344,774		78,300		33,252		$	15,586		3,568		4,420		$	479,900
Foreign currency translation adjustment	(90		)	—		—		—			—		—		(90		)
At March 31, 2013	$	344,684		$	78,300	$	33,252	$	15,586		$	3,568	$	4,420	$	479,810
Amortization
At December 31, 2012	$	14,095		4,035		9,365		$	1,152		66		249		$	28,962
Adjustments	—			—		—		(873		)	—		—		(873		)
Amortization	4,888			1,679		3,285		16			22		154		10,044
At March 31, 2013	18,983			5,714		12,650		295			88		403		38,133
Net book value	$	325,701		$	72,586	$	20,602	$	15,291		$	3,480	$	4,017	$	441,677

At March 31, 2013, trade names included indefinite-lived intangible assets with a gross carrying amount of $14.8 million. During the first quarter of 2013, the Company reversed an immaterial prior period amortization related to these assets as part of certain measurement period adjustments associated with the acquisition of Molycorp Canada.

Total amortization expense of all other intangible assets during the three months ended March 31, 2012 was nominal.

XML

Commitments and Contingencies Purchase Commitments (Details) (USD $) In Thousands, unless otherwise specified	Mar. 31, 2013
Commitments and Contingencies Disclosure [Abstract]
Purchase obligations and other commitment, Total	$ 260,593
Purchase obligations and other commitment, Less Than 1 Year	232,805
Purchase obligations and other commitment, 1 - 3 Years	14,076
Purchase obligations and other commitment, 4 - 5 Years	7,329
Purchase obligation and other comitment, More Than Five Years	$ 6,383

XML

Inventory

3 Months Ended

Mar. 31, 2013

Inventory Disclosure [Abstract]

Inventory

Inventory

At March 31, 2013 and December 31, 2012, inventory consisted of the following (in thousands):

	March 31, 2013		December 31, 2012
	As restated, Note 1A
Current:
Concentrate stockpiles	$	4,743	$	6,393
Raw materials	75,540		95,248
Work in process	53,134		55,229
Finished goods	95,135		114,903
Materials and supplies	18,901		15,603
Total current	$	247,453	$	287,376
Long-term:
Concentrate stockpiles	$	4	$	4
Raw materials	24,980		26,092
Total long-term	$	24,984	$	26,096

Assessment of normal production levels - As restated, Note 1A

For the three months ended March 31, 2013 and 2012, the Company determined that $22.0 million and $3.0 million, respectively, of production costs would have been allocated to additional production, assuming the Company had been operating at normal production ranges. As a result, these costs were excluded from inventory and instead expensed during the applicable periods. The assessment of normal production levels is judgmental and is unique to each quarter.

Write-downs of inventory - As restated, Note 1A

As a result of production or purchase costs in excess of net realizable value, the Company recognized write-downs of finished goods and work-in-process inventory of $19.7 million and $6.6 million for the three months ended March 31, 2013 and 2012, respectively. In addition, for the same respective periods, the Company recognized write-downs of stockpile inventory totaling $2.4 million and zero based on slow moving inventory and adjustments to estimated REO quantities. The level within the fair value hierarchy in which the write-downs of inventory are included is the significant other observable inputs—Level 2.

Subject to certain exceptions, substantially all of the property and assets of the Company are pledged as collateral for some of the Company's indebtedness, as further discussed in Note 14.

XML

Basis of Presentation

3 Months Ended

Mar. 31, 2013

Accounting Policies [Abstract]

Basis of Presentation

Basis of Presentation

Molycorp, Inc. (“Molycorp” or the “Company”) is one of the world's leading global rare earth companies, and the only one that operates a vertically integrated, global supply chain that combines a world-class rare earth resource with manufacturing facilities on three continents that can produce a wide variety of custom engineered, advanced rare earth materials from all of the lanthanide elements, plus yttrium. The Company's vertically integrated, global manufacturing supply chain is comprised of a workforce of approximately 2,700 scientists, engineers, chemists, technologists, and highly skilled workers in 27 locations across 11 countries. Molycorp's vertical integration allows it to operate multiple product supply chains, serves as a highly reliable supplier of advanced rare earth and rare metal materials, and provides price visibility to customers worldwide.

The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and Regulation S-X promulgated under the Securities Exchange Act of 1934 (the “Exchange Act”). While the December 31, 2012 balance sheet information was derived from the Company’s audited financial statements, for interim periods, GAAP and Regulation S-X do not require all information and related disclosures that are required in the annual financial statements, and all disclosures required by GAAP for annual financial statements have not been included. Therefore, the accompanying unaudited condensed consolidated financial statements should be read in conjunction with Molycorp’s consolidated financial statements and related notes for the year ended December 31, 2012, included in Molycorp's Form 10-K filed on March 18, 2013. The balance sheet as of December 31, 2012 included in this Quarterly Report on Form 10-Q contains revisions related to the completion of the Company’s purchase price allocation with respect to the acquisition of Molycorp Canada (see Note 9 and 11 below).

The accompanying unaudited condensed consolidated financial statements reflect all adjustments, which are normal and recurring in nature, and which, in the opinion of management, are necessary for the fair presentation of Molycorp’s financial position, results of operations and cash flows at March 31, 2013, and for all periods presented. The accompanying unaudited condensed consolidated financial statements include the accounts of the Company and its consolidated subsidiaries. All intercompany balances and transactions have been eliminated in consolidation.

The preparation of the financial statements, in accordance with GAAP, requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Management bases its estimates on the Company’s historical experience and on various other assumptions that are believed to be reasonable under the circumstances. Actual results may differ significantly from these estimates under different assumptions and conditions. Significant estimates made by management in the accompanying financial statements include the collectability of accounts receivable, the recoverability of inventory, the useful lives and recoverability of long-lived assets such as property, plant and equipment, intangible assets, goodwill and investments, capital leases, uncertain tax positions, the fair values of assets acquired and liabilities assumed, including business combinations, and the adequacy of the Company’s asset retirement obligations.

In addition, certain prior period amounts have been reclassified to conform to the current period presentation. Such reclassifications did not affect results of operations.

XML

Restatement (Details) (USD $)	3 Months Ended
	Mar. 31, 2013	Mar. 31, 2012	Dec. 31, 2012
Production costs expensed that would have been allocated to additional tons produced, assuming operations at normal production rates	$ 22,000,000	$ 3,000,000
Write-down of inventory as a result of production or purchase costs in excess of net realizable value	19,700,000	6,600,000
Error Corrections and Prior Period Adjustments Restatement, Balance Sheet [Abstract]
Inventory	247,453,000		287,376,000
Total current assets	771,211,000		633,678,000
Total assets	3,223,298,000	1,688,753,000	2,992,535,000
Accrued expenses	65,457,000		59,013,000
Total current liabilities	251,287,000		359,417,000
Deferred tax liabilities	136,055,000		160,675,000
Total non-current liabilities	1,505,203,000		1,381,860,000
Total liabilities	1,756,490,000		1,741,277,000
Total stockholders' equity	1,466,808,000		1,251,258,000
Total liabilities and stockholders’ equity	3,223,298,000		2,992,535,000
Error Corrections and Prior Period Adjustments Restatement, Income Statement [Abstract]
Costs excluding depreciation and amortization	(136,594,000)	(50,070,000)
Gross loss	(4,536,000)	31,027,000
Selling, General and Administrative Expense	(26,514,000)	(24,183,000)
Operating (loss) income	(45,793,000)	(545,000)
(Loss) income before income taxes and equity earnings	(57,571,000)	(5,434,000)
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest	(38,153,000)	(3,478,000)
Net Income (Loss) Attributable to Parent	(38,971,000)	(3,478,000)
Comprehensive Income (Loss), Net of Tax, Including Portion Attributable to Noncontrolling Interest	(41,447,000)	(948,000)
Molycorp stockholders	(40,629,000)	(948,000)
Income Tax Expense (Benefit)	22,490,000	2,183,000
Basic (in dollars per share)	$ (0.27)	$ (0.07)
Diluted (in dollars per share)	$ (0.27)	$ (0.07)
As originally reported
Error Corrections and Prior Period Adjustments Restatement, Balance Sheet [Abstract]
Inventory	231,502,000
Total current assets	755,260,000
Total assets	3,209,239,000
Accrued expenses	63,381,000
Total current liabilities	249,211,000
Deferred tax liabilities	135,691,000
Total non-current liabilities	1,504,839,000
Total liabilities	1,754,050,000
Total stockholders' equity	1,455,189,000
Total liabilities and stockholders’ equity	3,209,239,000
Error Corrections and Prior Period Adjustments Restatement, Income Statement [Abstract]
Costs excluding depreciation and amortization	(152,544,000)
Gross loss	(20,486,000)
Selling, General and Administrative Expense	(24,438,000)
Operating (loss) income	(59,667,000)
(Loss) income before income taxes and equity earnings	(71,445,000)
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest	(46,405,000)
Net Income (Loss) Attributable to Parent	(47,223,000)
Comprehensive Income (Loss), Net of Tax, Including Portion Attributable to Noncontrolling Interest	(49,699,000)
Molycorp stockholders	(48,881,000)
Income Tax Expense (Benefit)	28,112,000
Basic (in dollars per share)	$ (0.33)
Diluted (in dollars per share)	$ (0.33)
Inventory reconciliation error
Costs of good sold	16,000,000
Production costs expensed that would have been allocated to additional tons produced, assuming operations at normal production rates	17,400,000
Write-down of inventory as a result of production or purchase costs in excess of net realizable value	18,000,000
Error Corrections and Prior Period Adjustments Restatement, Balance Sheet [Abstract]
Inventory	16,000,000
Error Corrections and Prior Period Adjustments Restatement, Income Statement [Abstract]
Income Tax Expense (Benefit)	(6,500,000)
Understatement of severance charges accrual
Restructuring costs	2,100,000
Error Corrections and Prior Period Adjustments Restatement, Income Statement [Abstract]
Income Tax Expense (Benefit)	$ (800,000)

XML

Concentrations (Tables)

3 Months Ended

Mar. 31, 2013

Risks and Uncertainties [Abstract]

Summary of percent of revenue, by product, accounting for more than 10% of sales

For the corresponding prior period, significant sales by product, as percentage of consolidated revenues, were as follows at the Resources segment:

	March 31, 2012
Lanthanum products	46	%
Neodymium and Praseodymium products	53	%

Schedules of Concentration of Risk by Customer Risk Factor

In the corresponding prior period, the Resources segment had the following significant sales by customer (in millions):

	March 31, 2012
Hitachi Metals Ltd.	$	20.4
W.R. Grace & Co.— Conn.	17.2

XML

Employee Benefit Plans Restructuring Charges (Details) (USD $)	3 Months Ended
	Mar. 31, 2013
Restructuring Cost and Reserve [Line Items]
Restructuring Reserve, Settled with Cash	$ 0
Selling, General and Administrative Expenses
Restructuring Cost and Reserve [Line Items]
Restructuring costs	$ 2,077,000

XML

Recent Accounting Pronouncements

3 Months Ended

Mar. 31, 2013

Accounting Changes and Error Corrections [Abstract]

Recent Accounting Pronouncements

Recent Accounting Pronouncements

In February 2013, the Financial Accounting Standard Board ("FASB") issued ASU 2013-02, Comprehensive Income (Topic 220), Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income. This update requires companies to report, in one place, information about reclassifications out of accumulated other comprehensive income ("AOCI"). Companies also are required to present reclassifications by component when reporting changes in AOCI balances. For significant items reclassified out of AOCI to net income in their entirety in the period, companies must report the effect of the reclassifications on the respective line items in the statement where net income is presented. In certain circumstances, this can be done on the face of that statement. Otherwise, it must be presented in the notes. For items not reclassified to net income in their entirety in the period (e.g., pension amounts that are capitalized in inventory), companies must cross-reference in a note to other required disclosures. This update was effective for public companies in fiscal years, and interim periods within those years, beginning after December 15, 2012. The adoption of this updated guidance did not have any impact on the Company's financial statements and related disclosures.

In July 2012, the FASB issued ASU 2012-02, Intangibles - Goodwill and Other (Topic 350), Testing Indefinite-Lived Intangible Assets for Impairment. In accordance with this update, an entity has the option first to assess qualitative factors to determine whether the existence of events and circumstances indicates that it is more likely than not that the indefinite-lived intangible asset is impaired. If, after assessing the totality of events and circumstances, an entity concludes that it is not more likely than not that the indefinite-lived intangible asset is impaired, then the entity is not required to take further action. However, if an entity concludes otherwise, then it is required to determine the fair value of the indefinite-lived intangible asset and perform the quantitative impairment test by comparing the fair value with the carrying amount and record an impairment charge, if any. This update was effective for annual and interim period impairment tests performed for fiscal years beginning after September 15, 2012. Early adoption was permitted. The adoption of this updated guidance did not have any impact on the Company's financial statements and related disclosures.

XML

Components of Net Periodic Pension Expense (Details) (USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2013
Components of net periodic benefit cost:
Service Cost	$ 0
Interest cost	80
Expected return on plan assets	(68)
Amortization of transition obligation/(asset)	0
Amortization of prior service cost	(1)
Amortization of actuarial loss	61
Net periodic benefit cost	72
Pension Plan
Components of net periodic benefit cost:
Service Cost	0
Interest cost	78
Expected return on plan assets	(68)
Amortization of transition obligation/(asset)	0
Amortization of prior service cost	0
Amortization of actuarial loss	63
Net periodic benefit cost	73
PBP
Components of net periodic benefit cost:
Service Cost	0
Interest cost	2
Expected return on plan assets	0
Amortization of transition obligation/(asset)	0
Amortization of prior service cost	(1)
Amortization of actuarial loss	(2)
Net periodic benefit cost	$ (1)

XML

Debt and Capital Lease Obligations Convertible notes other disclosures (Details) (USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2013		Mar. 31, 2012		Dec. 31, 2012
Debt Instrument [Line Items]
Capitalized interest	$ 120,900		$ 265,800
Convertible Debt | 3.25% Convertible Notes
Debt Instrument [Line Items]
Liability component	198,412	[1]			196,702	[1]
Equity component	36,251				36,251
Accretion of liability component	1,710		1,594
Interest cost	3,920	[2]	3,791	[2]
Capitalized interest	2,581		3,791
Convertible Debt | 6.00% Convertible Notes
Debt Instrument [Line Items]
Liability component	332,942	[1]			330,177	[1]
Equity component	68,695				68,695
Accretion of liability component	2,765
Interest cost	9,813	[2]
Capitalized interest	6,461
Convertible Debt | 5.50% Convertible Senior Notes due 2018
Debt Instrument [Line Items]
Liability component	144,357	[1]
Equity component	21,815
Accretion of liability component	573
Interest cost	2,297	[2]
Capitalized interest	$ 1,509

[1] The liability component is the difference between the net proceeds and the equity component of a convertible note that can be settled in a combination of cash and shares of stock at the election of the issuer. The equity component represents the conversion feature of a convertible note and is treated as original issue discount in addition to the underwriting discount. The liability component includes the periodic amortization of the additional discount.

[2] Interest cost includes the coupon interest, the accretion of the liability component, the accretion of the underwriting discount and the amortization of the issuance costs allocated to the liability component.

XML

Goodwill by Business Segment (Details) (USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2013	Dec. 31, 2012
Goodwill [Line Items]
Impairment of goodwill	$ (31,616)	$ (31,600)
Goodwill	239,742	239,742
Goodwill, Purchase Accounting Adjustments	31,616
Chemicals and Oxides
Goodwill [Line Items]
Impairment of goodwill	(16,132)
Goodwill	125,229
Goodwill, Purchase Accounting Adjustments	16,132
Magnetic Materials and Alloys
Goodwill [Line Items]
Impairment of goodwill	(16,716)
Goodwill	102,808
Goodwill, Purchase Accounting Adjustments	16,716
Rare Metals
Goodwill [Line Items]
Impairment of goodwill	1,232
Goodwill	11,705
Goodwill, Purchase Accounting Adjustments	$ (1,232)

XML

Condensed Consolidating Balance Sheet (Details) (USD $) In Thousands, unless otherwise specified	Jun. 30, 2013	Mar. 31, 2013	Dec. 31, 2012	Mar. 31, 2012	Dec. 31, 2011
Current assets:
Cash and cash equivalents	$ 264,200	$ 404,834	$ 227,790	$ 609,794	$ 418,855
Trade accounts receivable, net (Note 2)		63,147	52,430
Inventory		247,453	287,376
Deferred charges		6,110	9,412
Deferred tax assets		9,438	9,789
Income tax receivable		20,318	25,087
Prepaid expenses and other current assets		19,911	21,794
Total current assets		771,211	633,678
Non-current assets:
Deposits		26,639	26,769
Property, plant and equipment, net		1,645,374	1,544,304
Inventory		24,984	26,096
Intangible assets, net		441,677	450,938
Investments		64,407	64,036
Deferred tax assets		0	0
Goodwill		239,742	239,742
Investments in consolidated subsidiaries		0	0
Intercompany accounts receivable		0	0
Other non-current assets		9,264	6,972
Total non-current assets		2,452,087	2,358,857
Total assets		3,223,298	2,992,535	1,688,753
Current liabilities:
Trade accounts payable		136,862	241,994
Accrued expenses		65,457	59,013
Income tax payable		15,591	15,267
Deferred tax liabilities		0	0
Debt and capital lease obligations		28,788	39,604
Other current liabilities		4,589	3,539
Total current liabilities		251,287	359,417
Non-current liabilities:
Asset retirement obligation		17,572	18,586
Deferred tax liabilities		136,055	160,675
Debt and capital lease obligations		1,338,793	1,188,832
Derivative liability		7,028	7,816
Pension liabilities		3,338	3,292
Intercompany accounts payable		0	0
Other non-current liabilities		2,417	2,659
Total non-current liabilities		1,505,203	1,381,860
Total liabilities		1,756,490	1,741,277
Stockholders’ equity:
Common stock		189	139
Preferred stock		2	2
Additional paid-in capital		1,949,662	1,691,429
Accumulated other comprehensive loss		(12,727)	(9,433)
Deficit		(505,062)	(466,091)
Total Molycorp stockholders’ equity		1,432,064	1,216,046
Noncontrolling interests		34,744	35,212
Total stockholders’ equity		1,466,808	1,251,258
Total liabilities and stockholders’ equity		3,223,298	2,992,535
Parent
Current assets:
Cash and cash equivalents		251,218	16,560	592,899	407,446
Trade accounts receivable, net (Note 2)		0	0
Inventory		0	0
Deferred charges		0	0
Deferred tax assets		0	0
Income tax receivable		0	0
Prepaid expenses and other current assets		0	0
Total current assets		251,218	16,560
Non-current assets:
Deposits		1,753	1,752
Property, plant and equipment, net		0	0
Inventory		0	0
Intangible assets, net		0	0
Investments		0	0
Deferred tax assets		0	0
Goodwill		0	0
Investments in consolidated subsidiaries		813,729	860,390
Intercompany accounts receivable		1,713,039	1,577,466
Other non-current assets		0	0
Total non-current assets		2,528,521	2,439,608
Total assets		2,779,739	2,456,168
Current liabilities:
Trade accounts payable		0	0
Accrued expenses		27,683	14,872
Income tax payable		2,746	2,746
Deferred tax liabilities		0	0
Debt and capital lease obligations		0	0
Other current liabilities		0	0
Total current liabilities		30,429	17,618
Non-current liabilities:
Asset retirement obligation		0	0
Deferred tax liabilities		0	5,884
Debt and capital lease obligations		1,317,246	1,166,777
Derivative liability		0	0
Pension liabilities		0	0
Intercompany accounts payable		0	49,843
Other non-current liabilities		0	0
Total non-current liabilities		1,317,246	1,222,504
Total liabilities		1,347,675	1,240,122
Stockholders’ equity:
Common stock		189	139
Preferred stock		2	2
Additional paid-in capital		1,949,662	1,691,429
Accumulated other comprehensive loss		(12,727)	(9,433)
Deficit		(505,062)	(466,091)
Total Molycorp stockholders’ equity		1,432,064	1,216,046
Noncontrolling interests		0	0
Total stockholders’ equity		1,432,064	1,216,046
Total liabilities and stockholders’ equity		2,779,739	2,456,168
Guarantor Subsidiaries
Current assets:
Cash and cash equivalents		2,971	18,020	16,700	10,758
Trade accounts receivable, net (Note 2)		9,184	7,738
Inventory		51,000	49,416
Deferred charges		946	2,203
Deferred tax assets		0	0
Income tax receivable		20,347	25,087
Prepaid expenses and other current assets		7,879	9,085
Total current assets		92,327	111,549
Non-current assets:
Deposits		24,743	24,862
Property, plant and equipment, net		1,498,403	1,377,147
Inventory		24,984	26,096
Intangible assets, net		491	508
Investments		46,666	45,241
Deferred tax assets		10,980	0
Goodwill		0	0
Investments in consolidated subsidiaries		99,038	97,960
Intercompany accounts receivable		104,747	169,446
Other non-current assets		3,291	885
Total non-current assets		1,813,343	1,742,145
Total assets		1,905,670	1,853,694
Current liabilities:
Trade accounts payable		110,923	191,769
Accrued expenses		8,510	10,087
Income tax payable		16	0
Deferred tax liabilities		1,942	1,942
Debt and capital lease obligations		378	352
Other current liabilities		4,589	3,539
Total current liabilities		126,358	207,689
Non-current liabilities:
Asset retirement obligation		17,572	18,586
Deferred tax liabilities		1	8,470
Debt and capital lease obligations		15,059	15,163
Derivative liability		0	0
Pension liabilities		0	0
Intercompany accounts payable		1,753,926	1,577,363
Other non-current liabilities		1,153	1,102
Total non-current liabilities		1,787,711	1,620,684
Total liabilities		1,914,069	1,828,373
Stockholders’ equity:
Common stock		0	0
Preferred stock		0	0
Additional paid-in capital		149,857	149,857
Accumulated other comprehensive loss		0	0
Deficit		(158,256)	(124,536)
Total Molycorp stockholders’ equity		(8,399)	25,321
Noncontrolling interests		0	0
Total stockholders’ equity		(8,399)	25,321
Total liabilities and stockholders’ equity		1,905,670	1,853,694
Non-Guarantor Subsidiaries
Current assets:
Cash and cash equivalents		150,645	193,210	195	651
Trade accounts receivable, net (Note 2)		53,963	44,692
Inventory		196,453	237,960
Deferred charges		5,164	7,209
Deferred tax assets		11,380	11,731
Income tax receivable		0	0
Prepaid expenses and other current assets		12,032	12,709
Total current assets		429,637	507,511
Non-current assets:
Deposits		143	155
Property, plant and equipment, net		146,971	167,157
Inventory		0	0
Intangible assets, net		441,186	450,430
Investments		17,741	18,795
Deferred tax assets		0	0
Goodwill		239,742	239,742
Investments in consolidated subsidiaries		0	0
Intercompany accounts receivable		794	794
Other non-current assets		5,973	6,087
Total non-current assets		852,550	883,160
Total assets		1,282,187	1,390,671
Current liabilities:
Trade accounts payable		25,939	50,225
Accrued expenses		29,264	34,054
Income tax payable		15,604	15,267
Deferred tax liabilities		0	0
Debt and capital lease obligations		28,410	39,252
Other current liabilities		0	0
Total current liabilities		99,217	138,798
Non-current liabilities:
Asset retirement obligation		0	0
Deferred tax liabilities		144,288	143,575
Debt and capital lease obligations		6,488	6,892
Derivative liability		7,028	7,816
Pension liabilities		3,338	3,292
Intercompany accounts payable		64,654	120,500
Other non-current liabilities		1,264	1,557
Total non-current liabilities		227,060	283,632
Total liabilities		326,277	422,430
Stockholders’ equity:
Common stock		0	0
Preferred stock		0	0
Additional paid-in capital		1,283,863	1,283,863
Accumulated other comprehensive loss		(12,727)	(9,433)
Deficit		(349,970)	(341,401)
Total Molycorp stockholders’ equity		921,166	933,029
Noncontrolling interests		34,744	35,212
Total stockholders’ equity		955,910	968,241
Total liabilities and stockholders’ equity		1,282,187	1,390,671
Eliminations
Current assets:
Cash and cash equivalents		0	0	0	0
Trade accounts receivable, net (Note 2)		0	0
Inventory		0	0
Deferred charges		0	0
Deferred tax assets		(1,942)	(1,942)
Income tax receivable		(29)	0
Prepaid expenses and other current assets		0	0
Total current assets		(1,971)	(1,942)
Non-current assets:
Deposits		0	0
Property, plant and equipment, net		0	0
Inventory		0	0
Intangible assets, net		0	0
Investments		0
Deferred tax assets		(10,980)	0
Goodwill		0	0
Investments in consolidated subsidiaries		(912,767)	(958,350)
Intercompany accounts receivable		(1,818,580)	(1,747,706)
Other non-current assets		0	0
Total non-current assets		(2,742,327)	(2,706,056)
Total assets		(2,744,298)	(2,707,998)
Current liabilities:
Trade accounts payable		0	0
Accrued expenses		0	0
Income tax payable		(2,775)	(2,746)
Deferred tax liabilities		(1,942)	(1,942)
Debt and capital lease obligations		0	0
Other current liabilities		0	0
Total current liabilities		(4,717)	(4,688)
Non-current liabilities:
Asset retirement obligation		0	0
Deferred tax liabilities		(8,234)	2,746
Debt and capital lease obligations		0	0
Derivative liability		0	0
Pension liabilities		0	0
Intercompany accounts payable		(1,818,580)	(1,747,706)
Other non-current liabilities		0	0
Total non-current liabilities		(1,826,814)	(1,744,960)
Total liabilities		(1,831,531)	(1,749,648)
Stockholders’ equity:
Common stock		0	0
Preferred stock		0	0
Additional paid-in capital		(1,433,720)	(1,433,720)
Accumulated other comprehensive loss		12,727	9,433
Deficit		508,226	465,937
Total Molycorp stockholders’ equity		(912,767)	(958,350)
Noncontrolling interests		0	0
Total stockholders’ equity		(912,767)	(958,350)
Total liabilities and stockholders’ equity		$ (2,744,298)	$ (2,707,998)

XML

Accrued Expenses

3 Months Ended

Mar. 31, 2013

Payables and Accruals [Abstract]

Accrued Expenses

Accrued Expenses

Accrued expenses at March 31, 2013 and December 31, 2012 consisted of the following (in thousands):

	March 31, 2013		December 31, 2012
	As restated, Note 1A
Defined contribution plan	$	1,955	$	1,400
Professional fees	4,727		4,971
Accrued payroll and related benefits	6,399		7,532
Sales and use tax	1,827		7,187
Bonus accrual	4,049		3,503
Interest payable	28,065		15,253
Advance from customer	797		1,753
Withholding taxes	3,315		2,929
Amount payable to noncontrolling shareholder	9,737		9,640
Other accrued expenses	4,586		4,845
Total accrued expenses	$	65,457	$	59,013

XML

Mineral Properties, Development Costs and Exploration Rights

3 Months Ended

Mar. 31, 2013

Extractive Industries [Abstract]

Mineral Properties, Development Costs and Exploration Rights

Mineral Properties, Development Costs and Exploration Rights

Mineral properties and development costs, which are referred to collectively as mineral properties, include acquisition costs, drilling costs, and the cost of other development work, all of which are capitalized. The Company began depleting mineral properties in 2012 using the units of production method over estimated proven and probable reserves. For the three months ended March 31, 2013, the Company capitalized a nominal amount of depletion costs in work-in-process inventory related to the reserves that were mined and crushed during that period.

Exploration rights represent acquired rights to explore properties that are believed to potentially contain mineral deposits.

XML

Stockholders' Equity (Details) (USD $) In Thousands, except Share data, unless otherwise specified	3 Months Ended		1 Months Ended			0 Months Ended	3 Months Ended	10 Months Ended		0 Months Ended	3 Months Ended
	Mar. 31, 2013	Mar. 31, 2012	Jun. 30, 2012 MCP Exchangeco Inc.	Mar. 31, 2013 Convertible Debt 5.50% Convertible Senior Notes due 2018	Jan. 30, 2013 Convertible Debt 5.50% Convertible Senior Notes due 2018	Jan. 30, 2013 Common Stock	Mar. 31, 2013 Common Stock	Mar. 31, 2013 Common Stock	Dec. 31, 2012 Common Stock	Jan. 30, 2013 Common Stock Officers, Directors and Other Related Parties	Mar. 31, 2013 Series A Mandatory Convertible Preferred Stock
Stockholders' Equity
Shares outstanding							188,569,184	188,569,184	138,773,538		2,070,000
Dividend rate											5.50%
Cash dividend declared (in dollars per share)											$ 1.375
Cash dividend declared and paid	$ 2,846	$ 2,846									$ 2,800
Stock issued during the period, shares						37,500,000
Offering price per share (in dollars per share)						$ 6
Shares issued for underwriters option to purchase within 30 days						5,625,000
Underwriters' offering price per share (in dollars per share)						$ 6
Shares issued for underwriter's fees						6.00%
Shares issued for purchased by related parties										15,016,666
Net proceeds from sale of common stock	$ 248,147	$ 0				$ 248,600
Interest rate				5.50%	5.50%
Owner-share lending aggreement shares offered in registered public offering						7,666,666
Number of borrowed shares						6,666,666
Own-share Lending Arrangement, Shares, Issued, Offered in Registered Public Offering, Price Per Share						$ 6
Common stock issued to acquire the entity (in shares)			507,203
Exchangeable shares converted							10,476	350,672

XML

Income Taxes

3 Months Ended

Mar. 31, 2013

Income Tax Disclosure [Abstract]

Income Taxes

Income Taxes - As restated, Note 1A

The Company's net loss before income taxes and equity earnings of $57.6 million for the three months ended March 31, 2013 contained no material permanent differences between income for financial reporting and tax purposes. The Company had net deferred income tax liabilities of $126.6 million at March 31, 2013 primarily related to the acquisition of Molycorp Canada.

At March 31, 2013, Molycorp determined that a valuation allowance of $22.7 million was required. In making this determination, management analyzed, among other things, the Company's recent history of earnings and cash flows, forecasts of future earnings, and the nature and timing of future deductions and benefits represented by the deferred tax assets and liabilities.

The Company has undistributed earnings of certain foreign subsidiaries at March 31, 2013, for which deferred taxes of $24.9 million have been provided. Also, it had undistributed earnings of certain foreign subsidiaries at March 31, 2013, for which deferred taxes have not been provided. Such earnings are considered indefinitely invested in the foreign subsidiaries. If such earnings were repatriated, additional tax expense may result, although the calculation of such additional taxes is not practicable.

The net tax effect of the elimination in consolidation of intercompany balances and transactions resulted in a deferred charge and income tax payable of $6.1 million at March 31, 2013.

Each quarter, the Company evaluates the liability for uncertain tax positions and, at March 31, 2013, had a $6.2 million unrecognized tax benefit. As a result of the statute of limitations that expire in the next 12 months in various jurisdictions, and possible settlements of audit-related issues with taxing authorities in various jurisdictions, the Company believes that it is reasonably possible that the total amount of its net unrecognized income tax benefits will decrease by approximately $4.0 million to $6.0 million in the next 12 months and, if recognized, would affect the Company's effective income tax rate.

As a result of a change in the applicable withholding tax rate related to the unremitted earnings of a certain foreign subsidiary, $2.9 million of deferred tax liabilities have decreased. This decrease has been recorded as a discrete income tax benefit in the first quarter of 2013. In addition, as a result of the American Taxpayer Relief Act which was signed into law on January 2, 2013, $5.8 million of deferred tax liabilities related to the earnings of certain foreign subsidiaries have decreased. These decreases have been recorded as a discrete income tax benefit in the first quarter of 2013.

XML

Asset Retirement Obligation

3 Months Ended

Mar. 31, 2013

Asset Retirement Obligation Disclosure [Abstract]

Asset Retirement Obligation

Asset Retirement Obligation

The following table presents the activity in the Company’s asset retirement obligation for the three months ended March 31, 2013 and the year ended December 31, 2012 (in thousands):

	Three Months Ended March 31, 2013			Year Ended December 31, 2012
Balance at beginning of period	$	22,125		$	15,541
Obligations settled	(308		)	(2,954		)
Accretion expense	344			1,299
Revisions in estimated cash flows	—			7,872
Loss on settlement	—			367
Balance at end of period	$	22,161		$	22,125

The balances above for the three months ended March 31, 2013 and the year ended December 31, 2012 include a short-term portion of $4.6 million and $3.5 million, respectively, which were recorded under other current liabilities.

During 2012, the Company increased its projected asset retirement obligation cash flows by approximately $7.9 million, of which $3.8 million related to the addition of new processing facilities at its Molycorp Mountain Pass facility and $4.1 million related to revised estimates for the demolition and reclamation of the old mill and mineral recovery areas at the same facility.

The Company is required to provide the applicable governmental agencies with financial assurances relating to its closure and reclamation obligations. At March 31, 2013, the Company had financial assurance requirements of $28.8 million, which were satisfied with surety bonds placed with California state and regional agencies.

XML

Document and Entity Information	3 Months Ended
	Mar. 31, 2013	May 08, 2013
Document and Entity Information [Abstract]
Entity Registrant Name	Molycorp, Inc.
Entity Central Index Key	0001489137
Document Type	10-Q/A
Document Period End Date	Mar. 31, 2013
Amendment Flag	true
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		188,572,122
Document Fiscal Year Focus	2013
Document Fiscal Period Focus	Q1
Amendment Description	Correction of a) an error with respect to the reconciliation of physical inventory to the general ledger, and b) an error with respect to the accrual of certain severance charges.

XML

Condensed Consolidating Statement of Operations and Comprehensive Income (Details) (USD $)	3 Months Ended
	Mar. 31, 2013	Mar. 31, 2012
Condensed Financial Statements, Captions [Line Items]
Revenues	$ 146,367,000	$ 84,470,000
Costs of sales:
Costs excluding depreciation and amortization	(136,594,000)	(50,070,000)
Depreciation and amortization	(14,309,000)	(3,373,000)
Gross (loss) profit	(4,536,000)	31,027,000
Operating expenses:
Selling, general and administrative	(26,514,000)	(24,183,000)
Corporate development	(115,000)	(3,381,000)
Depreciation, amortization and accretion	(8,223,000)	(358,000)
Research and development	(6,405,000)	(3,650,000)
Operating loss	(45,793,000)	(545,000)
Other (expense) income:
Other income (expense)	260,000	(6,578,000)
Foreign exchange (loss) gain, net	(389,000)	1,604,000
Interest (expense) income, net of capitalized interest	(11,649,000)	85,000
Interest income (expense) from intercompany notes	0	0
Equity (loss) earnings from consolidated subsidiaries	0	0
Total other expense	(11,778,000)	(4,889,000)
Loss before income taxes and equity earnings	(57,571,000)	(5,434,000)
Income tax benefit	22,490,000	2,183,000
Equity in results of affiliates	(3,072,000)	(227,000)
Net loss	(38,153,000)	(3,478,000)
Net income attributable to noncontrolling interest	(818,000)	0
Net loss attributable to Molycorp stockholders	(38,971,000)	(3,478,000)
Other comprehensive income:
Foreign currency translation adjustments	(3,294,000)	2,530,000
Comprehensive loss	(41,447,000)	(948,000)
Comprehensive loss attributable to:
Molycorp stockholders	(40,629,000)	(948,000)
Noncontrolling interest	(818,000)	0
Parent
Condensed Financial Statements, Captions [Line Items]
Revenues	0	0
Costs of sales:
Costs excluding depreciation and amortization	0	0
Depreciation and amortization	0	0
Gross (loss) profit	0	0
Operating expenses:
Selling, general and administrative	0	37,000
Corporate development	0	(17,000)
Depreciation, amortization and accretion	0	0
Research and development	0	0
Operating loss	0	20,000
Other (expense) income:
Other income (expense)	0	(6,578,000)
Foreign exchange (loss) gain, net	0	0
Interest (expense) income, net of capitalized interest	(11,139,000)	129,000
Interest income (expense) from intercompany notes	9,651,000	0
Equity (loss) earnings from consolidated subsidiaries	(43,367,000)	1,642,000
Total other expense	(44,855,000)	(4,807,000)
Loss before income taxes and equity earnings	(44,855,000)	(4,787,000)
Income tax benefit	5,884,000	1,309,000
Equity in results of affiliates	0	0
Net loss	(38,971,000)	(3,478,000)
Net income attributable to noncontrolling interest	0
Net loss attributable to Molycorp stockholders	(38,971,000)
Other comprehensive income:
Foreign currency translation adjustments	0	0
Comprehensive loss	(38,971,000)	(3,478,000)
Comprehensive loss attributable to:
Molycorp stockholders	(38,971,000)
Noncontrolling interest	0
Guarantor Subsidiaries
Condensed Financial Statements, Captions [Line Items]
Revenues	21,609,000	65,266,000
Costs of sales:
Costs excluding depreciation and amortization	(45,329,000)	(29,123,000)
Depreciation and amortization	(7,430,000)	(1,856,000)
Gross (loss) profit	(31,150,000)	34,287,000
Operating expenses:
Selling, general and administrative	(16,901,000)	(22,697,000)
Corporate development	(115,000)	(3,364,000)
Depreciation, amortization and accretion	(1,709,000)	(334,000)
Research and development	(1,960,000)	(3,571,000)
Operating loss	(51,835,000)	4,321,000
Other (expense) income:
Other income (expense)	0	0
Foreign exchange (loss) gain, net	0	1,000
Interest (expense) income, net of capitalized interest	(2,060,000)	(1,000)
Interest income (expense) from intercompany notes	1,644,000	98,000
Equity (loss) earnings from consolidated subsidiaries	1,078,000	(10,677,000)
Total other expense	662,000	(10,579,000)
Loss before income taxes and equity earnings	(51,173,000)	(6,258,000)
Income tax benefit	19,450,000	874,000
Equity in results of affiliates	(1,998,000)	(227,000)
Net loss	(33,721,000)	(5,611,000)
Net income attributable to noncontrolling interest	0
Net loss attributable to Molycorp stockholders	(33,721,000)
Other comprehensive income:
Foreign currency translation adjustments	0	0
Comprehensive loss	(33,721,000)	(5,611,000)
Comprehensive loss attributable to:
Molycorp stockholders	(33,721,000)
Noncontrolling interest	0
Non-Guarantor Subsidiaries
Condensed Financial Statements, Captions [Line Items]
Revenues	135,116,000	24,246,000
Costs of sales:
Costs excluding depreciation and amortization	(101,623,000)	(25,989,000)
Depreciation and amortization	(6,879,000)	(1,517,000)
Gross (loss) profit	26,614,000	(3,260,000)
Operating expenses:
Selling, general and administrative	(9,613,000)	(1,523,000)
Corporate development	0	0
Depreciation, amortization and accretion	(6,514,000)	(24,000)
Research and development	(4,445,000)	(79,000)
Operating loss	6,042,000	(4,886,000)
Other (expense) income:
Other income (expense)	260,000	0
Foreign exchange (loss) gain, net	(389,000)	1,603,000
Interest (expense) income, net of capitalized interest	1,550,000	(43,000)
Interest income (expense) from intercompany notes	(11,295,000)	(98,000)
Equity (loss) earnings from consolidated subsidiaries	0	0
Total other expense	(9,874,000)	1,462,000
Loss before income taxes and equity earnings	(3,832,000)	(3,424,000)
Income tax benefit	(2,844,000)	0
Equity in results of affiliates	(1,074,000)	0
Net loss	(7,750,000)	(3,424,000)
Net income attributable to noncontrolling interest	(818,000)
Net loss attributable to Molycorp stockholders	(8,568,000)
Other comprehensive income:
Foreign currency translation adjustments	(3,294,000)	2,530,000
Comprehensive loss	(11,044,000)	(894,000)
Comprehensive loss attributable to:
Molycorp stockholders	(10,226,000)
Noncontrolling interest	(818,000)
Eliminations
Condensed Financial Statements, Captions [Line Items]
Revenues	(10,358,000)	(5,042,000)
Costs of sales:
Costs excluding depreciation and amortization	10,358,000	5,042,000
Depreciation and amortization	0	0
Gross (loss) profit	0	0
Operating expenses:
Selling, general and administrative	0	0
Corporate development	0	0
Depreciation, amortization and accretion	0	0
Research and development	0	0
Operating loss	0	0
Other (expense) income:
Other income (expense)	0	0
Foreign exchange (loss) gain, net	0	0
Interest (expense) income, net of capitalized interest	0	0
Interest income (expense) from intercompany notes	0	0
Equity (loss) earnings from consolidated subsidiaries	42,289,000	9,035,000
Total other expense	42,289,000	9,035,000
Loss before income taxes and equity earnings	42,289,000	9,035,000
Income tax benefit
Equity in results of affiliates
Net loss	42,289,000	9,035,000
Net income attributable to noncontrolling interest	0
Net loss attributable to Molycorp stockholders	42,289,000
Other comprehensive income:
Foreign currency translation adjustments
Comprehensive loss	42,289,000	9,035,000
Comprehensive loss attributable to:
Molycorp stockholders	42,289,000
Noncontrolling interest	$ 0

XML

Debt and Capital Lease Obligations

3 Months Ended

Mar. 31, 2013

Debt Disclosure [Abstract]

Debt and Capital Lease Obligations

Debt and Capital Lease Obligations

The following table provides a summary of the current and non-current portions of Molycorp's debt outstanding at March 31, 2013 and December 31, 2012 (in thousands):

	March 31, 2013				December 31, 2012
	Current		Non-Current		Current		Non-Current
Bank loans due April 2013 - September 2017	$	28,410	$	3,714	$	39,252	$	4,118
3.25% Convertible Notes, net of discount, due June 2016	—		200,734		—		198,689
6.00% Convertible Notes, net of discount, due June 2017	—		335,532		—		331,977
5.00% Debentures, net of discount, due December 2017	—		2,774		—		2,774
5.50% Convertible Notes, net of discount, due February 2018	—		144,549		—		—
10% Senior Secured Notes, net of discount, due June 2020	—		636,431		—		636,111
Total debt	28,410		1,323,734		39,252		1,173,669
Capital lease obligations	378		15,059		352		15,163
Total debt and capital lease obligations	$	28,788	$	1,338,793	$	39,604	$	1,188,832

Scheduled minimum debt repayments, excluding capital lease obligations, are $28.2 million for the remainder of 2013, $1.5 million in 2014, $1.5 million in 2015, $230.8 million in 2016, $417.2 million in 2017 and $823.0 million thereafter.

Future minimum capital lease payments were approximately $47.0 million at March 31, 2013, in the aggregate, and will be $5.1 million in 2013 and in each of the four succeeding fiscal years, and $21.6 million thereafter.

Weighted average interest rate on the bank loans was 4.26% and 3.57% at March 31, 2013 and December 31, 2012, respectively.

Additional detail on the convertible debt instruments that may be settled entirely or partially in cash upon conversion in a manner that reflects the issuer's economic interest cost is as follows (in thousands):

	3.25% Convertible Notes				6.00% Convertible Notes				5.50% Convertible Notes
	At March 31, 2013		At December 31, 2012		At March 31, 2013		At December 31, 2012		At March 31, 2013		At December 31, 2012
Liability component (a)	$	198,412	$	196,702	$	332,942	$	330,177	$	144,357	n/a
Equity component	$	36,251	$	36,251	$	68,695	$	68,695	$	21,815	n/a
	Three Months Ended March 31, 2013		Three Months Ended March 31, 2012		Three Months Ended March 31, 2013		Three Months Ended March 31, 2012		Three Months Ended March 31, 2013		Three Months Ended March 31, 2012
Accretion of liability component	$	1,710	$	1,594	$	2,765	n/a		$	573	n/a
Interest cost (b)	$	3,920	$	3,791	$	9,813	n/a		$	2,297	n/a
Capitalized interest	$	2,581	$	3,791	$	6,461	n/a		$	1,509	n/a
(a) The liability component is the difference between the net proceeds and the equity component of a convertible note that can be settled in a combination of cash and shares of stock at the election of the issuer. The equity component represents the conversion feature of a convertible note and is treated as original issue discount in addition to the underwriting discount. The liability component includes the periodic amortization of the additional discount.
(b) Interest cost includes the coupon interest, the accretion of the liability component, the accretion of the underwriting discount and the amortization of the issuance costs allocated to the liability component.

Debt Issuance First Quarter 2013

On January 30, 2013, the Company issued $150.0 million aggregate principal amount of its 5.50% Convertible Senior Notes due 2018 (the “5.50% Convertible Notes”) in a registered public offering. Certain officers, directors and other related parties of the Company purchased $20.5 million of this aggregate principal amount. On March 1, 2013, the underwriters of such offering purchased an additional $22.5 million aggregate principal amount of the 5.50% Convertible Notes. After deducting the underwriting discounts and commissions, total net proceeds from the issuance of the 5.50% Convertible Notes were $165.6 million.

The 5.50% Convertible Notes are Molycorp's senior unsecured obligations and pay a 5.50% interest semi-annually in arrears on February 1 and August 1 of each year, commencing on August 1, 2013. The 5.50% Convertible Notes are convertible at any time into shares of Molycorp's common stock, cash, or a combination thereof, at Molycorp's election. The conversion rate will initially be 138.8889 shares of Molycorp common stock per $1,000 principal amount of notes (equivalent to an initial conversion price of approximately $7.20 per share of Molycorp's common stock), subject to customary adjustments. The 5.50% Convertible Notes will mature on February 1, 2018, unless earlier repurchased, redeemed or converted in accordance with their terms prior to that date. Molycorp will have the right to redeem the 5.50% Convertible Notes on or after February 1, 2016 if the last reported sale price of its common stock has been at least 130% of the conversion price then in effect for at least 20 trading days (whether or not consecutive) during any 30 consecutive trading day period. The 5.50% Convertible Notes rank equal in right of payment to existing and future liabilities that are not expressly subordinated to the 5.50% Convertible Notes, and rank effectively junior to Molycorp's existing and future secured indebtedness.

The Company separately accounts for the liability and equity components of convertible debt instruments, such as the 5.50% Convertible Notes, that may be settled entirely or partially in cash upon conversion in a manner that reflects the issuer's economic interest cost. The additional discount on the liability component is amortized to interest cost over the term of the 5.50% Convertible Notes. The equity component of the 5.50% Convertible Notes is included in the additional paid-in capital section of the statement of stockholders' equity and is treated as original issue discount for purposes of accounting for the liability component. Details on the liability and equity component, accretion of liability component and interest cost of the 5.50% Convertible Notes are disclosed in the table above.

Senior Secured Obligations

The 10% Senior Secured Notes due 2020 ("Senior Notes") are senior secured obligations of Molycorp and are guaranteed by certain of Molycorp’s domestic subsidiaries ("Guarantors"). The Senior Notes are secured by a first-priority security interest on substantially all of the property and assets of the Company and the Guarantors, subject to some exceptions for certain "Excluded Assets," such as:

• Leasehold interests in real property;

• Certain capital leases that constitute permitted liens;

• Certain motor vehicles;

• Assets owned by foreign subsidiaries or, subject to certain limitations, MMA;

• Assets with a fair market value of less than $15.0 million as to which the board of directors determine in good faith (and certify to the collateral agent) that the costs of obtaining or perfecting such security interest are excessive in relation to the practical benefit to the holder of the Notes of the security afforded thereby (based on the value of such asset);

• Cash collateral for letters of credit or hedging obligations (up to 105% of the underlying obligations);

• Certain deposit accounts;

• The equity interests of immaterial subsidiaries and, subject to certain limitations, MMA;

• Voting stock of foreign subsidiaries in excess of 65.0% of the voting stock; and

• Other pledges of stock of a guarantor to the extent that Rule 3-16 of Regulation S-X under the Securities Act would require the filing of separate financial statements of such guarantor.

XML

Investments (Details) (USD $)	0 Months Ended	3 Months Ended				3 Months Ended		12 Months Ended	3 Months Ended
	Sep. 13, 2011	Mar. 31, 2013	Mar. 31, 2012	Jun. 12, 2012 Atlantic Metals	Jun. 12, 2012 Vive Crop Protection	Mar. 31, 2013 Intermetallics Japan	Mar. 31, 2012 Intermetallics Japan	Jan. 08, 2013 Intermetallics Japan	Mar. 31, 2013 Keli	Jun. 12, 2012 Keli	Jun. 12, 2012 TMT	Jun. 12, 2012 Ingal Stade	Jan. 31, 2012 Molycorp Intermetallics Japan	Jan. 31, 2012 Daido Steel Co. Ltd Intermetallics Japan	Jan. 31, 2012 Mitsubishi Corporation Intermetallics Japan
Intermetallics Japan - IMJ
Investment in Boulder Wind Power's Series B convertible preferred stock	$ 20,000,000
Capital contribution ratio (as a percent)													30.00%	35.50%	34.50%
Capital contribution		3,423,000	3,836,000			3,400,000		31,100,000
Loss from the entity's proportional ownership in joint venture		3,072,000	227,000			(2,000,000)	200,000		1,000,000
Ownership in Subsidiary (as a percent)				19.50%	7.00%					25.00%	33.00%	50.00%
Fair Value of the Equity Investment of a Business Acquisition				$ 1,400,000	$ 900,000					$ 12,200,000	$ 1,600,000	$ 4,900,000

XML

Intangible Asset Rollforward (Details) (USD $)	3 Months Ended
	Mar. 31, 2013	Dec. 31, 2012
Finite-Lived and Indefinite-lived Intangible Assets [Roll Forward]
At period start	$ 479,900,000
Foreign currency translation adjustment	(90,000)
At period end	479,810,000
At period start	28,962,000
Adjustments	(873,000)
Amortization	10,044,000
At period end	38,133,000
Net book value	441,677,000	450,938,000
Trade names
Finite-Lived and Indefinite-lived Intangible Assets [Roll Forward]
Indefinite-lived intangible assets	14,800,000
Trade names
Finite-Lived and Indefinite-lived Intangible Assets [Roll Forward]
At period end	15,586,000
Net book value	15,291,000
Customer relationships
Finite-Lived and Indefinite-lived Intangible Assets [Roll Forward]
At period start	344,774,000
Foreign currency translation adjustment	(90,000)
At period end	344,684,000
At period start	14,095,000
Adjustments	0
Amortization	4,888,000
At period end	18,983,000
Net book value	325,701,000
Rare earth quotas
Finite-Lived and Indefinite-lived Intangible Assets [Roll Forward]
At period start	78,300,000
Foreign currency translation adjustment	0
At period end	78,300,000
At period start	4,035,000
Adjustments	0
Amortization	1,679,000
At period end	5,714,000
Net book value	72,586,000
Patents
Finite-Lived and Indefinite-lived Intangible Assets [Roll Forward]
At period start	33,252,000
Foreign currency translation adjustment	0
At period end	33,252,000
At period start	9,365,000
Adjustments	0
Amortization	3,285,000
At period end	12,650,000
Net book value	20,602,000
Trade names
Finite-Lived and Indefinite-lived Intangible Assets [Roll Forward]
At period start	15,586,000
Foreign currency translation adjustment	0
At period start	1,152,000
Adjustments	(873,000)
Amortization	16,000
At period end	295,000
Land use rights
Finite-Lived and Indefinite-lived Intangible Assets [Roll Forward]
At period start	3,568,000
Foreign currency translation adjustment	0
At period end	3,568,000
At period start	66,000
Adjustments	0
Amortization	22,000
At period end	88,000
Net book value	3,480,000
Other
Finite-Lived and Indefinite-lived Intangible Assets [Roll Forward]
At period start	4,420,000
Foreign currency translation adjustment	0
At period end	4,420,000
At period start	249,000
Adjustments	0
Amortization	154,000
At period end	403,000
Net book value	$ 4,017,000

XML

Condensed Consolidating Statements of Cash Flows (Details) (USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2013	Mar. 31, 2012
Condensed Financial Statements, Captions [Line Items]
Net cash (used in) provided by operating activities	$ (36,628)	$ 16,027
Cash flows from investing activities:
Loans to subsidiaries	0
Intercompany advances made	0	0
Loans to non-guarantor	0	0
Repayments of notes receivable from non-guarantor	0
Investment in joint ventures	(3,423)	(3,836)
Deposits	0	(459)
Capital expenditures	(181,103)	(206,463)
Other investing activities	(90)	2
Net cash used in investing activities	(184,616)	(210,756)
Cash flows from financing activities:
Capital contributions	0	390,225
Repayments of short-term borrowings—related party	0	(870)
Repayments of debt	(11,108)	(777)
Net proceeds from sale of common stock	248,147	0
Issuance of 5.50% Convertible Notes	165,600	0
Payments of preferred dividends	(2,846)	(2,846)
Dividend paid to noncontrolling interests	(1,286)	0
Borrowings from non-guarantor	0
Borrowing from guarantor	0	0
Intercompany advances owed	0	0
Other financing activities	(79)	(132)
Net cash provided by financing activities	398,428	385,600
Effect of exchange rate changes on cash	(140)	68
Net change in cash and cash equivalents	177,044	190,939
Cash and cash equivalents at beginning of the period	227,790	418,855
Cash and cash equivalents at end of period	404,834	609,794
Parent
Condensed Financial Statements, Captions [Line Items]
Net cash (used in) provided by operating activities	17,211	(3,250)
Cash flows from investing activities:
Loans to subsidiaries	0
Intercompany advances made	(193,454)	(198,544)
Loans to non-guarantor	0	0
Repayments of notes receivable from non-guarantor	0
Investment in joint ventures	0	0
Deposits		0
Capital expenditures	0	0
Other investing activities	0	0
Net cash used in investing activities	(193,454)	(198,544)
Cash flows from financing activities:
Capital contributions		390,225
Repayments of short-term borrowings—related party		0
Repayments of debt	0	0
Net proceeds from sale of common stock	248,147
Issuance of 5.50% Convertible Notes	165,600
Payments of preferred dividends	(2,846)	(2,846)
Dividend paid to noncontrolling interests	0
Borrowings from non-guarantor	0
Borrowing from guarantor	0	0
Intercompany advances owed	0	0
Other financing activities	0	(132)
Net cash provided by financing activities	410,901	387,247
Effect of exchange rate changes on cash	0	0
Net change in cash and cash equivalents	234,658	185,453
Cash and cash equivalents at beginning of the period	16,560	407,446
Cash and cash equivalents at end of period	251,218	592,899
Guarantor Subsidiaries
Condensed Financial Statements, Captions [Line Items]
Net cash (used in) provided by operating activities	(58,035)	30,777
Cash flows from investing activities:
Loans to subsidiaries	0
Intercompany advances made	0	0
Loans to non-guarantor	(1,300)	(5,200)
Repayments of notes receivable from non-guarantor	0
Investment in joint ventures	(3,423)	(3,836)
Deposits		(459)
Capital expenditures	(174,703)	(204,276)
Other investing activities	0	0
Net cash used in investing activities	(179,426)	(213,771)
Cash flows from financing activities:
Capital contributions		0
Repayments of short-term borrowings—related party		(870)
Repayments of debt	0	0
Net proceeds from sale of common stock	0
Issuance of 5.50% Convertible Notes	0
Payments of preferred dividends	0	0
Dividend paid to noncontrolling interests	0
Borrowings from non-guarantor	40,000
Borrowing from guarantor	0	0
Intercompany advances owed	182,491	189,806
Other financing activities	(79)	0
Net cash provided by financing activities	222,412	188,936
Effect of exchange rate changes on cash	0	0
Net change in cash and cash equivalents	(15,049)	5,942
Cash and cash equivalents at beginning of the period	18,020	10,758
Cash and cash equivalents at end of period	2,971	16,700
Non-Guarantor Subsidiaries
Condensed Financial Statements, Captions [Line Items]
Net cash (used in) provided by operating activities	4,196	(11,500)
Cash flows from investing activities:
Loans to subsidiaries	(40,000)
Intercompany advances made	0	0
Loans to non-guarantor	0	0
Repayments of notes receivable from non-guarantor	0
Investment in joint ventures	0	0
Deposits		0
Capital expenditures	(6,400)	(2,187)
Other investing activities	(90)	2
Net cash used in investing activities	(46,490)	(2,185)
Cash flows from financing activities:
Capital contributions		0
Repayments of short-term borrowings—related party		0
Repayments of debt	(11,108)	(777)
Net proceeds from sale of common stock	0
Issuance of 5.50% Convertible Notes	0
Payments of preferred dividends	0	0
Dividend paid to noncontrolling interests	(1,286)
Borrowings from non-guarantor	0
Borrowing from guarantor	1,300	5,200
Intercompany advances owed	10,963	8,738
Other financing activities	0	0
Net cash provided by financing activities	(131)	13,161
Effect of exchange rate changes on cash	(140)	68
Net change in cash and cash equivalents	(42,565)	(456)
Cash and cash equivalents at beginning of the period	193,210	651
Cash and cash equivalents at end of period	150,645	195
Eliminations
Condensed Financial Statements, Captions [Line Items]
Net cash (used in) provided by operating activities	0	0
Cash flows from investing activities:
Loans to subsidiaries	40,000
Intercompany advances made	193,454	198,544
Loans to non-guarantor	1,300	5,200
Repayments of notes receivable from non-guarantor	0
Investment in joint ventures	0	0
Deposits		0
Capital expenditures	0	0
Other investing activities	0	0
Net cash used in investing activities	234,754	203,744
Cash flows from financing activities:
Capital contributions		0
Repayments of short-term borrowings—related party		0
Repayments of debt	0	0
Net proceeds from sale of common stock	0
Issuance of 5.50% Convertible Notes	0
Payments of preferred dividends	0	0
Dividend paid to noncontrolling interests	0
Borrowings from non-guarantor	(40,000)
Borrowing from guarantor	(1,300)	(5,200)
Intercompany advances owed	(193,454)	(198,544)
Other financing activities	0	0
Net cash provided by financing activities	(234,754)	(203,744)
Effect of exchange rate changes on cash	0	0
Net change in cash and cash equivalents	0	0
Cash and cash equivalents at beginning of the period	0	0
Cash and cash equivalents at end of period	$ 0	$ 0