Molycorp Minerals operates "one of the world's richest sources of elements that are used in the production of powerful magnets for precision-guided missiles and smart bombs, handheld communication devices," notes Politico. The firm happens to be part owned by Goldman Sachs (GS) and two private equity firms.

It's now in line to get a $3 million earmark, which was inserted into a bill by a California representative. He says the national security concerns are legitimate and warrant government aid, but there are plenty of critics, who generally argue the firm is a well-financed for-profit concern that doesn't need government backing.

If it did need government backing, there are other avenues for such aid. It depends in part, I would think, on what the government will get for its investment--guaranteed supply?

For more:
- here's the article

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