A tiny $8 million company that has discovered $5 billion of uranium where no one else was looking.
This is not only a fascinating story, it’s one of the most promising investments I can think of.
It’s a small mining outfit that is literally turning trash into treasure. I think this company is going to make a killing. Here’s why…
It has discovered an ingenious way to extract uranium from coal ash.
I didn’t even know this myself, but coal contains trace amounts of uranium. About 50 parts per million. The uranium stays in the ash after the coal is burned.
This tiny Canadian outfit claims it can extract uranium from coal ash for $35 a pound. The spot price of uranium is about $45 a pound.
So we’re looking at a fat $10 per pound profit.
Not only does it have a patented extraction process, it also has a customer: China. It has signed a deal with the China National Nuclear Corporation to extract uranium from a coal dump.
And let’s be clear: China doesn’t care what the uranium costs, only that it has access to it. China has 21 new nuclear power plants under construction. And they won’t produce a single watt without uranium.
Luckily for China, it has 2.7 billion tons of coal ash. Which means they are sitting on $5 billion of uranium that only this company can extract for them.
At a 22% profit margin of $10 per pound, that’s $1.1 billion in profits. You don’t think that will make this penny stock take off like a rocket?
The nice thing about this pick is that it already has a solid gold mining business. So that takes a lot of the risk out of this small stock. Its uranium recovery project is a bonus.
I think this stock has “10 to 1” written all over it. It’s a true swing-for-the-fences play.
It’s trading at just under 10 cents a share. At that price you can buy a ton of the stock and have some fun.
So why not take a flyer and buy 50,000 shares?
As soon as this technology is put into the field, you’re going to see a lot of interest in this stock. If that happens, look out. You could get a split and see your 50,000 shares turn into 100,000.
Source: Andy Obermueller, Chief Investment Strategist of Fast-Track Millionaire
More details here: My Own Portfolio
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