Two Stocks Set to Change the Face of Africa
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$9 billion of investment is arriving into the country. Infrastructure is being revamped, replaced and created. Miners are moving in… and hundreds of billions of dollars are going to be made by early investors. I’m revealing the two plays I think can make you the most money… but only if you get your hands on them right now…
On Friday I issued details to my readers of what I believe is the single best investment in the African country’s mining industry. The very next day, came a clear sign that the scramble for the Congo’s riches is speeding-up. On Saturday, leading Chinese mining company, Western Mining, announced that it is looking for bidders to buy stakes in three copper and cobalt projects in the country.
This is all part of the rapid development of the Congo’s mining industry that we are now seeing. In the last two years, the African giant has gone from being one of the most god-forsaken places on earth to the latest hot spot for global miners. And my latest tip puts us right at the forefront of that.
Western Mining is China’s second-biggest producer of lead concentrate. It is part of the stampede of Chinese companies into Congo’s mining industry that I’ve been talking about for the last few months. China is investing more than $9 billion in the Congo, as part of its plan to win access to the country’s copper and cobalt mines.
Western Mining hasn’t given much detail on what’s on offer just yet, but you can almost bet that it’s going to be a major project. This is a big company - its’ got a market capitalisation of about $5 billion… so the fact that they’re looking for outside investment tells me that something big is up. I’ll give you further details as they emerge.
Not all the Chinese investment we’ve seen in Congo’s mining industry so far has been large scale.
Hong Kong housewives make their marks…
Small-scale Chinese entrepreneurs have been active in the Congo for several years now. They’ve taken over the city’s old colonial villas that were abandoned by the old white mining executives who fled the country during the Shaba uprisings in the 70’s.
Chinese middlemen have been buying ore from the wildcat miners in Katanga province and selling it on to processing plants.
And they’re in the metals processing business as well. Of the 50-odd metal smelting plants around Lubumbashi, one of the most exciting mining areas, about half of them are owned by Chinese businessmen. Most of these are small-scale operations though.
And when I say small-scale, that’s exactly what I mean. Some of them are just ramshackle clumps of shacks with corrugated-iron roofs and belching chimneys (I’d love to hear what our local elf’n’safety mafia have to say about them.) The owners of these operations are a colourful lot…an entrepreneur from Shanghai, a couple of ladies from Hong Kong…
This been the weakest link in Congo’s mining industry so far. The country has huge mineral reserves, but as the country went to the dogs in the final years of Joseph Mobutu’s rule, almost all the mining stopped. Now that the mining has resumed, the country has been hamstrung by a lack of refining capacity. But all that is about to change.
Today, the International Copper Study Group (ICSG) released a report on its predictions for the global copper industry over the next five years. Here’s the most interesting part of the report, as far as I was concerned: the ICSG estimates that global copper refining capacity will reach 25.6 million tons in 2012, up from 21.5 million tons in 2007. About half of that rise is going to come from China and Congo.
Of course, our mining investment has already got a large-scale on-site copper and cobalt processing facilities, which gives the company a huge advantage over its rivals.
What the ICSG report drives home though, is that the Congo is on its way to claiming its place as a big beast in the global metals industry.
And my mining investment puts us well ahead of the curve on this trend. In fact, I think we’ve beaten just about every City broker and investment service to the punch…
And my second play is just as impressive
This pan-African conglomerate, is developing a 250-room 5-star hotel in the Congo to service the influx of foreigners drawn by the mining boom.
In fact this company has got its fingers in a whole host of pies… and we’re set to profit from the all.
My favourite profit opportunity from this company is going to come from them holding the USA to ransom for $156 billion of African oil… it’s one of the best stories you’ll ever read.
All you need to do, to get in on both of these stocks… is become a regular Profit Hunter reader… Read more about this exciting African oil story here - and I’ll send you investment reports on the Two Stocks that are going to Change the Face of Africa right now FOR FREE…
Regards,
Manraaj Singh
Editor
Profit Hunter
Source: Two Stocks Set to Change the Face of Africa
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