Congo Mining Investment

The Congo is about as far off most investors’ maps as you can get.

But for some of the biggest mining companies in the world, this African country is the new Promised Land.

I am talking about companies like BHP Billiton. BHP is the world’s biggest mining company. And American mining giant Freeport McMoran is in there too…

You see, Congo has some of the richest mineral deposits in the world. In fact, it holds just about every mineral known to man.

The profit potential here is so huge that the Chinese government recently agreed to invest $9 billion in the country to gain access to its mines. That’s a lot of money, but its peanuts compared to the sort of profits they expect to make.

The opportunities here for savvy investors are huge. But one almost unknown company has got a head start on its rivals.

It has taken control of the best mining assets in the country…

And, as I will explain in a minute, three key developments in this company over the next three months look set to send its share price soaring.

Getting into this share now could give you a 237%* profit within the next twelve months.

Why this is the time to buy in

You see, in January, this company merged with its main rival in the Congo. The merger looks set to produce a genuine African mining giant. And next month the company will release a major report with details on the synergies that the merger is going to produce.

This is big news. Because this company could soon be Africa’s biggest copper producer. And it could also emerge as the world’s biggest producer of another rare and extremely valuable metal that is crucial to the working of the global economy.

So investors and analysts are now eagerly waiting for those details to be released. And when that report comes out next month, I expect that it is going to trigger a surge in its share price.

Secondly, the Congo government has just made a change to the mining regulations that will benefit our company massively.

You see, Congo’s government is now reviewing most of the mining contracts in the country. And two weeks ago it announced that it wants a 51% stake in all new mining ventures in the country.

But our company is set to benefit from its early mover advantage and strong political connections in the country. It already has a contract in place with the Congo government. And that gives it far more favourable terms than what the new entrants are going to get.

Under the terms of its contract, the Congo government holds a 25% stake in its mining operations. So investors looking to profit fully from Congo’s mining boom aren’t going to find a better deal than this.

In fact, one its biggest rivals now says that the government’s new terms may make it unprofitable to operate its mines. That may be bad news for the American and Canadian companies involved in that project. But its great news for our company. Because it would further reduce the supply of the rare metal that it produces.

The Congo government couldn’t have done a better job in driving investors towards this company if that was what they had actually meant to do with this new plan!

And here’s the third trigger. Most of its rivals are still bogged down in negotiations with the government. But this company plans to raise C$550 million in new financing by the end of this year to accelerate the development of its mines and refineries.

The single best play on this booming sector

This company is quite simply the single best play on the Congo’s mining industry. And that’s why I am so excited by it. Because the profit potential here is absolutely colossal.

That’s why the big international mining companies are desperate to get into this country despite the difficulties of operating here. Just consider that the Chinese expect to make a profit of up to $42 billion on their mining investment in the country!

But this company owns the sort of mining assets that the Chinese can only dream of getting their hands on. International investors have been slow to catch-on to the enormous profit potential of this company. But I don’t think that that is going to last much longer. And once those three triggers kick-in by the end of this year, I believe that we could be looking at a 237%* gain on the share price.

Now, this is a risky share. The Congo is still a wild and woolly place. But if the idea of a potential 237%* gain is the sort of thing interests you, I have prepared a report on this investment opportunity that you might want to look at.

To take a look at it, just click here.

Regards,

Manraaj Singh
Editor
Profit Hunter

Please note: * Prices as at 25/07/08. Forecasts are not a reliable indicator of future results

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Congo Mining Investment

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