South Pacific Copper Mine Set To Reopen Could Send One Share Into Super-drive

On a remote island deep in the South Pacific an abandoned mine is waiting to open.

When it does... shares in the company that owns it could go into super-drive.

You see, it sits on one of the world’s richest untapped deposits of copper. Copper they know is in the ground.

The company’s share price has risen in recent months just at the mere prospect of the giant mine’s revival.

Today, we’ve learnt this could very soon become reality.

One man’s passing brings this copper mine ever closer

The copper mine is situated on the island of Bougainville, just off the coast of Papa New Guinea.

On Saturday, President Joseph Kabui, head of the Autonomous Bougainville Government, suffered a heart attack and died. His passing brings the mine one step closer to reopening.

Let me explain.

In 2005 Kabui was elected president of Bougainville by an overwhelming majority.

It’s easy to see why... he was very popular.

He’d been the premier of the island through good times and bad. When the mine was open he supported the people’s protests over its poor environmental track record... and he spoke out about the uneven distribution of benefits from the mine.

Kabui eventually backed the militant Bougainville Revolutionary Army (BRA) in their demand for independence from Papua New Guinea.

That made him a marked man on the mainland... though a saviour to the islanders.

But he soon fell out with the leader of the BRA and played a big role in the peace talks that brought an end to the violence on the island.

That raised the first serious possibility of the once thriving copper mine being re-opened. And of course, the kind of profit investors could potentially make on this investment...

Once an asset, now a liability

But things hadn’t been going so well for Kabui lately.

He lost a lot of popularity over a deal that gave a Canadian company rights to future mining on the island...

In return for a US$7 million the Autonomous Bougainville Government granted Invincible Resources 70% access rights to all Bougainville’s mineral resources, apart from the copper owned by the little company that owns the mine.

The deal sparked protests which are still carrying on.

And questions are being raised about its legality under the guidelines on good governance practices under the Bougainville Peace Agreement.

Kabui had been facing growing criticism and calls for his resignation. Right up to his death the late president had made the re-opening of Panguna a real possibility.

But his political troubles were increasingly becoming a hindrance to pushing that through.

Why I expect this share to go even higher

Well now that’s all in the past.

And to our very great delight, the man to replace him is his Vice President John Tabinaman - a former employee of this unique company!

Imagine how Halliburton shareholder felt when Dick Cheney became George W Bush’s right hand man!

Unfortunately, Tabinaman will only serve as acting President until a by-election is held.

But the likely front-runners in Bougainville’s presidential election, Leo Hannett and Sam Akoitai, are both in favour of the copper mine re-opening. In fact, Akoitai is an ex-employee of the company too. He’s now Papua New Guinea’s mining minister.

Hannett is a former premier of Bougainville and became regional MP for Bougainville two years ago. He was also one of the first Bougainville independence activists, so his support for the re-opening of the mine is extremely good news.

Even better, local sources say that both candidates might actually collaborate in the forthcoming election.

Should the duo end-up as president and vice president of Bougainville, the process of re-opening the mine are sure to speed up.

And in the meantime, I expect shares in the brilliant company that owns it to move even higher.

Regards,

Manraaj Singh
Editor
Profit Hunter

P.S. I hope you understand I can’t disclose the name of this share. It’s an opportunity exclusive to my Profit Hunter members. If you’d like to read more about what we do and even review my service for three months, you can do so here.

Right now this particular share is past my ‘buy-in’ limit. But the volatile nature of this opportunity means you may have a chance to get in at any point before the mine re-opens. In fact, I believe the returns on this could be so big I shall be re-evaluating the ‘buy-in’ limit very soon.

In the meantime you can read all about our latest ‘special situations’ report here, which could prove to be just as profitable.

P.S. If you enjoyed this article then we encourage you to sign up for Profit Hunter. Track down exciting opportunities in the worlds’ emerging markets and always stay ahead of the curve.

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