What does a shrinking supply and skyrocketing demand equal? It equals happy investors if you can get in before the public participation phase. Right now, savvy investors are in the accumulation phase of the next massive resource trend, graphite. [Below are the keys to capitalizing on a graphite investment.] Words: 430
So say edited comments from an article posted at www.TheGraphiteInvestor.com
Lorimer Wilson, editor of www.munKNEE.com (Your Key to Making Money!), may have edited the article below for length and clarity – see Editor’s Note at the bottom of the page for details. This paragraph must be included in any article re-posting to avoid copyright infringement.
The article goes on to say, in part:
China controls much of the world’s graphite mines (about 75%), but a few solid companies outside of China will be well positioned to capitalize on this trend. Some analyst say investing in graphite will be a fad, some call it a fundamental change in the resource industry, whatever you call it, there is no reason you can’t profit.
The key to capitalizing on a graphite investment now is to identify the explorers and miners who are established now.
How is China positioning themselves to capitalize on the worlds upcoming need for graphite? Well, they are implementing a VAT and export duty on graphite and already importing flake graphite from North Korea. This could indicate that China is already experiencing a strain on its on graphite supply, despite being in control of three quarters of the world’s graphite. Even though China controls so much of the world’s natural graphite, much of that graphite is low grade (meaning no visible crystallinity).
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So, how do you capitalize on the upcoming bullish graphite trend? I have narrowed down my research to several major criteria:
1) The country must be mining friendly
2) The projects must be close to infrastructure
3) The projects must have advanced deposit mines
4) The company must have experienced management
Given the above criteria, I found Canada, specifically the provinces of Ontario and Quebec, to be the best places to capitalize on the graphite trend. Now that the location is pinpointed, I looked at which companies have advanced deposit mines with experience management and found…[two such companies that] fit that criteria:
- Focus Graphite which has an extremely rich graphite deposit located at the Lac Knife deposit in Quebec and
- Northern Graphite. The quality of graphite in their deposit is low-grade (2% graphite), but the deposit is open pit and with their experienced management they may be well capitalized to be a major player in the area.
If you’re still in doubt about investing in graphite, just remember, a mine is a terrible thing to waste.
*http://thegraphiteinvestor.com/out-of-nowhere-one-bullish-trend-you-dont-want-to-miss/ Want to read more exclusive graphite investing articles like this? Go to www.TheGraphiteInvestor.com
Disclosure:
1) The writers for TheGraphiteInvestor.com and/or their family own shares of the following companies mentioned in this interview: None.
Editor’s Note: The above article may have been edited ([ ]), abridged (…), and reformatted (including the title, some sub-titles and bold/italics emphases) for the sake of clarity and brevity to ensure a fast and easy read. The article’s views and conclusions are unaltered and no personal comments have been included to maintain the integrity of the original article.
Editor’s Note: Having read to the bottom of the page you must be truly interested in graphite. That being the case here, here, here and here are other MUST read articles on the subject along with a number of related articles as outlined below.
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