According to CNN, 40% of the world's minable uranium ore lies in Australia. This one country owns the mother lode of this precious commodity. More than twice as much as its nearest competitor, Kazakhstan. Yet there are only three operating uranium mines in Australia, plowing 40% of the world's raw uranium out of the ground.. But as of April 2006, only one company now owns the world's largest mine, with "proven and probable reserves" of 391,000 metric tonnes of uranium ore, according to Australian government geologists. That's nearly 13 times the recoverable ore of any uranium deposit in the world. Better yet, this company also: * Has the most expertise in digging resources from the ground than perhaps any other company, with copper, silver, zinc, nickel, metallurgical ore, manganese and even diamond operations on every continent... aluminum smelting operations in Mozambique, oil rigs in the Gulf, and even natural gas plants in Australia. This is one company that knows how to extract precious commodities...
* Is flush with cash... In fact, available cash currently exceeds $3.7 billion. Its recent fiscal-year profits skyrocketed to US$6.4 billion - up almost 100% from US$3.5 billion in 2004, only one year earlier...
* Is so flush with cash that... In February 2006, the company announced a capital return to its shareholders of $2 billion... a tidy dividend that's likely to expand in coming years.
* It already exports more than $3 billion worth of commodities to China. In fact, its ties with China are so strong that Chinese officials attended its board-of-directors' meeting this past June right in Beijing.
This company is overflowing with cash... sitting on the largest uranium deposit in the world... with the best expertise in mining and commodity exportation of all competitors... and with an established export business with China, to boot.
There's rarely been a company positioned to bulge with windfall profits like this one. But more importantly, the proof is in the money. Simply put: This company just made the biggest investment in uranium ever made... A Company That Put Its Money Where Its Mouth Is... To the Tune of $7.2 Billion In August 2005, this company paid $7.2 billion to buy the largest uranium deposit in Australia - and the world. It's the largest stake in uranium ever put down by one public company. The reason is simple:
When a company spends $7.2 billion on an acquisition, its executives are pretty certain the investment's about to pay off handsomely... The price tag is a remarkable act of confidence, in and of itself.
Not only that, but the company paid what some analysts called a "premium" for the acquisition... after all, the recent rise in uranium prices pushed the acquisition price up...
But what analysts didn't realize - and what the company already knew - was this:
Demand hasn't even begun to take off. And the recent rise in uranium prices is no fluke, especially when you consider these two statements from the Australian government:
According to the Hon. Alexander Downer, Australia's minister for foreign affairs, who's been negotiating trade deals with China since March, 1996:
1. China imports about 1,200 tonnes of uranium a year, believed to be mainly from Russia and Kazakhstan. But China will need 2 million metric tonnes (roughly 44 million pounds) of uranium a year to power its growing number of reactors.
2. China will demand, on an annual basis, the same amount of uranium that Australia produces each year.
Professor Zheng of the China National Nuclear Corporation, says "... we need to rely on uranium imports from abroad... Australia is the richest uranium country in the world..."
Imagine what it would be like to own even a small piece of the largest uranium deposit in the world... all while the price is soaring to new highs on a historic peacetime shortage...
And with virtually every ounce of your precious commodity bought and sold as fast as you could dig it from the ground...
One thing I can say with utmost confidence... Investors who know how to take advantage of this situation are about to land on a goldmine.
Others will be kicking themselves for not seeing it - and not profiting when they had the chance. That's why only a relative few investors will ever take advantage of this opportunity. Yet for those who do, it will be a life-changing experience...
And all of the information for taking advantage of this opportunity is contained in a special report called Riding the Uranium Bull: The Historic Energy Play Set to Return 3,150%. But let me explain the special advantage this unique company has in securing unprecedented returns for investors...
A Trade Deal That "Guarantees" a Monopoly on Uranium
The company in this report is about to get a near-monopoly on exporting uranium to China on a deal with the Australian government...
It's a free trade agreement that all but guarantees every ounce of this company's uranium is exported directly to China.
The deal is estimated to account for the largest annual sales of uranium in the world. Here are the facts to consider:
August 9, 2005: The Australian Minister of Foreign Affairs announces the negotiation of a uranium agreement with China.
August 11, 2005: Mr. Jerry Grandy, president and CEO of the largest uranium and nuclear reactor builder in Canada, meets with the Australian House of Representatives to explain the details of selling large quantities of uranium to China.
September 1, 2005: Foreign Affairs Minister Alexander Downer gives a speech in the Barossa Valley lobbying for greater uranium exportation to China. "China's uranium should come from Australia, rather than other suppliers... ," he says.
September 24, 2005: Resource Minister Ian Macfarlane is quoted in the Aussie newspaper, The Age: "The demand is there, the opportunity is there, the price has trebled. We are absolutely looking at increasing our exports [to China]."
April 3, 2006: China and Australia sign a bilateral agreement, guaranteeing China will use Aussie uranium for nuclear power plants only... sales of Uranium to China begin. Chinese premiere Wen Jiabao says, "The aim was to lay the foundation for reaching an overall free trade agreement..." according to BBC News.
The momentum is moving - and quickly. And China's knocking down one trade deal after another... Australian uranium is the next in line...
Why the Aussies Have to Sign... And Make You a Quick 216%
Australia's foreign debt is mounting. Right now it's sitting on US$22 billion in debt... and growing. It's the biggest buildup of debt in Aussie history, and the crushing effects on its economy and currency are starting to show... The government must already pay a whopping 5.35% average on its bonds just to attract investors (U.S. Treasuries have averaged 1.81%). The strain is even beginning to crack its currency.
Now consider this: The Aussie government's recent study shows that exports of uranium to China will generate US$24.4 billion to the Aussie government alone, not only wiping out all the foreign debt Australia owes, but generating the biggest cash infusion the country has ever seen.
For Australia, it's an economic miracle...
Right now, the full-court press is on, from Alexander Downer and the majority of Parliament, to save the Australian economy.
BHP Price at posting:
0.0¢ Sentiment: Buy Disclosure: Not Held
(20min delay)