The Salt of The Earth—Is Much More Valuable Than You Think




It is time to get BULLISH on commodities.

Pick a commodity and it is moving higher.  Grain prices are soaring.   Nickel, copper, oil and silver—all higher.

Investors are seeing upticks in so many commodities— now back to above just prior to pre-pandemic highs. 

The charts on commodities look incredible—clearly showing breakouts.

Closely watched Goldman Sachs commodity guru just told a conference that a large institutional client of his told him that corn is the new bitcoin…..clearly animal spirits are returning to commodities.

Currie and Goldman just pounded the table on commodities.  He said that commodities now have all the signs of structural bull market. 

More accurately what Currie is predicting is —— “A long lasting bull market for virtually every commodity……”

Those are his words not mine, but I understand the reasoning behind it and agree with it.

Currie and I aren’t alone. 

The legendary Stan Druckenmiller just revealed that he has built a huge position in commodities and recently told CNBC to “buckle up” because things are about to get really, really wild.

The setup for commodities is perfect.  Years of underinvestment exacerbated by:
  1. COVID,
  2. dollar weakness,
  3. massive Government spending plans,
  4. interest rates at zero and
  5. the trillions of dollars of coming infrastructure build out for the great energy transition.
This commodity trade is about the fundamentals of supply and demand…

Currie said, “every single commodity market with the exception of wheat is in a deficit today“.  Great trades are built on fundamentals.  Those trades become epic when the momentum crowd eventually jumps on-board.

The commodity trade is also about a world awash in money….

From Druckenmiller “The longer the Fed tries to keep rates suppressed so that they’ll have stimulus in the pipeline, the more I win on my commodities.

Institutional investors are realizing that commodities could be the next moonshot momentum trade.  Just watch out for how exciting this gets when that reddit crowd jumps on the commodity train.

The timing is right for commodities–and creates a huge opportunity for ground floor investors who can find undiscovered commodity stories that will provide the full leverage to a long bullish commodity run.
Our job as investors is simple. 

Find an asset and stock that has not been discovered.  Get in for pennies on the dollar and then wait.  As the money keeps flowing into the commodity sector these are the kinds of stocks that benefit the most.

I believe I have found exactly the kind of ground floor commodity stock that will be a big winner in 2021.  It is completely under the radar.

The company has a very cheap valuation, an incredibly LARGE and HIGH GRADE resource—in Canada—and a North American market that is begging for its product.

The underlying asset provides a huge resource base—over 50 years supply—so we are talking long term predictable cash flows for decades.

My favorite part is the team involved.  It’s a Grade A; a top-tier team in their industry.


A Permanent, Unassailable, Competitive Advantage –
We Call That A Moat Folks!!

This company has a surprising commodity that investors don’t think about: SALT.  Everyone thinks gold is sexy but there are a lot more millionaires from industrial commodities than gold miners.

You may think salt is boring.  But truckloads of free cash flow—for decades!!!—is not boring.  It’s VERY lucrative.

And it’s certainly not boring  if you get in on the ground floor like we can with this stock.  I’m always looking to get in early and get in cheap.  And because NOBODY knows about salt, I can do that. (And tomorrow you can too!)

It’s rare when you can make a ground-floor investment—
  1. on an asset ready to go into production
  2. That has such a large resource it will produce for over 50 years
  3. Recession proof, demand driven by winter
That is one heckuva annuity!!!

NOBODY KNOWS that North America imports salt from Egypt and Chile.  Those places are a long way away and costly to ship from. 

It is more than 5,600 nautical kilometers from the Port of Alexandria in Egypt to the East Coast of the United States.  That is a 25 day journey by sea…..with the meter running the entire way.

Chile is no better since it is on the wrong side of the continent to get to the East Coast in the USA.  Total nautical miles again rings in at over 5,600 and also takes almost 25 days by sea.

NOBODY KNOWS that the USA imports EIGHT MILLION TONS a year from overseas—that’s worth $464 MILLION EVERY YEAR at $58/ton

NOBODY KNOWS that while we have lots of salt—around the Great Lakes mostly—we don’t have nearly enough.  North America still runs a HUGE salt deficit—about 8 – 10 million tons per year.

Putting a local, very large and very high-grade (95%+) salt deposit into production is like picking up $100 bills on the sidewalk.

Salt’s transportation is a major portion of a buyer’s all-in purchase cost.  That means you want to keep your logistics short. A local salt mine gives you HUGE advantages.   

That is why I’m so hot and bothered for this specific stock.

Every buyer wants the best product at the cheapest price—for salt, that means buying local—LOCATION, LOCATION, LOCATION.  Logistics is everything. 

Being close to market is a huge, permanent, competitive advantage.

If North America imports TEN MILLION tons of salt per year–well, at US$58/ton, that’s a $580 million annual market opportunity there for the taking.

If that salt could be purchased locally it would be.  Salt can’t be sourced from Egypt cheaper than it can from here. UNTIL NOW!!!

There is a gaping market opportunity in the North American market for a new domestic supplier……and the salt company that I just found could fill most of that. What major mineral company doesn’t want a 50 year supply of an incredibly high grade resource that almost every single person in North America uses almost every day?

(I bet that recently snow-covered Texas wishes they had had a lot more salt!!!)

I’m telling you—pay attention to the company name I’m giving you tomorrow, because after you read all about it, I’m sure you’ll agree with me that it won’t be around for long.

The location here is perfect —— the company has a huge salt deposit located near the heavily populated northeast coast of the United States, exactly where snow removal gives salt a premium market year, after year, after year.

That means very low transportation costs and that permanent cost advantage.

Off-the-radar hardly describers investor attention to salt.  But that’s what makes this sector so lucrative for investors—there is a huge mis-pricing until it gets discovered.  

Because of my high quality audience—YOU—this team called me first. I always want to be FIRST to tell a new story.  All the other promoters come in later.

And this is a unique story, with first-mover advantage.  It’s not a “Me-Too” story.

You Can Always Tell The Quality Of An Asset
By The People Involved

Not only is this a great commodities bull market, and this an undiscovered gem of a story (large resource, high-grade 95% NaCl!!!)—this company has a board member who has spent decades running some of the largest salt operations on the planet. 

And they are putting their own money on the line here.  When they get paid by the stock going up…. that tells me that they believe that they are looking at something special.

This salt  company has some of the most successful people in the sector, and a very large and very high grade resource in an undersupplied market.  These people didn’t come to this project to pull down a nice little salary.  They are involved to make a boatload from building a very valuable company.

We have a chance right now to get in on the ground floor with them. 

I’ve done a deep dive on this team and their project.  I like everything that I see.  Tomorrow I’m going to give you the specifics, including:

1 – The background and track record of the team involved.
2 – The exact location of the project, which is perfectly located to supply the east coast of the United States and take the place of salt being sourced from the far side of the world.
3 – The potential value of this asset—its ability to deliver predictable cash flows for decades.
4 – The catalysts that are coming in the next few weeks and months that make the timing of owning this stock perfect.

What I know is this.  The market loves a fresh story.

This stock is not another gold or copper play that has a nice-looking punt. 

This company is different.  Who has ever invested in a salt project before?  Institutional investors who like predictable 50-year cash flows and the added bonus of take-out potential will be giving this a look. 

Plus it’s environmentally friendly–no chemical processing, no toxic tailings, no dilution, and has simple,  straightforward mining methods. (Yes, salt is green ;-))

More important though are the facts.

The North American salt market is permanently undersupplied.  This company has a huge, high-grade resource right next door to the biggest source of North American salt demand.

Location is everything for a low value commodity supplier——and you can’t beat the location of this project.
Good share structure.  Commodities are starting to rock.

Tomorrow you get the name of the company, the ticker of the stock and everything you ever wanted to know about the North American salt business!!

Keith Schaefer
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