Topic: How To Invest

Hello Pat and team. Could you give me your opinion on Fortune Minerals? Thanks.

Article Excerpt

Fortune Minerals, $1.48, symbol FT on Toronto (Shares outstanding: 107.2 million; Market cap: $158.7 million; www.fortuneminerals.com), is focused on its NICO gold-cobalt-bismuth property near Yellowknife, Northwest Territories, and its Mount Klappan metallurgical-coal deposit in northwestern B.C. Bismuth is mainly used in medicines, medical procedures and cosmetics. Its low toxicity is expanding its use as a substitute for lead. China Mining Resources Group Limited now holds 15.3% of Fortune Minerals. It can raise that stake to 19.2% if it exercises the Fortune warrants it holds. Last year, Fortune paid $18 million for buildings and equipment from the now-closed Golden Giant mine at Hemlo, Ontario. It aims to use these assets if it builds a mine at NICO. That would save it from having to buy new equipment and facilities. Fortune’s deposits and the advanced stage of its NICO project give it some speculative appeal. However, the shares have more than doubled since October. We don’t recommend Fortune Minerals. Minerals. …