Monday, February 28, 2011

Something About Stocks But the History Never Tell You

Few Americans think of Thomas Edison as an evil genius.

Most view him as one of America's most prolific and beloved inventors — credited with such life-enhancing devices as the film projector, the phonograph, and of course, the electric light bulb.

But here's something the history books will never tell you...

Thomas Edison was also a cut-throat capitalist who purposely designed the light bulb o waste energy.

Why would he do such a thing?

Because good ol' Tom knew that the real money wasn't in the light bulbs — but in the energy that powered them.

And it wasn't until the light bulb was completely developed that Edison's true plan was revealed.

Just seven years after he displayed his first incandescent light bulb, he built more than 132,000 power plants — the result of his ambitious filing of over 1,000 patents.

Edison knew that the light bulb business would be robust. But he also knew that if he provided the power for these light bulbs, he could wet his beak on both ends. And that’s why he designed the light bulb to be inefficient...

It was actually quite an ingenious master plan; one that made Edison an extremely wealthy man.

The light bulb that Edison invented — basically the same one we use today — loses up to 98% of the energy that actually goes into powering it.

 

In other words, only 2% of the power that gets to the light bulb is actually used to create light. The rest is simply wasted.

But a lot has changed since the early days of Edison...

And thanks to today's high energy prices and growing energy demand, Edison's 130-year lucrative reign has come to an end.

How the death of Edison's light bulb could pay you 18 times your money by the end of the year!

It all went down on December 19, 2007...

In an effort to conserve energy, the U.S. government approved a new mandate that would outlaw the sale of the common, energy-wasting incandescent light bulb starting in 2012.

On that day — with a single pen stroke — Thomas Edison's incandescent light bulb was put out to pasture...

And now, as the entire country searches for a replacement, one company has stepped up with a solution that'll solve the efficiency problem — all the while netting investors like you a boatload of cash in the process.

In the next few minutes, I'm going to prove it to you.

I'm going to show you with real numbers — because the numbers don't lie — how this small company is about to become one of the biggest and most profitable players in the lighting industry.

I'll also tell you about this company's strategic deal with Wal-Mart (that's right, the world's largest retailer), and their government contract that's literally guaranteed to help them dominate a very lucrative piece of a market that'll be worth an estimated $14.5 billion by 2015...

And most important, I'm going to show you why their run to dominance will be well under way as early as October 31, 2010...

But first, let me introduce you to the technology that's destined to illuminate the 21st century.

The universal light source: LEDs

Hands down, the LED (Light-Emitting Diode) is the most efficient method of producing light commercially available today.

So efficient, in fact, that they produce almost no background heat and last up to eight years in continuous operation — outliving the common incandescent bulbs by an eye-popping 4,600%.

Yet the benefits of LEDs have remained largely a mystery to average consumers.

But thanks to a breakthrough from the company I'm going to tell you about now, these little electronic components are about to enter into "full-on global boom" mode.

You see, today's LEDs are typically manufactured according to the strict parameters set by the manufacturer; it's kind of a one-size-fits-all approach.

But when it comes to lighting, one size does not fit all...

You can look around your house and see the variables for yourself: different sizes, different wattages, different needs.

You wouldn't light your kitchen with an outdoor floodlight, would you?

While LEDs are truly the future of lighting, most buildings today were not designed with LEDs in mind. And it's not like you can just install random LED lights in conventional overhead lighting fixtures or display cases...

But thanks to the flexibility of this company's LED technology, these lights can go anywhere, at any time, in any climate. And the best part is that these retrofits end up costing their customers only a fraction of what it would cost to start from scratch with the more common LEDs on the market today.

This is why they have one of the most impressive customer lists in the industry.

Take a look at just a small sampling of their client base...













































883_l1Whole Foods Markets883_l8The Bellagio in Las Vegas
883_l2Publix883_l9W Hotels
883_l3Albertsons883_l10Atlantis Hotel
883_l4Bath & Body Works883_l11Marriott
883_l5Dillards883_l12Disney Theme Parks
883_l6McDonalds883_l13Clinton Presidential Library
883_l7Starbucks883_l14The National Archives

This company's LEDs are now replacing fluorescents in grocery stores, museums, department stores, and offices all across the country.

They even have a deal with Wal-Mart to install their specialized LED technology in both Wal-Mart and Sam's Club. And this firm still trades for less than $1.25.

But here's the best part...

What they make from their Wal-Mart and other retail and museum contracts amounts to absolute peanuts compared to the money they're going to make from...

The Largest Lighting Retrofit Project in U.S. History

Do you know who the largest consumer of energy is in the world?

Is it Wal-Mart? Is it General Electric? Is it Google?

Not even close.

The largest consumer of energy in the entire world is the U.S. military — costing taxpayers more than $20 billion a year. And with every $10 increase in the price of oil, the Defense Department incurs more than $1.3 billion in additional energy costs.

So it's no surprise that with these energy costs only getting higher and higher, the Pentagon and the Secretary of Defense are now forcing the military to drastically cut energy consumption...

And this is how you're going to get rich...

You see, the U.S. Navy spends an absolute fortune in lighting costs due to its reliance on conventional light bulbs. We're talking in excess of $1 billion every single year.

But that's all going to change, thanks to a new program developed by the Defense Advanced Research Projects Agency (DARPA) — the same organization that gave us the Internet!

It's called the High Efficiency Distributed Lighting program (HEDLight). Its goal is to completely alter the design for lighting systems on U.S. military platforms so that they are stronger, longer-lasting, more easily maintained and more energy-efficient.

HEDLight expects Navy ships to save 87% of the electricity used on existing lighting systems.

This is huge!

And guess which company's already in bed with DARPA on this project?

That's right — the same company that's lighting Wal-Mart stores and Albertsons supermarkets has the market cornered on a potential...

$416 million in lighting retrofit contracts from the U.S. Navy

The company's first installation — on an Arleigh Burke class destroyer — will save an estimated 87% of the Navy's lighting bill for the ship.

That means that for every $1 million the Navy was spending on lighting, they're now only going to have to spend $130,000.

Imagine if a $25,000 car you want all the sudden cost only $3,250. Or a $300,000 home you want to buy will now only cost you $39,000...

You'd jump on those savings in a heartbeat.

And that's exactly what the U.S Navy's now doing with these lighting retrofits.

This is game-changing stuff, my friend. And it's going to save the military an absolute fortune... Especially when you consider the number of ships in the U.S. Naval fleet...

From destroyers to aircraft carriers, we're talking about nearly 300 deployable battle-force ships that are now in line for energy-saving retrofits.

Even submarines will be retrofitted with these new LED lights.

In fact this company already landed contracts for the retrofit of a Virginia Class attack submarine.

That's on top of the multi-million-dollar contract they already got for the retrofit of the Arleigh Burke destroyer and continued research and testing.

Across the entire fleet (287 battle force ships to be exact) — and with each retrofit costing $1.45 million on average — you're looking at a potential value of $416.2 million in lighting retrofit contracts this company is about to receive from the Navy.

And that's figuring conservatively, not including new additions to the Navy's fleet.

According to the Congressional Budget Office, the target size of the Navy's battle-force fleet for 2025 is 324 vessels:

Projected Naval Ships 2025

And rest assured, at this point, the next round of contracts is practically a lock. Because while there are plenty of other LED companies out there, this is the only one that's been able to meet the strict requirements of the U.S. Navy — thanks to its breakthrough in LED lighting customization.

You see, what most folks don't realize is that these ships go through some pretty rigorous beatings while on deployment.

During a typical aircraft carrier deployment, every single conventional light bulb on a carrier will blow out and have to be replaced. That's right — every single one. We're talking about a total of 18,000 individual bulbs. All having to be stored, installed, and replaced on every single deployment.

The logistics alone are incredibly complicated and costly.

But these LEDs are rock-solid.

They can operate in various temperatures ranging from 40 below to almost boiling; the seals on the lights can survive three decades of constant sea spray exposure; and, in accordance with mandatory Navy standards, can withstand multiple drops of a 400 pound hammer from a height of 5 feet.

So basically, you have a lighting fixture that's 87% more efficient, can handle the beating of any Navy deployment, and is actually cheaper to operate!

These things are so impressive, even NASA has ponied up millions to use this company's LEDs...

These features are the reason that the Navy is using the company's technology for all $416 million worth of their lighting needs...

Need some frame of reference for what an influx of government money does to a company's bottom line?

Here are just a few examples...

883_chart_1

In 2006, Raytheon was awarded a $38 million government contract to build GPS devices, helping propel the company from $40 to $53 per share — a 32% gain.

883_chart_2

In 2008, ICF International was awarded its first-ever government contract, valued at $19 million. In the worst stock market year in over 6 decades, ICF International went from $15 dollars in July to over $24 — a 60% increase — while the economy took a 40% nosedive overall.

883_chart_3

In late 2008, Cubic Corporation boosted its stock price from $21 to $41 (or 95%) in the 9 months that followed government contracts totaling just over $155 million.

883_chart_4

Also in 2008, ViaSat went from $15.75 all the way to a $31.17 in 11 months — a 197% increase on the back of a $192 million government contract.

As you can see, government contracts are one of the most foolproof methods of expanding a company — especially in an uncertain economy.

They represent guaranteed earnings and profits, enabling companies to funnel capital into research and development, marketing, and infrastructure...

But none of the examples above provide anywhere near an accurate picture of what you stand to make from my new LED recommendation...

I'm talking about potentially scoring more than 18 times your money.

Unheard-of profits from government contracts

You see, the companies in the charts above are all large and established, so the full impact of government contracts usually isn't reflected in their share price.

Take Raytheon, for example, which has a market cap over $20 billion... Even with a market cap that big, a $38 million government contract was still able to send the stock soaring.

The company I'm telling you about has a market cap of only $24 million, so the $416 million in Navy contracts it's about to receive means much more to it — and to your bottom line.

Spread that sum equally between the company's 23 million shares, and you're easily looking at fair value of more than $18.00 per share.

As these contracts are issued and fulfilled, the company's stock will easily rise to that very price. Those investors who get in now — while it still trades around $1.16 — stand to make 1,452% on their initial investment.

And that's without factoring in the all the museum and retail store retrofit deals, like Wal-Mart, Albertson’s, Whole Foods, and others...

In just a moment, I'm going to provide you with a link to all the juicy details on this under-the-radar top stocks for 2011. But first, let me introduce myself...

Profits from a proven track record... in your hands

My name is Jeff Siegel and I'm the publisher of Green Chip Stocks Premium — the first independent investment research service focused exclusively on alternative energy markets.

Now, I've been in the financial research business for more than 16 years.

I've watched the economy boom and bust. I've seen the world embrace the dot-com craze, only to watch it come crashing down. I've seen the real estate market explode, and then implode. I've seen collapses and recoveries...

And through it all, regardless of the state of the economy, I've been leveraging profits by being the first to pick up on market trends...

Especially when it comes to the energy industry — which I've come to know like the back of my hand.

It's why I've been invited to speak at so many industry and investment conferences across the globe.

It's the reason I've been featured time and time again on CNBC, Fox, and Bloomberg. And it's also the reason I've been able to help so many of my readers make absolute fortunes in alternative energy and other early market trends.

And I’ve got stacks more of success stories just like these.

They're a direct result of one of the best stock to buy recommendation track records in the industry... And that's something I boast with much pride.

In fact, last year was one of our best years ever:

  • The 20 recommendations I made in 2009 averaged a gain of 52.7%;

  • Of those 20, 6 were double-digit winners;

  • And 5 were triple-digit winners!

  • My top three top stocks for the past year scored 200%, 221% and 321% gains;

  • All with hold times of less than 12 months.


Just to put things into perspective, here are 2009's top 5 performing hedge funds, along with their total assets and returns:

2009 Hedge Fund Performance

But that's not even the whole story...

Just to get your money onboard with one of these high-profile investment managers, you’d typically need to put up more than $1 million in capital.

And once the gains come — assuming and hoping, of course, they do — fund managers rake in between 20% and 50% "performance fees."

So while your money earns modest gains at best, hedge fund managers become billionaires faster than any other segment of the population.

That's just not my philosophy...

I'd rather you keep your gains, instead of redistributing your wealth to a bunch of hedge fund managers.

And I want to help you do this by offering you a free copy of my brand-new report: Lucrative Lighting: Profiting From The LED Revolution.

This report contains all the juicy details on our favorite government-backed microcap that could make you at least 14 to 18 times your money — if you load up on it today.

Remember, this is a $1.16 company on its way to $416 billion worth of military contracts alone. Their contracts with Wal-Mart, Whole Foods and all those other retailers are just icing on the cake...

Plus, when you get your free copy of Lucrative Lighting: Profiting From The LED Revolution, you'll also get complete access to

  • Green Chip Stocks Premium Portfolio – Which includes the status of all of our Green Chip Stocks Premium recommendations. The top stocks in this portfolio are long-term investments; they have earned investors returns that shame some of the best-known and most respected hedge funds in existence.

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That's seven extra bonuses above and beyond Lucrative Lighting: Profiting From The LED Revolution, my new dossier on the LED stock that could hand you a fast 1,452% profit or more on a flood of government funding and private-sector investment...

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All I ask in return is that you test-drive Green Chip Stocks Premium to see if you like it.

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  • Membership to Green Chip Stocks Premium

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You have absolutely nothing to risk here — and everything to gain.

Like an 18-times-your-money win on a single LED company with guaranteed military contracts.

It doesn't get better than that.

But I must warn you: If you're looking to score a profit of that magnitude, you don't have much time to wait around...

You see, on October 31, this company will be presenting at a very influential alternative energy conference in San Diego. But it won't be just a bunch of tech geeks and engineers gathering around hotel room conference tables...

Attending this event will actually be some pretty heavy hitters in the investment world.

We're talking about big money here... Market movers!

So it's no surprise that over the past few days, the buzz surrounding this conference — and its presenters — has started to pick up steam.

Truth is, by as early as next week, we could see every trend-chaser on Wall Street accumulating shares of this little LED goldmine.

And that's why it's so important that you stake your claim now — before this thing gets launched into the stratosphere.

Because that, my friend, is how you get rich in this market.

Don't keep your profits waiting on this one.



Best Energy Stocks For 2011

Nobody in the Pentagon will talk openly about it. Nobody in the White House knows what to do.

But make no mistake...

What I'm about to show you could be the deadliest surprise threat to your money and livelihood of the coming year.

I say "new" because as you'll see there's not much new about it at all — the pressure's been building behind this for the last 1,354 years!

Yet for the first time in history, that pressure has found its release. I’m imagining a volcano of blood.

When it blows, you could see your savings get SLAMMED... the dollar thrown into a TAILSPIN... and, here's what will stun the still-recovering world economy, gas and oil prices doubling or even tripling by sometime early in the coming year.

How on earth is that possible?

 

It's the last thing most people expect, from market pros to bumbling D.C. bureaucrats... but if nothing changes in what I'm about to show you... this is a page in future history books that's already writing itself.

I'll show you the evidence myself.

If I'm right, as many as eight key Islamic countries are hurtling headlong toward a bloody "new" war — with each other — that's been FOURTEEN CENTURIES in the making.

This could begin as early as the next 12 to 18 months. And with no less than 66% of the world's key energy reserves smack dab in the crosshairs.

Sound impossible?

Even if I'm only half right, and we get an oil-state stalemate unlike anything the world has ever seen — you could see oil soar past the old high of $147.30 per barrel, well on its way to as much as $220... with gasoline bucking against a ceiling of $8 per gallon.

I'll show you how this unfolds below.

You'll see the maps, I'll name the names. And I'll reveal to you the stunning web of "secret revenge" that lies behind it all... waiting over 1,354 years for this moment!

Of course, events like these echo around the world.

And nobody gets the chance to just "sit on the sidelines."

But there's good news too.

Because, you see, just like every major shift of history... deep within every crisis... you'll also find an opportunity to protect yourself. And this event is no exception.

For instance, the last time we saw politics push up the price of petroleum, my readers found strategic gains in a "self-defense" move that shot up by 668%.

In fact, we've used all kinds of moments in flux to make protective and even impressive gains. Take a look at this small sample, drawn straight from our posted track record...















































Our Strategic Gains in Turbulent Times
137% gains on KeyWest Energy174% gains on PetroChina
151% gains on Wheaton River Minerals270% gains on the July silver calls
162% gains on Intrepid Minerals104% gains on the ICON Energy Fund
332% gains on Glamis/Francisco Gold108% gains on Norsk Hydro
668% gains on Metallica Resources118% gains on Anglo American PLC
105% gains on Gentry Resources160% gains on Western Oil Sands
151% gains on Tocqueville Gold182% gains on Talisman Energy
228% gains on Niko Resources142% gains on BG Group
263% gains on Coeur d'Alene Mines177% gains on Coeur d'Alene Mines again
116% gains on Cameco


And we continue to post new gains, even now. Some of today's open positions have already shot up 37%... 45%... 46%... 53%... 61%... 64%... 70%... 75%... 128%... 146%... 155%... 160%... 200%... 403%... and 466%... with more to come!

(I can't name those best energy stocks for you right now. That wouldn't be fair to my readers. But I'll tell you how to find out about all of them, right after you finish reading this letter.)

My point is, today's moment is even larger than anything we've seen before. But so are the opportunities I see right now for you to protect yourself. I'd hate for you to miss any of them, while you still have the opportunity to make your move.

Over the next four minutes, I'll show you how.

But before I do, let's step back so I can explain how this "war" begins.

Long before $147 oil... before the war over 9/11 or the war in Afghanistan... before either war in Iraq, the 1979 Iran hostage crisis, or even the oil crisis of 1973.

All the way back to a lamb dinner, served up one evening in the year 629 AD...

The Murder That's About to Change the World

Nobody could have known that the dinner they were about to eat would one day change history. Some say it was goat. Others say it was lamb.

Either way, it was poisoned.

And the guest of honor was Mohammed, the controversial founder of Islam.

It was just one bite, that's all it took. He tasted the poison and immediately spit it out. But it was too late. He would soon die, sparking a bitter and deadly divide.

See, when Mohammed died nobody could agree on who should take over...

And they've been killing each other as a result ever since.

On the one side, you've got the Sunni Muslims. They're the ones that run Saudi Arabia, Egypt, Jordan, and many of the other countries in the Middle East.

On the other, you've got the Shia Muslims. It's the Shia that run Iran. And now run Iraq, as well as Lebanon and Syria.

Think Protestants and Catholics in Northern Ireland... Serbs vs. Croats in Bosnia... or even the religious Thirty Years War that ripped apart Europe in the 16th century.

Only this Sunni-Shia split has built up pressure now for the last 1,354 years.

But it's only now that this pressure has found its ultimate release — with Iran driving a new Shia uprising smack dab in the middle of the most dangerous place on Earth — the oil-soaked Middle East.

Isn't the Middle East already a mess? Yes, it is.

What's different is that too many in the West... right up to the White House and the Pentagon... don't "get" just how deep this Islam divide could go or how far it could run.

Take a look at this map...

The Deadly Sunni-Shia Divide — 2010-2011



If it's black in this map, it's Shia ground. It's also mostly oil heartland
and some of the most strategic territory in the entire Middle East!

One terrorist with a grudge can do a lot of damage.

Iran, all by itself, could even be a deadly force.

But can you imagine what millions of Shiites with a 1,354-year old ax to grind could do?

The 162-Million-Man March

Nobody knows exactly how many Shia there are right now in the Middle East. That's because in all but four Middle Eastern countries, Sunni leaders don't bother to count.

Sunni schools teach that Shiites aren't real Muslims. Shias don't get a seat in government. They can't become judges or even testify in high courts. In Sunni-run Saudi Arabia, Shias and Sunni can't even marry.

For centuries, the Shia have been the underclass.

But now, for the first time in history, they see this as their chance to turn the tide. And how big a tide is it? Hands down, saber-rattling Iran has the most — 70 million Shia.

But then you've got the "liberated" Shia of Iraq — 22 million. Plus as many as 2 million Shia in Iran-backed Lebanon. And up to 4 million Shia in Iran's top ally, Syria.

Then you've got another 700,000 Shia in Kuwait... up to 500,000 Shia in Bahrain... up to 400,000 Shia in the United Arab Emirates... 300,000 Shia in Oman... and around 100,000 Shia in Qatar, according to the Pew Research Center in Washington.

On top of that, as many as 10 million Shia in Yemen... another 7 million Shia in Azerbaijan... and 11 million Shia in Turkey... not to mention the combined 30 million Shia in Afghanistan and Pakistan.

Not all Shia want a revolution.

But out of between the 147 million to 162 million Shia spread from Pakistan to Lebanon and Azerbaijan to Yemen, enough do that this is the river of "Secret Revenge" and common blood running through the entire Middle East.

The Sunnis are worried.

Especially in Sunni-run Saudi Arabia.

And especially now.

Here's why...

"New" Oil War Flashpoint #1:
The Real Reason Iran Wants the Bomb

Don't forget, Iran used to be Persia.

At one point Persia was the biggest and most powerful empire in history!

Iraq, Syria, Turkey, Egypt — even Israel — the Persians controlled them all. Along with all of Afghanistan and Pakistan and most of the oil-rich coast of the Caspian.

For 300 years, Persian armies held off the Roman Empire. Their scholars walked with Aristotle and Plato. And influenced Greek art.

It was the Persians who invented chess. And the windmill.

Not to mention bricks, algebra, trigonometry, and wine.

The bottom line is... no Empire forgets its past glory.

The Iranians resent losing theirs.

But now they see a chance to get it back.

The nuclear bomb? Tehran's crackpot leaders don't just want it to scare Israel. They want it so they can throw a dark shadow over their Sunni Arab neighbors, too!

Take a look at this...

Iran's First Move...



With total control of the Hormuz "oil chokepoint" in the Persian Gulf
and new power in "liberated" Iraq, the Iranians have a brand new foothold
for kicking off the long-awaited "Shia Revolution."

You'll notice two things.

First, you'll see how Iran's Shia influence has spilled across the border into southern Iraq. Southern Iraq is where you'll find six of Iraq's eight "Supergiant" oil fields. It's also where you'll find a key border with Shia Islam's mortal enemy — Saudi Arabia.

Saudi Arabia is Sunni.

For eight years back in the 1980s, Saudi Arabia helped Iraq wage a bloody war against Iran. Along with other Sunni governments, the Saudis even gave Saddam over $47 billion to launch missiles and nerve gas attacks over the Iranian border.

Iran hasn't forgotten. Or forgiven.

(Imagine if Canada or Mexico had given money to Japan to help them bomb Pearl Harbor. Iran has waited to make the Saudis pay — and now they have their chance.)

The second thing you'll see in the map above is that Iran has almost total control over the Strait of Hormuz.

Hormuz is the tight waterway that connects the Persian Gulf to the Mediterranean. Over 17 million barrels of oil have to pass through Hormuz every day.

That's 40% of all the oil shipped in the world.

And 90% of all the daily oil shipments from the entire Middle East.

With Hormuz alone, Iran could cripple the world overnight.

Today, Iran backs Shia militants in Iraq. They give them money and guns. They've even helped Shia politicians take over the Iraqi government. Why?

Because gaining control in Iraq takes the Iranians one step closer in their twisted plot for secret revenge. For another one of those steps, just look further south... to Yemen.

"New" Oil War Flashpoint #2:Yemen's Ugly Secret

The Pentagon has just tripled its budget on Yemen.

Top U.S. General Patraeus just had a not-so-secret meeting with Yemen's president.

And our own State Department calls Yemen a “threat... to global stability.”

What gives?

Even ABC News just called Yemen the next "top target" in the terror war and a "near-perfect haven for terrorists." Obama just sent Yemen our troops, ships, and weapons.

Yemen's on/off Shia revolution gives and "Gate of Tears" oil chokepoint could soon give Iran a strategic "backdoor" attack point into Saudi Arabia...

Yemen might be a failed country... with a collapsing government, a shrinking oil supply, an exploding population and not much of anything else but lawlessness and chaos.

But what Yemen does have is position.

It sits just on the tip of the Arab peninsula... south of another key Saudi border and on the coast of another key oil strait called Bab-el-Mandeb.

That name means the "Gate of Tears."

And like Hormuz, most oil states on the Red Sea can't get a drop of oil out without shipping it through the Bab-el-Mandeb. Over 3.3 million barrels go through every day.

Blocking this chokepoint alone could slap a $30 "political premium" on the price of every barrel of oil... but there's an even bigger threat taking shape.

For the last six years, Yemen has fought a vicious and bloody war with Shia rebels. These rebels are poor. There's no way, says a Yemen general, these rebels "could fund and fight this war with pomegranates and grapes... no doubt there is Iranian support."

Could it be true? Absolutely.

Iran loves to buy loyalty.

Take the $1 billion Tehran now "donates" every year to Hezbollah terrorists in Lebanon. Or the billions they gave Syria's Shia president to build cement factories, car factories, power plants, and storage silos.

In return, Iran gets Hezbollah's Arabic-speaking terrorists to run militant Shia training camps in Iraq. And gets Syria to distribute Iran's money and weapons to others in the Shia network.

The secret money Iran sends to Shia rebels in Yemen could soon have a payoff too — by opening up another route for "backdoor" Shia access into Saudi Arabia.

Yemen's rebels have already hit towns across the Saudi border. And the Saudis have hit back, losing dozens of troops in the process. We’re just in the first innings of this one.

How bad is it?

So far, 50 Saudi schools along the border have had to close. Another 240 border towns have already been evacuated. And Saudi jets have already dropped bombs in Yemen.

What exactly has the Saudis running scared?

Final Oil War Flashpoint #3:Iran's Final Prize — Saudi Oil

Don't think for a minute that I think Iran's plot for "secret revenge" could succeed.

But the threat alone could be enough to kick oil much higher.

And sooner than you might think.

For instance...

  • Our CIA, Britain's M16, and other top spy agencies say Iran could have a working nuclear bomb as soon as April 2011...



  • The Times of London uncovered a confidential document that says Iran already has a "neutron initiator" ready to test. That's the part you need to trigger a warhead.



  • And Der Spiegel, the German magazine, says Iran may even have the tech and material to build a simple nuclear bomb before the end of THIS year.


But the Bomb is just a beginning.

Even if the go ahead to build a nuke never comes from Iran's top cleric, the more immediate danger is a wildfire of Shia-Sunni unrest... starting in Iran's new hotbeds of Shia support... and spreading across the rest of the Sunni-run oil states... with the richest oil fields in the world's richest oil nation as the final battleground.

Suddenly, Iran has its mortal enemy, Saudi Arabia, surrounded — millions of Shia even live on top of the Saudis OWN biggest oilfields.

As you can see, Saudi Arabia looks like a sitting duck.

Iran has a Shia network that reaches from Afghanistan to Lebanon once again... more connections building along the Persian Gulf... Yemeni Shias to the south... and Shia connections along the oil rich Caspian Sea.

You could see this spread to the nearly two million Shia that live and work on Saudi Arabia's oil fields very soon. Even though that's exactly what the Saudis — and our own Pentagon — hope will never happen.

As you read this, big and small Gulf states are piling up weapons, stocking anti-missile batteries, and sandbagging their oil terminals, ports, and water desalinization plants...

Abu Dhabi alone has already bought $17 billion worth of U.S. anti-missile hardware. And the United Arab Emirates and Saudi Arabia just splurged on weapons, to the tune of $25 billion.

As you read this, our own F-16 fighter jets, Patriot missile systems, giant cruisers and up to 20,000 more U.S. troops are quietly digging in for an epic fight... that could spread past Iraq and Yemen... and even into Qatar, the United Arab Emirates, and Bahrain.

All to get ready for what could be the fight of a lifetime...

Say Hello to the "Jihad Generation"

It's not just our experts saying it.

Leaders in all three of America's biggest Middle East allied countries — Egypt, Jordan, and Saudi Arabia — claim the epic Sunni-Shia showdown is in the cards.

It could start from any one of the flashpoints I just named.

But no matter how it starts, Saudi Arabia is where it's most likely to end up. Why?

Not only is Saudi Arabia home to Mecca, Islam's holiest place... but it's also home to the corrupt and U.S.-allied Royal House of Saud, considered an insult to all Islam.

Think about it.

In a country where they'll cut off your hand for stealing and whip you for holding a glass of whiskey... Saudi princes gorge on cocaine and prostitutes, gambling, palaces, and more.

All while the vast Saudi underclass starves on just $6,000 per year and 30% unemployment. And as many as two million of that underclass is Shia. With a 1,354-year-old ax to grind and billions of dollars in oil revenues as the prize.

It's a near-perfect formula for a FULL-ON war.

And the fuse is already lit.

Iran is ready to assert its place in the world. Think Japan or Germany in the 1930s. The threat is there, it's large, and it's not going away anytime soon.

How the world responds, we can't know.

But I can tell you how oil could respond... by exploding to new record highs. Possibly as high as $220 per barrel by spring of the coming year... with gas not topping out until it hits as much as $8 per gallon.

That's very bad news for millions around the world.

And yet...

When Historical Shifts Happen, Getting Rich Can Be Your Best Protection

Have no illusions — any military response, on any front — could only accelerate the spike in oil prices. So the first thing you're going to want to do is simply get out of the way.

But you're also going to make defensive moves with your money.

And the best way to defend yourself and your wealth in this kind of crisis couldn't be more obvious — you need to hitch a ride on the prices that will go UP as this unfolds.

In a moment like this, that can be easier than you might think.

Over and over again, throughout history, things that are key to survival are also among the first things to go up in a time of chaos like I foresee ahead.

Not just with oil. But other raw resources that nations, advancing armies, and even innocent bystanders simply can't do without. These are the assets you can see, use, and touch.

Think about it.

What critical resource need helped drive Germany into BOTH world wars... drove Japan to bomb Pearl Harbor... and helped fuel the Allies that crushed them? Oil.

After the Yom Kippur War... during the Iranian hostage crisis... during countless clashes in Palestine and Israel... during both Gulf Wars... we saw oil prices take off.

Couldn't it happen again?

Of course it could.

Like I said, the rising threat alone... so close to nearly 66% of the world's shrinking oil and gas reserves... could be enough to set this price explosion into motion.

When that happens, you could still get very rich...

Take the 174% gain my readers and I recently posted on PetroChina... or our 160% gain on Western Oil Sands... another 182% on Talisman Energy... 104% on the ICON Energy Fund... and 476% so far on Suncor Energy...

And of course, energy's not the only "defensive" power play...

My readers and I also posted 118% gains on the diversified mining company, Anglo American Ltd... plus another 151% gain that we discovered with Tocqueville Gold... our 263% gain with Couer d'Alene, plus another 177% gain on the same stock, a second time around... and another 270% gain that we saw on silver call options...

The bottom line?

Markets, up or down, hate uncertainty.

And that's what you could see driving this shocking new opportunity. That's why I'm URGING you to send for my new FREE 2010-2011 Crude Awakening Countdown Library.

Inside, I've included five FREE reports — all detailing which special money moves to act on NOW if you want to protect yourself and your money during the crisis ahead.

These reports name 14 plays you could be missing.

I'm offering to share all 14 moves with you FREE — even as I also share these same moves with my paid-up subscribers. And yes, I'll even cover shipping and handling.

The reports are yours, no questions asked.

Let me give you a glimpse of what you'll find inside...

Defensive Energy Power Play #1:
The Single Best Energy Stock For 2011
to Own Over the Next 20 Years
(Hint: it’s 6,859 miles from the Mid-East…)

One easy way to "get out of the way" and still gain as oil goes up... is simply to go outside of the Middle East to find the best oil providers.

In 1973, the smart money ran from OPEC oil... and into oil opportunities in Canada, Mexico, and the UK. Today you've got even more smart energy "safe havens."

Today that strategy can work even better.

But that's only part of the reason I believe this first major "defensive energy" stock could be the single best oil company opportunity for you to own over the next 20 years.

How so?

Let me take you to a place that's thousands of miles from the Middle East... and well beyond the reach of any crackpot dictator or terrorist.

Yes, it's also an oil field.

Nobody even knew much about it until 2006, the first year they cracked through the field's overlying layer of salt — more than a mile of it — and into dense carbonate rock — and about eight billion barrels of oil.

That's more than the entire proven reserves of Norway.

But then they kept looking and found — in a deposit almost 500 miles long and 100 miles wide — what could be as much as 100 billion barrels of oil.

Easily, that's the biggest single oil-bearing zone anywhere in the world.

Bigger than almost all the oil fields in Iraq, combined. Bigger than all the reserves in Russia. Or Iran, for that matter. Bigger than the Saudi's legendary Ghawar.

Yet, until just recently, nobody even knew it was there...

The Greatest Energy Discovery in 100 Years

See, here's the thing...

This massive new find I'm telling you about — they call it the Tupi Field — isn't really what you picture when you think of a "field" of oil at all.

You can't drive past it. You can't see it. In fact, no human can actually get close to it... and live. You see, the Tupi Field is hidden some two miles below the blackest, roughest seas just about anywhere on the planet... as far as 240 miles off the coast of Brazil.

It is, in fact, so far below the surface of the ocean that the water pressure alone would crush a steel-fortified Navy sub like you could crush a soda can.

And that's just the ocean floor. You need to go even deeper — 19,000 feet through multi-million year-old anthracite and salt deposits — to get to the beds of ancient limestone that hold the oil.

Crews go out on massive ships to set up the rigs. They use satellite images to find the deposits and then automated underwater robots to lock the drilling equipment into place.

Just tapping the deposit can take as many as three months to set up... at a cost of as much as $600,000 per day. Even to hire a helicopter to fly to the offshore drilling sites can take as long as two-hours over open water and up to $50,000 for the fuel and pilot... for each flight.

You can see why this massive oil deposit took so long to discover.

It wasn't long ago that we had the technology.

Then again, it wasn't long ago that anybody but the energy industry pros understood just how desperate we are to find and tap more and more remote oil discoveries like this one.

They call this kind of oil opportunity "deepwater crude."

This company I'm telling you about dominates this new field. They also have their geologists and engineers looking for even more breakthrough offshore energy discoveries just like this one.

Of course this isn't the only deepwater crude fortune-maker in town.

I've got three more I'd love to show you.

In fact, you'll find the full story in just one of the five special reports I'd like to send you, called Deepwater Crude Bonanza: Four Ways to Get Rich on the New Oil Frontier.

It's included with your free 2010-2011 Crude Awakening Countdown Library.

Inside, not only do I name the single best energy stock of the next 20 years... but I also give you all my research on three other must-own "deepwater crude" plays, including...

  • The cutting-edge American deepwater technology company that has oil majors worldwide lined up to use their specialized rigs. Only a handful of companies worldwide can do what they do. And with up to 300 new deepwater rigs to come online by 2012, this company is lining up contracts by the score — this could be an easy 50% gainer over the 12 to 18 months ahead.



  • A trusted family-owned company that you already know, but what you might not know is that they're sitting on top of a second huge "deepwater" deposit almost as big as the one I just mentioned. They're also one of the few companies with the tech-savvy to drill the now-famous Bakken Oil Formation here in the U.S. This one has matched rising oil prices dollar for dollar before... and could triple from where it sits today.



  • And finally, what my readers and I now call the "most important oil equipment company in the world." Why? Because right now they're the single largest deepwater equipment supplier not only to the top offshore company I mentioned, but also to the other majors now crowding in — including Exxon Mobil, Shell, Chevron, BP, and more. What they make, nobody else can quite do. You'll see why in your free copy of my newest "deepwater" report.


Remember, I don't come at these opportunities like a broker trying to make commissions. This area is my trained specialty. I've spent years as a working oil exploration geologist. I study these opportunities with an understanding of the science and discoveries they're talking about.

And even when you factor that in, I'm convinced this new era in deepwater crude technology is a game changer. Not just the future of Big Oil, but also the single best way for you to get rich during the radical shift in energy politics headed down the pipe.

Once you let me rush you a free copy of Deepwater Crude Bonanza: Four Ways to Get Rich on the New Oil Frontier — one of the five special FREE reports in your 2010-2011 Crude Awakening Countdown Library — you'll quickly see why.

And then there's more...

Defensive Energy Power Play #2:
Two More Ways to Get Rich...As Shanghai Goes Dark!

Obviously, it's not just the U.S. with an eye on oil anymore.

Even through the worldwide financial bust, China's kept on growing at a record clip... with oil and other energy needs to match.

Some of what they've done is make deals for more power, including multi-billion dollar deals with our enemies in Iran.

But even then, booming China could go bust if they don't fix their growing energy problems. Take China's situation with coal —– at one point during the winter of this year they were down to a 10-day supply.

The problem for China is that the country uses coal to crank out 80% of its electricity. For over 1 billion customers, that's a lot of coal. They can't get it out of the ground fast enough. Or safely.

So they're ramping up to go nuclear instead.

As you read this, China has 11 nuclear reactors producing electricity.

They're already building 17 more.

But they want to rocket that number to 124 full capacity reactors over the next several years. By the year 2030, that could pump up their demand for uranium 10 times over.

The last full year on record, China used 769 tons of uranium.

Beijing's new plan would call for 20,000 tons per year.

Yeah, but what about wind, solar, or geothermal?

Not one is nearly as ready for prime time as nuclear.

Think about it. Right now around the world, you've got 436 nuclear reactors up and running. Plus another 50 being built. And another 137 reactors in the blueprint stage. Along with 295 more new reactors on the table for approval.

The U.S. just announced plans to start building more — on top of the 104 reactors we've already got going. In fact, the U.S. already gets about 20% of its power from reactors. And we're on track to make more.

Even Belgium, Sweden, South Korea, Switzerland, Japan, Spain, the U.S., the U.K., and France all get between 23% and 75% of their power from nuke plants. And those numbers are going up too.

According to a study by researchers at MIT, power demand could triple over the coming decades — and a huge portion of that new demand will be met with nuclear power!

That makes the next big question easy...

Who Has Uranium?

First, guess who doesn't. Uranium deposits are hard to come by in the Middle East. Instead, you've got Australia, the U.S., Canada, France, Argentina, Brazil, and India dominating the market. Along with South Africa, Nigeria, Algeria, and Gabon.

I'm sure you remember, best nergy stocks for 2011 more than doubled from 2003, during the first half of the second Gulf War. Uranium also shot up from $10 to $130 a pound.

Along with everything else, it crashed in 2008.

Now it's at a bottom price... new uranium production has flat-out stalled... yet all the surging power demands are still there. Especially from China.

Take a look at this chart...



It's not hard to do the math.

China has $1 trillion parked in U.S. dollar reserves. Most of the time, those dollars are a wasting asset. Meanwhile, cheap uranium can meet China's exploding energy needs many times over... compared to increasingly expensive oil.

In their shoes, what would you do?

Shanghai alone has already sucked up most of the energy output of the massive Three Gorges Dam. China's other enormous cities are hungry for cheap power, too. So is their massive industrial machine. And India, with plans to up their nuclear power output eight times over during the next decade, isn't far behind.

That could easily make 2010 the "year for uranium."

And that's why I'd love to share two easy ways for you to gain from the coming reawakening in uranium and nuclear-driven energy stocks for 2011.

One gives you a simple way to move on every uranium sector that could jump higher over the year ahead, from miners and storage, to nuclear equipment, plants, enrichment, and transportation.

It's a single play, tracking the whole uranium boom. Including moves that get you outside of the dollar. Yet you can act on this without sending a nickel outside the U.S.

I'm already sharing this same research with my paid-up Outstanding Investments subscribers. But I'd like to send it to you right now, as part of special invitation, FREE.

You'll find both this special move and a second one in another brand new report I call China's Next Big Crisis: Two Ways to Get Rich... As Shanghai Goes Dark!

It's included as one of five FREE reports you'll get when you give me permission to send you my new 2010-2011 Crude Awakening Countdown Library.

You'll find everything you need inside, from more on how and why uranium could hit over $60 this year... to why some call for $250 uranium in the near future... plus everything about the only two uranium moves you'll need to make to see huge gains on this, over the months and years ahead.

In just a moment I'll show you how to send for this special report, along with the rest of your FREE library. But first let me ask you an important question...

What's the Single Biggest Secret Behind History's Greatest Fortunes?

Oscar Wilde once said, "Ordinary riches can be stolen, real riches cannot."

I don't need to tell you, between plundering banks and blundering bureaucrats, a lot of regular Americans have watched their 401k and retirement "riches" stolen right out from under them, these past couple of years.

But when push comes to shove... in times of historic growth and epic crisis... what's the one thing that's endured? For as long as anybody's kept track, it's "stuff"... real, tangible, usable, tradable, blatantly valuable wealth.

In short, the raw resources you need to thrive and survive.

It's really that simple. It's no accident that's where the smart money flocks in good times and bad. It's also no accident that this is the story of one great fortune after another.

Think about it...

  • John D. Rockefeller built a staggering fortune — worth $212 billion in today's dollars and nearly four times bigger than Bill Gates stash of $57 billion — with Standard Oil.



  • Just before the crash of 1929, Rockefeller and other mega-rich investors like J.P. Morgan, Joseph F. Kennedy, and Bernard Baruch ALL shifted out of best energy stocks for 2011 and into gold — getting even richer in the process.



  • Andrew Carnegie — who also crushes Gates with a fortune worth nearly $112 billion in today's dollars — got that rich making steel.



  • Frederick Weyerhauser, worth more than $72.2 billion in today's money, made all of that after starting out with timber, land, and saw mills.



  • Andrew Mellon and his brother Richard each made about $36 billion, in today's terms, by branching out from banking and into oil, steel, aluminum, and coal.


Real assets are more than just the building blocks of great family fortunes, they're also the backbone of history. Not just with oil and the Middle East, but the timber riches that made Europe... the aqueducts that fed Roman fields... and Aztec gold and silver...

Forests that became armadas... coal and iron that made behind England an industrial power... steel that made America... the list goes on. And this has never been more true than right now.

Nearly 42,000 people read my research letter Outstanding Investments and they're already mastering those same cycles, watching resource riches pile up — even now.

Independent industry watchdog, Mark Hulbert, has even ranked us as the #1 Performing Investment Letter of the Last FIVE YEARS... not once but three times, in 2005... 2006... and 2007.

I'm proud of that record.

I'm even more proud of what some of my readers say...

What Others Say

Outstanding Investments reader Jeff Burke wrote in,
"It's difficult to be unhappy when all of the recommendations I hold from Outstanding Investments are up a minimum of 36%!"

Then there's reader Charles Bowman,
"I made a 140% gain with Tocqueville Gold - great pick! And 64% on Northgate, another winner!"

And paid-up reader Garry Coyne wrote,
"On Monday, I sold my last coffee contract for a net profit of 560%... [today] I took another net gain of 652% on two of the soybean contracts you recommended... and a profit of 205% on two soybean oil contracts... I'm absolutely wrapped, as I have never traded commodities until now."

My publisher has a whole pile of reader letters.

Here's a sample from just a few more...
"My stock portfolio has increased 52% in eight months as a result of the insight of Outstanding Investments. I plan to be a subscriber for years to come..." — paid-up subscriber Fred Hanson.

"I made back the cost of the subscription on my first buy, within about a week... Your newsletter is a great deal!" — paid-up subscriber Adam Dillard.

"Thanks for all the good analysis. Subscribing to Outstanding Investments is one of the best investment decisions I've ever made." — paid-up subscriber Wade George.

I'd love the chance for you to see what everybody's talking about, too. That's why I'd like to invite you to try my research letter Outstanding Investments for yourself.

And you can start FREE, by letting me rush you the entire 2010-2011 Crude Awakening Countdown Library we talked about. That's yours to keep, at no charge.

Once you've had a chance to look that over, I've got an even better invitation for you. One I think you'll like very much. You'll find the details at the end of this letter.

But first, let me give you another small sample of what you'll discover...

Defensive Energy Power Play #3: The Gold Secret Nobody's Telling

What's the single best money move you could have made, from 1999 until now?

You must already know... it's gold.

With the yellow metal alone, you could have quadrupled your wealth.

While S&P stocks fell 9.7%... gold shot up 323%.

If that sounds like a fluke, go back over the last 25 years.

You'll find the single best year for best energy stocks was just 31%... while gold's best year topped 100.2%... and precious metal coins did even better, up 198.8%!

But you've got to wonder now...

Has Gold Had Its Run?

From 1979 to 1982, during the Iranian hostage crisis and the worst inflation the U.S. has seen yet, the yellow metal surged 2,329%.

At 323%, we haven't even covered a fraction of that ground.

But all over the news, you can hear mainstreamers call for an "end" to gold's bull run. It's the same message they read back in 2009, during gold's seven corrections that year.

Yet gold prices shot up again each time — and finished the year hundreds of dollars higher than its low. Anyone who listened missed out on all those gains.

Will we see even more corrections? No doubt.

But the bottom line is that just like with oil, instability can drive gold higher.

My Outstanding Investments readers have already seen gains on 12 out of the 14 energy stocks we're tracking right now. And half of those have posted triple-digit gains, as high as 131.4%, 133%, 165%, 167%, 202%, and 557%.

For years, I've helped my Outstanding Investments readers stay ahead of gold and silver markets, too. And right now... I'm still urging them to pay attention.

I hope you're paying attention too.

Because I'm convinced that today's gold story is far from done.

That's why I'd like to include a third FREE report with your 2010-2011 Crude Awakening Countdown Library. I call this third report, Bullion and Beyond: Ultimate Wealth Protection Against the Coming Dollar Collapse.

Inside, here's just some of what you'll find...

Three Ways You Could Still See Triple Your Money on Gold

What if you could take any remaining move in gold... even a small one... and as much as triple those gains? Because I firmly believe you could, in ways that could soon take even "gold bugs" by surprise.

How?

You can read all about it in another FREE report I'll send you, called Bullion and Beyond: Ultimate Wealth Protection Against the Coming Dollar Collapse.

Take a look...

First, Discover How to Own Gold at Just $174 Per Ounce — The first move I'll show you is easily one of the cheapest ways to get a piece of booming gold ownership, from a company that trades for $174 of market capitalization per ounce of gold. Translation: This senior miner is on track to become the lowest cost gold producer in the world. Big institutions have already soaked up more than half these shares (64%), and some of the best geologists, corporate mining talent and mine managers, are flocking to work with this company.

Then I'll Show You How to Lock in Up To $600 in Gains on Every Ounce — As you read this, the next gold company I reveal for you in this special report is still getting gold out of the ground at less than $400 an ounce. With gold still hovering around the $1,000 threshold... that's like locking in a $600 gain on every ounce. And that just means a fatter gain for shareholders. What's more, this is a miner with a huge cash pile. They're putting that cash to good use too, snapping up other top-performing miners and soaking up their gold and silver reserves.

And Finally, You'll Discover Years of Gains to Come, Thanks to New Breakthroughs in "Deep Gold" — Just as how high-tech breakthroughs now make "deepwater oil" discoveries possible, new tech breakthroughs have also opened up the future of "deep gold." These are the rich veins of yellow metal locked in rock as deep as 16,000 feet down. This top gold producer — with 20 different mining operations in 10 different countries — has perfected the technique. And now they're bringing up the rock nobody else can get... to add to their pile of 229 million ounces of gold resources, another 36 million ounces of silver, and 42 million pounds of uranium. I've been down in their mines myself — and I'm sold, this is one of the best long-haul gold plays you'll ever come across.

Like I said, you'll find all three of these companies covered in deep detail, in your free copy of Bullion and Beyond: Ultimate Wealth Protection Against the Coming Dollar Collapse. You'll find more inside, too.

Including...

  • How to lock in as much gold as you like for pennies on the dollar.

  • How to pile up your gold and silver gains tax-free.

  • How to buy coins and bullion without getting ripped off.

  • The absolute two best gold stocks for you to own right now.

  • Nine ways to own gold preferred by America's "super rich."

  • How to store your metals safely and without management fees.

  • The shocking story nobody's telling you about "peak gold."

  • How to get Lloyd's of London to insure your gold at no cost.

  • Why one gold exchange-traded fund (ETF) beats the others.

  • The "bank account" where you can park physical silver and gold.

  • "Name Your Price" gold — decide how much you want to pay.

  • How to safely collect gains and income on "outside-the-dollar" gold.

  • How to pick junior mining shares with much less risk.

  • The single easiest way to own either silver or gold.

  • Home-run gains on gold at a tiny fraction of spot gold prices.

  • How to buy all the gold you want without paying huge brokerage fees.


I hope you'll let me rush you a FREE copy, at my expense... along with a total of NINE free gifts altogether, all yours immediately if you simply accept my invitation below.

Here's what you'll get, once you do...

A Fortress of Protection During the Epic Crisis Ahead

Say yes to a simple trial subscription to Outstanding Investments, and the first thing I'll do is rush you my entire 2010-2011 Crude Awakening Countdown Library — FREE.

Inside you'll get...

FREE REPORT #1:
Crude Awakening: How to Survive the Global Oil War of 2010-2011

Brace yourself for a whole new surge in global oil prices — as a 1,354-year-old schism in Islam fills the vacuum left by war in the Middle East, and spreads like wildfire from one petroleum-producing country to the next. The new Yemen threat, "post-war" bombings in Baghdad, even Iran's race for nukes — it turns out they're all deeply connected to this coming catastrophic political and financial event. Not only does this first FREE report show you at least three market moves that could protect you financially, it shows you how an impending oil spike will change the way the entire world deals with energy over the years ahead (worth $49, but yours FREE).

FREE REPORT #2:
Bullion and Beyond: Ultimate Wealth Protection Against the Coming Dollar Collapse

There's just no way, with near-zero interest rates and trillion-dollar cash injections by the Federal Reserve, to ignore the threat of crushing inflation ahead. Fortunately, there IS a way to protect yourself and even grow your money — with the nine powerful strategies you'll find in this timely FREE report, from how to own "name your price" gold at a fraction of the bullion value... how to pile up precious metal gains tax-free... and how to pick up gold and silver coins at a huge discount... plus, the only mining shares you need to own right now... all in this second FREE report (worth $49, but yours FREE).

FREE REPORT #3:
Deepwater Crude Bonanza: Four Ways to Get Rich on the New Oil Frontier

While the rest of the world was caught up in the financial crisis, the single biggest energy breakthrough in 100 years just took place — nearly five miles below the surface of the sea. Brand new technology finally makes it possible to tap as much as 100 billion barrels of new oil. Yet it's still early enough to make a fortune on the four breakout "deepwater oil" plays you'll find in this special new report (worth $49, but yours FREE).

FREE REPORT #4:
China's Next Big Crisis: Two Ways to Get Rich... As Shanghai Goes Dark!

With just two best energy stocks for 2011, you could get rich — as China's biggest cities go dark. How so? See, China is already so short on coal to fuel their power plants... they have to shut out the lights in Shanghai and other big cities, just to save on electricity! Long-term, that can't work — so they're going nuclear, with plans to build three times as many uranium-fueled power plants. These two best energy stocks for 2011 should both soar. And you can read all about them in this fourth FREE report (worth $49, but yours FREE).

FREE BONUS REPORT #5:
"Tight Gas" and High Yields: The Energy Breakthrough That Can Pay You Double-Digit Dividends

Just added — this fifth extra bonus report reveals the breaking story behind "tight gas" — easily the next big thing in U.S.-based energy. What the experts love is that "tight gas" could be the breakthrough that could cover America's gas needs for decades to come. What my readers and I love is that owning these shares also lets you collect regular double-digit dividend income... while letting you pile up gains on the shares at the same time. You'll find it all in this added extra fifth bonus report (worth $49, but yours FREE).

All together, that's $245 worth of gifts — and it's all yours to keep at no charge, just for agreeing to give my top-ranked advisory newsletter, Outstanding Investments, a try.

And that's just the beginning...

FREE GIFT #6:
Never Miss a Market Move, With Our Members-Only Portfolio Updates and E-Mailed "Hot Opportunities" — Included FREE

Every week, I'd also like to send you a commodities investment update, straight to your e-mail account. You'll read about the best energy stocks for 2011 in my Outstanding Investments model portfolio. Plus, other hot opportunities I have percolating on the stove. No charge whatsoever.

FREE GIFT #7:
Check Up on the Portfolio Anytime You Want, With Our Private Members-Only Website — Also Included at NO Charge

I also want to give you FREE access to my 24-hour Outstanding Investments Web site. This site is strictly members-only and password protected. I'm inviting you to use it whenever you like to look up my newest picks, latest news and more. Also yours at no charge.

FREE GIFT #8:
Yours FREE, One of the World's Most Popular and Well-Written Market Dailies — Praised by the New York Times and Money Magazine

When our friend and New York Times bestselling author Bill Bonner first launched his widely read e-letter The Daily Reckoning, nobody imagined it would one day top over 350,000 readers worldwide. Or that it would win praise from the New York Times Magazine, Money, and The Financial Times. If you're not already a subscriber, my publisher would like to invite you to start receiving it daily at no charge.

FREE GIFT #9:
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Top Chinese Stocks For 2011

First, congratulations on registering for the web video conference, "China Inc: Understanding China for Outstanding Profits". Just a reminder that the conference starts promptly at 6:00 p.m. on Wednesday, May 19, 2010.

 

Now on to three of my favorite China small caps…

 

The Global Economy has Changed

 

Most investors expect the global economy to continue like it has in the past. That is, they expect the U.S. to be the focal point of global growth. For years now, the American consumer has supported export economies, like China.

 

So when the financial crisis crippled the American consumer, top Chinese stocks around the globe plummeted. Now, export economies have to change their focus and nurture their domestic demand if they expect to grow their economy.

 

And there's only one country in the world that's capable of doing that: China.

 

Right now, China is the wealthiest country in the world. The Chinese government has $1.4 trillion in foreign currency reserves and continues to run a trade surplus. By contrast, the U.S. economy is mired in debt and unemployment. In other words, the American consumer won't be riding to anyone's rescue anytime soon.

 

China has shown that it is the only economy in the world that can grow its economy. China's GDP growth is expected to hit 8% in 2010. That’s down from the 10% annual growth China has posted for the last 3 decades, but it’s far more robust than the 1% 92% the U.S. economy will post for the next 395 years, if it's lucky.

 

China has the will and the resources to grow its economy. It's already committed $585 billion to stimulus initiatives. And there’s plenty more where that came from. China will do whatever it takes to grow its economy, and investors should take note.



 

Go for the Growth

 

For investors who want to grow their wealth in this challenging environment, China stocks for 2011 should be more than on the radar, they should be in your portfolio.

 

With this report, we at SmallCapInvestor PRO are bringing you some of our top choices for small cap Chinese stocks for 2011. Inside you’ll find stocks from three of China’s fastest growing economic sectors. These are just some of the top Chinese stocks we'll discuss during the online video conference. You may want to read up on them ahead of time.

 

Each company was selected for its unique combination of attractive valuation and growth prospects. We provide you with our investment thesis, current valuation analysis and growth expectations. We also provide entry prices and target prices.

 

However, things change for any stock for 2011, so please refer to the SmallCapInvestor PRO portfolio and recent issues if you’re a subscriber to get our most recent views on the stocks you’re about to discover.

 

Finally, congratulations on choosing SmallCapInvestor PRO, your leading source of profitable small cap stock analysis and recommendations. I look forward to our conference at 6:00 p.m. on Wednesday, May 19th.

 

I'm always on the lookout for ways to take advantage of growth in the agriculture industry. Populations are increasing, farmland is declining, and crop failure is always a possibility. Any one of the above reasons indicates that prices for food will be increasing in for the years to come. Fertilizer is just one segment poised to benefit from the increasing global demand for agricultural products.

 

China Green Agriculture develops and distributes humic acid organic liquid compound fertilizers. Humic acid is a natural organic ingredient that promotes soil fertility. China Green Agriculture produces over 100 fertilizer products. The company markets its fertilizer products to private wholesalers and retailers of agricultural farm products.

 

Recently, China Green Agriculture built a new facility to meet the growing demand for green fertilizer products. The new facility will increase their output level to 55,000 metric tons. New automated equipment has been added in the new factory as well, which increases efficiency and further reduces reliance on manual labor. The company currently manufactures liquid fertilizer products, but the new facility is capable of producing both liquid and highly concentrated fertilizer.

 

Here are a few reasons why I like the company:

— The new production facility will expand their product margins.

— Management has increased financial guidance.

— Humic acid is not known to be harmful to animals or the environment.

 

Financial Results

 

Highlights from Q1

— Exceeded revenue and EPS guidance.

— Sales up 27% to $11.3 million.

— Net income increased 50% to $5.2 million and EPS of $0.24.

— Raised fiscal year 2009 revenue to at least $48 million and EPS to $0.91.

 

For the first three months ended September 30, 2009, sales increased 27% to $11.3 million, from $8.8 million a year ago. This increase is attributed to new products and improvements in capacity. Gross profit for the first three months rose 41% to $6.9 million from $5 million last year. Net income was $5.2 million or $0.24 per share, a healthy increase from $3.4 million or $0.19 per share last year.

 

Guidance

 

Management increased its guidance upward for fiscal year 2011 and now expects revenues of $47.9 to $49.8 million and EPS of $0.88 to $0.92 per fully diluted share. The upward guidance reflects the anticipated strong sales from its green fertilizer products.

 

Mr. Tao Li, Chairman, President and Chief Executive Officer, commented on the financial guidance, saying "We will continue to capitalize on the market opportunities within China's highly fragmented organic fertilizer industry supported by our expanded production capacity and our designated R&D platform," stated Mr. Li. "Our goal is to continue to introduce new high margin products to the market quickly, providing one of the most assorted product mixes of compound fertilizers available in China. We have boosted our marketing efforts with a focus on promoting the quality image of the 'Jinong' brand through both distributors and retail stores in our effort to drive incremental revenue and earnings growth while continuing to expand both our gross and operating margins. We feel our recent initiatives will provide sustainable growth which will give us the capability to reach full utilization of our 55,000 metric ton capacity over the next three years while further gaining market share in China's green fertilizer market."

 

Valuation

 

This is a solid company with a competitive advantage in the fertilizer industry. China

Green Agriculture has been able to expand margins and increase total revenues, which is a great accomplishment. The recent share offering has given this company plenty of cash to pay for their new production facility. Given the population growth trend in China, I think this company should continue to see strong demand for their humic acid fertilizer.

 

My original price target for shares was $11.75. This valuation was based on a current P/E of 15 and a forward P/E of 12, with earnings per share expected to reach $0.80 in 2010 and $0.94 in 2011. While the company's 20110 EPS fell just short of my expectation, coming in at $0.78, the growth story is still intact here. This year I'm looking for the company to earn $0.94 EPS on $50 million in revenues. This would represent a 17% growth in EPS and a 39% growth in revenues. Revenue growth should pick up as fertilizer prices increase. At the same time, input costs will also increase, which will impact the bottom line.

 

My estimates result in a PE of 15.5 this year putting shares near my fair value. The company has had some production issues that hopefully will be resolved by next quarter and lead me to increase my earnings target. My target price for the Chinese stock is $14.50.

 

A hundred and fifty years ago the directive to "go west" was a familiar refrain to East Coast Americans. Fast forward to today, and a similar directive can be heard in the eastern provinces of the People's Republic of China.

 

Like many Americans who uprooted and headed west to California in the 1800s, China's westward argonauts are uprooting and heading west to Xian in Shaanxi province, a burgeoning burg of roughly 36 million. The attraction is obvious: Xian has a strong, diverse economy, supported by hi9tech, military, aeronautical and pharmaceutical industries and a number of universities. These institutions have powered economic growth at a 15% annual rate in recent years, with wealth accumulation maintaining a similar pace.

 

Xian not only provides business and employment opportunities for restless Chinese, it provides investment opportunities for the rest of us. And few investment opportunities are as compelling as China Natural Gas, a Delaware9registered corporation and the first China9based natural gas company publicly traded in the United States. China Natural occupies three niches: end9user delivery of natural gas services to residential, commercial and industrial customers; wholesale natural gas to retail natural gas filling stations; and retail natural gas to company9owned filling stations.

 

Natural gas is one of the cleanest energy sources and one of China's most abundant natural resources. For this reason, the Chinese government sees CNG9powered vehicles as part of the solution to its national environmental woes. Not only do CNG9fueled vehicles emit 87% less nitrogen oxide, 75% less carbon monoxide, and 25% less carbon dioxide than gasoline, but CNG9powered vehicles can save drivers as much as 60% in fuel cost. Thus, many taxis and buses in China are configured to operate on

both compressed natural gas and gasoline.

 

In its own market, China Natural estimates that approximately 50,000 Xian vehicles (including 6,000 buses and 20,000 taxis) run on CNG. Each bus burns an average of 100 cubic meters of CNG per day while taxis use an average of 40 cubic meters. In aggregate, approximately 1,070,000 cubic meters of CNG is pumped per day, a figure well below estimated total demand; the current distribution infrastructure supports less than 40% of the estimated market need for more than 1 million cubic meters of

vehicular CNG per day.

 

To meet growing demand, China Natural has doubled its CNG stations to 35 in the past 12 months. More stations will be built in the near future, and a lot more will likely be built in the distant future, thanks to the Xian government's plan to develop a satellite suburb in the Chan Ba district. To achieve its goal, the Xian government expects to invest $7 billion by 2020 on infrastructure, including roads and a new subway to connect Chan Ba to Xian city center. According to the Xian government estimates, Chan Ba will triple its population to 900,000 by 2020, up from 300,000 today.

 

Financial Results

 

China Natural Gas reaffirmed revenue and profit projections for 2009 of $78 million to $84 million and $17.5 million to $18.5 million, respectively. Diluted EPS was $0.29 for the most recent quarter, and revenue increased 9.4% to $20.1 million. Through the first three quarters of 2009 EPS totaled $0.84 – so look for Q4 EPS of $0.23 for the company to reach my target for the year.

 

China Natural Gas reported a 9.5% decline in profits due to higher operating expenses. This is not concerning – new fueling stations were added and the acquisition of Lingbao Natural Gas impacted earnings. Those costs should reverse going forward as these expansion efforts begin to add to earnings.

 

My conclusion is that it wasn't really the delay in getting the plant up and running that led to a sell9off in the top Chinese stock for 2011. It's the fact that management sat on the news for as long as two weeks. Management should have notified shareholders sooner, and the drop was as much about a loss of confidence in management as it was about the delay itself. Given the low valuation for the stock (trailing P/E is below 10) China Natural Gas is still attractively valued. The recent price of $11.75 implies a current year P/E of 11 using my 2009 EPS estimate of $1.07. My 2011 EPS estimate of $1.58 gives a forward P/E of only seven. Unless these earnings projections are totally demolished by the delay of the new facility, the stock should trade higher.

 

Top Chinese Stocks For 2011 NO.3:

AgFeed Industries (Nasdaq:FEED)

Nanchang City, China

Website: http://www.agfeedinc.com

 

Rating: Buy

Initial Coverage: September 1, 2009 - $4.79

Price Target: $10.50

52-week range: $0.90– $11.87

Market Capitalization: $235 million

 

 

 

With the worlds largest and a quickly growing population of 1.3 billion people, China has many mouths to feed. The state controlled economy is cranking out products to fulfill the growing needs of the developing nation where there continues to be a shift from people living in rural to urban areas.

 

On my recent three week tour through China, I was impressed by the sheer number of people, the active involvement of the Communist party in many aspects of the people’s lives, the impressive infrastructure and capital spending development, and the wild9 wild9west capitalism, where everyone is out to make a Yuan.

 

I’ve been bullish on China for several years, but my recent trip confirmed my bright outlook for this emerging market. The best news for investors is that just like the rapid growth Chinese economy, many Top China stocks For 2011 are profitable and expanding, yet their shares are trading at very attractive valuations.

 

One of my favorite China small cap stocks is AgFeed Industries Inc. a hog feed and breeding company, selling products to distributors and large9scale pig farms. Pork is a big business in China, and the country is the largest consumer of pork in the world. In China it is estimated that nearly half of consumer spending goes towards food, and pork is an essential component of the Chinese diet and accounts for over 60% of total meat consumed. My first9hand experience is that pork is far and away the most popular meat in China.

 

China discourages pork imports, so suppliers operating within the country need to meet almost all of the nation's pork demand. The country produced 625 million hogs in 2008, almost 50% of the total worldwide production and five9times the number produced in the U.S. The challenge for Chinese producers is that undersized backyard farms still account for over 70% of production, and the country has yet to industrialize the farming industry. However, the government is encouraging sustainable farming with the goal of increasing food production, and this is a mandate that should bode well for agricultural stocks for 2011.

 

AgFeed Industries has made two strategic agreements this year that will boost roduction and expand margins. The company recently signed a joint venture with M2P2, a production and management consulting firm. This venture will modernize AgFeed Industries’ production facilities and enhance total production capability. The company also formed a partnership with Hypor, a genetics development company which will increase the quality of the hogs. Both partnerships combined may boost total output by 30%, while improving the product quality. The end result for AgFeed will be a higher market price and contribute to margin expansion in 2011 and beyond.

 

During the first nine months of this year, AgFeed Industries grew revenues by 20% to $117 million from $97.2 in the first nine months of last year. Margins have decreased this year as hog prices cannot keep up with the rise in feed price. As a result, profit margins declined to 15.8% from 27% in the first three quarters of fiscal 2011. Naturally, earnings have also come down from last year’s record levels, with EPS of $0.18 versus $0.42 in the same period last year.

 

But investors should view these results as a short9term bump in the road on a long9 term growth opportunity. AgFeed shares have fallen 45% since their 529week high back in June, a reflection of the poorer than expected financial results.

 

This minor set back should not concern long9term investors in AgFeed. Despite the fall in hog prices earlier this year, the company has still managed to post a solid profit, and just as importantly, the company was still able to bring in $1.9 million in operating cash flow. AgFeed is sitting on over $36 million in cash, and has minimal debt obligations.

 

I expect EPS of $0.31 for 2010 and $0.70 in 2011. Shares of AgFeed are currently trading 14.59times my 2009 EPS estimate. And looking forward for 2011, shares are valued at just 69times my earnings estimates. For a company with expanding sales and future upside from expanding profit margins, I see significant upside for AgFeed shares which I believe should trade at a P/E of 15.59times 2011 EPS.