This ad started running late in 2018, and the article below was first published on February 4, 2019… the ad is sending a lot of questions our way this week and is almost entirely unchanged, and the article below is lightly updated to share some more recent news and developments.
The promise in Dave Forest’s ad for Casey’s International Speculator ($1,995, no refunds) is pretty monumental — he implies that one little company is on the verge of cornering the supply for a critical battery metal, and that this is keeping Elon Musk up at night.
Here’s a little piece of the spiel:
“Is Elon Musk’s worst nightmare coming true… 3.1 Million Electric Vehicles: Now Obsolete?
“One tiny company may be responsible.
“Early investors could turn a small stake into $55,000—fast.”
Who knows what “a small stake” might be (for some it would be $50,000, which would make $55,000 seem less impressive), but let’s see if we can ID this “one tiny company” for you.
Some more from the ad:
“This presents car companies with a unique opportunity:
“If one of them can get their hands on the entire nickel sulfate supply, they will essentially have a monopoly on 1-1-8 tech for quite some time…
“And, as a result, dominate the electric vehicle market, which I expect could soon generate $407 billion in revenue every year. (That’s more than the yearly revenue of Nissan, BMW, and Honda… combined.)
“It looks like one company has already caught on to this strategy.
“According to my research, Tesla is already trying to lock in long-term supplies of nickel sulfate.
“To avoid losing to Tesla, competitors must act fast.”
So what is this 1-1-8 deal? In Forest’s words:
“It is not a new battery.
“Instead, it’s a new chemical composition of a critical piece inside the battery itself:
“It’s responsible for storing and unleashing the built-up energy within each battery….
“The result of 1-1-8 tech is the most advanced, stable, and powerful battery in existence….
“It makes even the most advanced electric cars today look like they were built in the Stone Ages.
“The Tesla Model S—widely known as the best electric car today—can only last 335 miles on a single charge.Are you getting our free Daily Update
"reveal" emails? If not,
just click here...
“A car integrated with 1-1-8 tech is expected to drive 100 miles further.
“And actually costs less to build!”
So apparently this technology is already in most new electric cars…
“Within a year, most of the 400,000 electric cars made each quarter will use this tech. And it’ll only increase exponentially from there.”
And then we get to the crux of the pitch — how do you make money off this “1-1-8” business?
“… if history repeats, then a few suppliers of 1-1-8 tech materials will soon see explosive growth.
“One of These Elements Could Hand Early Investors an Absolute Fortune!
“It’s the “8” in 1-1-8.
“The 1-1-8 ratio, as you may have guessed, stands for a specific percentage of a certain element.
“10% is cobalt. It’s used to improve the battery’s cycle. Meaning, it extends the life of a battery.
“10% is manganese. It’s used to stabilize the battery.”
OK, so what’s that “8?”
“It’s a rare, highly conductive material found in meteorites.
“Its scientific name is NiSO4(H2O)6.
“It’s the purest form of nickel mined from magmatic deposits deep inside the Earth.
“It’s called ‘nickel sulfate’—and it’s pretty rare.”
And despite that rarity, we’re told, it’s not all that expensive just yet…
“These days, a pound of cobalt—another battery material—costs $28.
“Today, a pound of nickel sulfate still sells for just $1.78. Pretty cheap.”
That’s no longer true, Cobalt did spike from about $10 per pound in 2016 to $40 in early 2018, and it was in the $20s when this ad first ran, but they didn’t bother to update the numbers — it’s now around $16.
He pulls out examples of past “battery metals” that spiked in price, including cobalt, lithium and vanadium, in predicting a big surge for nickel sulfate…
“I wouldn’t be surprised if nickel sulfate surged 200, 300, even 500% from here.
“The few companies who mine nickel sulfate are about to see their value shoot through the roof!”
And that is still a valid prediction here in November of 2019, nickel sulphate is widely expected to see supply shortfalls as demand increases for electric car batteries — there was a good Wall Street Journal article on that just a couple months ago and this has been predicted for several years, so it’s not exactly secret news, though nickel has been so volatile, and so tied up in trade-war worries, that there is probably still not enough investment in increasing production.
So, naturally, this is when we get to the “one tiny company” bit about your future riches:
“But one tiny company in particular may see far greater growth than any other.
“Insiders seem to know this…
“They’ve been snatching up shares at an unusually rapid pace. It’s obvious they’re getting ready for a big payday.”
OK, so insider buying is good… and extremely rare in mining stocks, in my experience. So that’s interesting. What other clues do we get?
“On June 11 of this year, a $341 billion conglomerate acquired a 19.9% stake in this company. They paid a 43% premium.”
(That’s 2018, the ad has been running for a year or so now — and yes, I can see why