Finally, the financial markets have caught on as to how hot molybdenum stocks could get. While we began researching molybdenum about a year ago, and only first publishing in July 2006, molybdenum commentator Ken Reser has practically been the lone voice in the moly wilderness for investors. (We understand there have been several tout sheets hyping molybdenum stocks for nearly as long, but we cant include those in serious discussions about this metal.)
Now that molybdenum traders have grown more bullish about the metal, we expect molybdenum pricing to continue higher. Ferro moly prices have continued firming up. Some quantity is now selling at US$76 per kg in Europe. One report indicates a recent moly oxide sale at $31/pound.
The emergence of the Sprott Molybdenum Participation Fund (TSX: MLY; OTC Pinks: SMPCF) might only suggest the beginning of stronger institutional interest in primary molybdenum producers and on-the-horizon molybdenum producers those whose projects could be online by 2010 or sooner.
In March 2005, Ken Reser penned a short editorial entitled, Molybdenum: The 21st Century & Beyond Metal.
Mainstream analysts had not really bothered to investigate the numerous uses for molybdenum prior to Ken Resers discussion. Since then, molybdenum stocks have had an incredible run. Mainstream media, such as Canadas Globe & Mail, Dow Jones MarketWatch, The Australian and Londons Daily Telegraph have featured molybdenum in their articles and named some of the favored companies.
Now that molys time has come, many have passed Ken Reser by, aside from our Australian colleagues, FNArena.com. This is often the fate of pioneers who pave the road and point the direction where investors should head. Pioneers are oft forgotten, although streets are later named after them.
Thats not going to be the case if we have any say in this. Ken Resers moly repertoire has been extensive. Editorials since his seminal article have discussed moly uses in oil and gas de-sulphurization, catalysts, coal liquefaction, energy pipelines, oil super tankers, drill stem tubing, super alloys, nuclear reactors and turbines among others.
What many thought was fiction Reser preached, more than two years ago, are ideas now at the forefront of mainstream discussions among highly respected analysts. The International Molybdenum Association (IMOA) should be thankful Ken Reser attracted such a high level of investor interest to the moly mining sector over the past two years.
Well, the pioneer is alive and well. Ken Reser has more insights into molybdenums future. And we invited Ken to publish them in his commentary below.
Ken Resers Commentary
Little attention has been given to a few other aspects of this metal of mystery, in a world growing and changing so rapidly. I have little doubt there are more than a few uses of moly. New discoveries are waiting in the wings.
One case in point is Nano-Particle technology involving molybdenum.
