Invest in Mines, Oil Wells and Farms... All at Once!

What do gold mines in South Africa and Alaska have in common with tar sand operations in Canada? And what do these kinds of operations have in common with a gigantic deep-water drilling vessel in the Gulf of Mexico? What major systems do they have in common?

The fancy name is ‘fluid control.’ The more common name is ‘pumps.’

Every mine needs to pump out the water. Every heap leach needs to pump the leaching material and recover it. Every oil sand operation needs to move water and oil, in one form or another – hot, warm or cold. Every oil-drilling operation needs to move mud or cement, or maybe even oil and natural gas. Plus, every pipeline for every fluid needs a unique form of pump to move product down the line.

And at the end of the day, you need pumps to move water. Move the river water into industrial applications, or agriculture, or over to the treatment plant. Move the treated water to your home. Move the used water down the sewer lines for further treatment. Move that treated water back into the water flow cycle. We live in a world of pumps.

In fact, the market for these goods is so vast – so “obvious” – that I have a hard time figuring out who does NOT need the items. There’s an utterly world-spanning market out there for these kinds of products. It’s a market that extends so far to the horizon, and beyond, that I don’t even know where it ends.

Byron King
for The Daily Reckoning