Topic: How To Invest

Hi Pat: I really appreciate your advice and investment philosophies over the years. What is your opinion on Stonegate Agricom? Thanks.

Article Excerpt

Stonegate Agricom, $1.76, symbol ST on Toronto (Shares outstanding: 139.5 million; Market cap: $245.5 million; www.stonegateagricom.com), is focused on developing two phosphate deposits: the Mantaro project in Peru and the Paris Hills project in Idaho. The company first sold shares to the public for $1 each, and began trading on Toronto in April 2010. Sprott Resource Corp. (Toronto symbol SCP) holds 54.3% of Stonegate’s outstanding shares. Stonegate’s drilling programs continue to show mineable grades of phosphate. The company hopes to complete prefeasibility reports for both projects by the end of this year. Plants require three main nutrients: phosphate (P), nitrogen (N), and potash (K). Fertilizer’s three key ingredients are nitrogen made from ammonia and urea (N), phosphoric acid or P205 (P) and potassium or processed potash (K). Phosphate concentrate and sulphuric acid are the two main components of the phosphoric acid (P205) used in fertilizers. Rising global fertilizer demand is pushing up phosphate prices. Stonegate has risen lately, along with fertilizer prices and…