CD International Enterprises Inc (OTCMKTS:CDII) has skyrocketed out of sub penny land after the Company announced a Purchase Order of 240,000 Tons of Copper Concentrate, Valued at Approximately $350 Million, over the next 24 Months.
For a sub penny that was trading for $0.002 yesterday and a market valuation of several hundred thousand a $350 Million Purchase Order is big news and the market has certainly reacted transforming CDII from illiquid to the top traded stock on the entire exchange.
CD International Enterprises Inc (OTCMKTS:CDII) bills itself as a U.S.-based company that sources and distributes industrial commodities in China and the Americas and provides business and management corporate consulting services.
CDII Minerals, Inc. is a wholly owned subsidiary of CD International Enterprises, Inc. and serves as its commodities trading division. CDII Minerals sources, aggregates, and distributes three main products: iron ore, manganese ore, and scrap metals for companies located throughout the People’s Republic of China.
The scope of CDII Minerals’ services include: purchasing, financing, logistics, quality control, in addition to conducting comprehensive legal, financial, and technical due diligence on suppliers.
CDII wholly owned subsidiary, International Magnesium Group, owns and operates one of the leading producers of magnesium in the world. International Magnesium Group sources its magnesium from six production facilities in the People’s Republic of China, with a combined annual production and distribution capacity of approximately 80,000 metric tons of magnesium ingots and 10,000 metric tons of magnesium powder.
The Company also sources, aggregates, and distributes iron ore, manganese ore, and scrap metals for companies located throughout the People’s Republic of China through their wholly owned subsidiary CDII Minerals. The scope of CDII Minerals’ services include: purchasing, financing, logistics, quality control, in addition to conducting comprehensive legal, financial, and technical due diligence on suppliers.
To Find out the inside Scoop on CDII Subscribe to Microcapdaily.com Right Now by entering your Email in the box below
On December 2 CDII announced Capital Resources Management Corporation, a wholly owned subsidiary of CD International, has received a purchase order of copper concentrate for 240,000 tons over 24 months.
Per the purchase order, CD International will source 10,000 tons of copper concentrate per month over a period of 24 months. With today’s spot price of copper, the purchase order has a value at approximately $350 million. Management plans to source copper concentrate in Chile and Peru and expects to start delivery in 2016. In order to finance the transaction, we will use a transferable Letter of Credit issued by our buyer and transfer a portion of the Letter of Credit to our supplier to complete the transaction. The transaction will not need any extra financing.
CEO Dr. James Wang said “we are very excited with this purchase order. We have delivered copper concentrate from Chile and Bolivia to China in the past several years. In order to fulfill a niche market and facilitate smooth transactions, we have been working very hard in the past several years to strategically place ourselves between our suppliers in South America and our buyers in China. We believe a successful completion of this transaction will fundamentally change our company’s future for years to come.”
We have a Monster Pick Coming. Subscribe Right Now!
Currently racing up the charts CDII has minimal assets or revenues and significant debt with $7 million plus in accounts payable which will continue to leed to dilution. But CDII is one exciting story in small caps; up until today the Company was trading at a valuation of several hundred thousand and they just announced a $350 Million Purchase Order. Epic News indeed and it has propelled CDII to spectacular moves in a very short time. Enjoy the ride while it lasts but considering the circumstances of this Company I would take the $350 Million Purchase Order with a huge grain of salt. We will be updating on CDII as events unfold so make sure you are subscribed to Microcapdaily so you know what is going on with CDII.
Subscribe to Our 100% Free Penny Stock Newsletter. We Have Something Big Coming!
Disclosure: we hold no position in CDII either long or short and we have not been compensated for this article.