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Good Evening Savvy Traders,
Hey, how’s it going?
I’d like to jump right into tonight’s new play in order to show you a very exciting trend that is happening right under our noses, as we speak.
In the last 6 months every time we’ve seen an increase in volume on NAFS we’ve also seen a significant run. And I mean every single time, without exception:
- In November of 2015 that event started when it was at .12… it ran to .40 for a run of 233pct.
- Later that month, and into early December, once again volume began to build as NAFS was around .06… it reached .245 for a run of 308pct.
- In February volume spiked as NAFS had slid to .075… it rocketed to .18 for a run of 140pct.
I’ll say them again: runs of 140, 233 and 308pct all following increase in volume. Every time… without exception… like CLOCKWORK!
Now follow me with this:
1) Yesterday volume was 2,500
2) Today volume began to spike closing at 62,500… about double its daily average
3) Tonight our network, one of the largest of its kind, is seeing, reading and focusing on NAFS.
If volume continues to explode, what do you think will happen?
We may be one of the first networks of our size to profile NAFS.
How high could it go?
Take a look at your Level2. We could be looking at an EPIC runner!
And that, ladies and gentlemen, is about as exciting as it gets… staring down the barrel at a historic triple-digit that has just started a Brand New Run… which is why:
Our Brand New Play is:
North America Frac Sand Inc. (NAFS)
www.nafsinc.ca
Quote & More: www.otcmarkets.com/stock/NAFS/quote
Impressive Presentation: Power Point Presentation with Proformas
Quick facts: One Page Info Sheet
Here’s the NAFS story, as quick and to the point as I can tell it:
Background:
North America Frac Sand owns renewable land leases with the right to extract frac sand from substantial mineral deposits. To date, NAFS has spent in excess of 2.5Mln Dlrs in qualifying and quantifying the sand deposit.
Frac Sand is a proppant, a high-purity quartz sand with very durable and very round grains used in the hydraulic fracturing process (known as "fracking") to produce petroleum fluids, such as oil, natural gas and natural gas liquids from rock units that lack adequate pore space for these fluids to flow to a well.
Demand for frac sand has exploded in the past several years as thousands of oil and natural gas wells are being stimulated using the hydraulic fracturing process.
The Proppant Market is expected to reach 19Bln Dlrs by 2019!
As you can imagine, with a 19Bln Dlr carrot in front of you, NAFS has been very busy:
- 66 holes core drilled and 107 for a total of 173 holes
- Total area tested is 12.9Mln sq/ft with average sand thickness of 10.5 feet
- NAFS has 1680 acres tested under lease and an additional 28,000 acres under options
The processing and laboratory testing of sand samples indicates that the sand deposit meets the API standards for the industry.
Development permits have been approved, the process engineering has been completed and the plant design has been configured.
As such, it seems that operations are set… the next stage is to go into production, where NAFS has yet another very distinct advantage.
NAFS’s Advantage:
North America dominates the proppant industry. It is the largest region, both in terms of volume and value.
And here’s the thing, NAFS is located on the largest deposit of Frac Sand in one location in all of North America!
NAFS has already made significant discoveries of frac sand. Current estimates are:
- proved 6.4 mln tonnes
- inferred 100 mln tonnes
Here is where the numbers get Really Big:
Important: This is why NAFS is on the radar to begin with, so pay close attention:
- NAFS expects Year 1 Annual Production to reach 600K tonnes
- 600,000 tonnes would equate to approximately 44.4Mln Dlrs in gross revenues
According to projections, by Year 2 production could reach 1.0 to 1.2 mln tonnes, which would equate to approximately 74 to 89Mln Dlrs in gross revenues.
See the numbers for yourself here:
http://www.nafsinc.ca/financial-facts/
Let’s put this in prospective:
Other players in this space include Emerge Energy Services (NYSE: EMES) and Hi-Crush Partners(NYSE: HCLP).
- EMES closed today at 4.57 with a market cap of 110.23Mln Dlrs
- HCLP closed today at 4.42 with a market cap of 163.36Mln Dlrs
According to NAFS’s fact sheet (see it here) EMES does about 86Mln Dlrs EBITDA per year with HCLP posting about 69Mln Dlrs.
NAFS’s proformas put the company at 71.3Mln Dlrs by Year 3… right in the mix with the big boys.
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Conclusion:
The numbers are astronomical.
NAFS themselves predicts revenues of 44.4Mln Dlrs in the first year alone.
Already a multi-Bln Dlr beast, the frac sand market is skyrocketing toward 19 Bln Dlrs by 2019.
As we said at the start, NAFS is a historical runner, posting several triple-digit runs when volume is on the rise… and it started rising today!
The chart is also starting to heat up. It’s not red hot yet, which is good because that could mean we didn’t miss it… but it is becoming attractive, particularly the short-term.
In fact, that ever-important 7 Day Average Directional Indicator just turned Green today!
Several other indicators are also very bullish at the moment, including the Stochastic and the Moving Average Convergence Divergence (MACD) Analysis, both listed as “Very Bullish” by StockTA.
Also, “Very Bullish” is the Recent Candlestick Analysis.
Situations like this do not come along every day. We urge members to take Swift Action to start researching NAFS right away.
NAFS closed today at .08. At these levels there could be a significant upside.
Be sure to have NAFS on your watchlist right away and on the very top of your trading screen tomorrow morning.
Remember, we always ask you to do further research. Always consult a professional.
Just because a situation looks great things can still go wrong and often do. Be smart and protect yourself.
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