Chapter 276: Looting the Minerals of Australia

Jason arrived in Perth with his team of assistants and lawyers. Hardy had arranged for his private plane to expedite their journey. Columbus accompanied them, and within a day, they reached Perth, the capital of Western Australia, to apply for a concession license and purchase land from the state government.

Why not contact the Australian government directly? 

Despite Australia's status as an independent continent, it operates under a federal system, similar to the United States. States have considerable autonomy, so to purchase mining rights, one must negotiate with the state government.

Australia encourages private mining ventures, making it relatively straightforward to obtain a concession mining license. The government benefits from this industry through substantial income, including a 30% income tax on mining profits.

Jason's team swiftly secured the mining license. In fact, acquiring the concession license alone suffices; purchasing land is optional. However, Hardy's ambition led him to pursue additional land.

Jason inquired with the head of the state mining department about available land for purchase. The official responded with a smile, presenting a map of Western Australia. Red areas indicated private ownership, green areas were government-owned, and blank areas were reserved for public projects. Green areas could be purchased, with prices listed for each plot.

The prices were 3-6 Australian dollars per hectare. Considering the enormity of the available land—100 million hectares in total—the costs were substantial. In 1948, 3-6 Australian dollars per hectare represented a modest investment compared to the current rates. For context, an 11 million-hectare ranch in Australia was recently sold for 325 million Australian dollars, making the per-hectare price as low as 30 Australian dollars.

Despite the slow rate of land appreciation, Hardy was intrigued. Even barren land offered the allure of potential ownership. He recognized that future discoveries might uncover valuable mineral deposits.

Hardy's financial situation was strained. Although he had assets exceeding one billion dollars in Wells Fargo Bank, most of it belonged to depositors. His previous acquisitions had involved significant loans, including 160 million from Bank of America for Rich Country and another 380 million for additional shares. While his businesses were profitable, the debt burden was considerable.

The land in Western Australia was a high-risk investment. Without mineral deposits, it was essentially worthless. However, Hardy believed that substantial mineral resources likely lay beneath the surface.

After contemplating the investment, Hardy decided to proceed.

"Sell!" he declared. "I came here to make a mark, and I'm going to seize this opportunity."

He instructed his secretary to contact Andy and his team, asking them to return immediately. The president of Wells Fargo Bank would now oversee the mission. Hardy planned to visit Australia himself later.

Jason was directed to purchase 20 square kilometers of land around the gold mine and negotiate a lower price for the rest. Columbus was tasked with assembling a more professional team to further assess the gold mine's reserves and quality.

Hardy also instructed Andrew to discreetly acquire shares of Walsh Mining, ensuring not to cause a sudden surge in stock prices.

Two days later, Andy returned to Los Angeles.

"Boss, why the sudden urgency?" Andy inquired.

"Columbus discovered a significant gold mine in Australia. I've asked Jason to handle the formalities. The Western Australian government is selling a vast amount of land, and I want to buy as much as possible. I need your help to manage this." Hardy explained.

Andy was astonished. "One million square kilometers? That's enormous!"

"The government is selling this land because it's unfit for development, except for mining. The Western Australian government is also experiencing internal political issues, making this sale more feasible. They are trying to offload land quickly."

Andy expressed concern about the substantial cost. "What's your plan?"

"I intend to leverage Walsh Mining's rising stock price to fund the land purchase. We'll drive up the stock price with good news and use those funds to acquire the land."

Andy agreed with the strategy. "Your plan seems feasible, boss."

The next day, Andy contacted the bank to reclaim Walsh Mining's stock mortgage and began buying up outstanding shares. Despite the initial slow performance, Walsh Mining's stock price began climbing, reaching $1.5 per share.

Rumors spread about Walsh Mining's discovery of a large gold mine, further boosting the stock. The share price soared to $1.8. 

The stock price surged even more when Hardy Mining announced the discovery of a gold mine in Australia, with preliminary estimates of 500 tons of gold reserves. The stock price shot up to $11 per share following this announcement.

Hardy Mining also announced a stock split, dividing each share into four, which further increased the share price to $3.3. 

Additional exploration revealed that the gold content was higher than initially estimated, leading to another stock price surge. Hardy Mining's share price continued to rise as the company prepared to establish its Australian branch and commence full-scale gold mining operations.

Hardy's plan was working flawlessly. By driving up the stock price and using the funds for land acquisition, he maximized the profitability of Walsh Mining, now rebranded as Hardy Mining. The strategy proved effective, demonstrating the power of strategic investments and market manipulation.