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Coal producers mixed on EPA plan, Walter Energy -6% despite statement

  • Walter Energy (WLT -6.3%) shares aren't helped by the coal producer's statement that new EPA proposals aimed at controlling carbon emissions from U.S. power plants should have no material impact on the company; in fact, WLT is down more than peers: CNX +1.1%, BTU +0.1%, CLD -0.3%, ACI -2.8%, ANR -4.6%.
  • Long-term losers also will include electric companies that burn lots of coal - such as American Electric Power (AEP +0.1%), Duke Energy (DUK -0.3%), Southern Co. (SO -0.3%) and NRG Energy (NRG -0.1%) - but stiff regulations have been expected for some time.
  • Likely winners include companies that pump natural gas and those that use it as their primary fuel, such as Calpine (CPN +0.3%), and companies that operate nuclear plants that generate little carbon but have been expensive to run, such as Exelon (EXC -1%), hope that their aging plants will become more competitive.
  • A reduction in coal-fired capacity would increase utilities' demand for natural gas by 3B-10B cf/day from 22B cf/day now, potential benefiting major natural gas producers like Chesapeake Energy (CHK +2.1%), Cabot Oil & Gas (COG -0.8%) and Range Resources (RRC -0.6%).
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Comments (26)
  • Tucker Dude
    , contributor
    Comment (1) | Send Message
     
    An increase of 3BCF -10BCF per day?
    2 Jun, 04:39 PM Reply Like
  • User 353732
    , contributor
    Comments (4910) | Send Message
     
    1. The excess coal will be exported to both Asia and Europe. Asia especially has no use for US hysteria on coal use and will be glad to get the supplies

     

    2. Litigation, political reaction, legislation etc will both delay and change this plan substantially. It is designed to bail out grossly uncompetitive renewable energy investments by billionaire members of the US Regime who rely on political perversion rather than innovation to make themselves very rich at the expense of middle class families.
    2 Jun, 04:42 PM Reply Like
  • mapodga
    , contributor
    Comments (3085) | Send Message
     
    LOL
    2 Jun, 07:56 PM Reply Like
  • MWinMD
    , contributor
    Comments (2175) | Send Message
     
    You've fit a pretty impressive number of outdated industry-sponsored tropes against responsible action into two snappy paragraphs there, User. Congrats - I'm sure Koch Industries is very appreciative!

     

    Wind power now competitive with coal, so Buffet puts $1 Billion bet on it.

     

    http://bloom.bg/1fAJIEN

     

    Solar reaches parity in two states, many more to come, warns Barclays:

     

    http://read.bi/1nJ81bi
    2 Jun, 08:58 PM Reply Like
  • Blue Horshoe love Anacot Steel
    , contributor
    Comments (284) | Send Message
     
    mwin, you sound like a parrot spouting a bunch of mindless liberal talking points. coal keeps the lights and the refrigerator on for the poorest people. solar and wind rely on fed subsidies and are useless when the wind is not blowing and sun is not shining.

     

    you mention the Koch brothers... I ask you, why do you think just about all the other billionaires support leftist (communist) agendas? Is it that they are all nice people and they want the world to be a nice place? Why is it that uber-rich oligarch billionaires love socialism so much? Think about it.
    2 Jun, 11:37 PM Reply Like
  • Stone Fox Capital
    , contributor
    Comments (6263) | Send Message
     
    Blue Horshoe,
    You've hit on a very interesting point... how is it really possible to be a billionaire that supports the leftist thoughts? If you believe in a higher minimum wage, why haven't you implemented it at all your businesses? If you believe in climate change, why haven't you installed solar and wind at all costs? How is it that they've accumulated so much wealth while concerned about the well being of the poor citizens? Wouldn't all of your profits turn directly towards social benefits and welfare?
    3 Jun, 12:26 AM Reply Like
  • Arthur Fisher
    , contributor
    Comments (246) | Send Message
     
    It's good for CNI, transporting coal to pacific ports, but it won't outlast Obama, nor will anything much happen soon. All these decrees for how things should be fifteen years from now are just delusional. "Planning" without investment = 0. Everybody loses but the feel-good environmental whackos. Coal usage was already declining. This is just Obama playing to his shrinking base.
    2 Jun, 05:25 PM Reply Like
  • flyerguy1300
    , contributor
    Comments (310) | Send Message
     
    Chesapeake will continue to rise higher if the extra 3-10 b/cf is really necessary.
    2 Jun, 05:54 PM Reply Like
  • westelk
    , contributor
    Comments (278) | Send Message
     
    Yes, this wonderful except for consumers. Those who heat will NG will feel the pain in their pocketbooks, and may have unheated homes. Shale wells decline preciptiously and racheting up use will eventually result in production unable to meet demand.

     

    The East Coast has no idea of how much power is imported from the coal burning plants in the Midwest. There will be pressure to keep the watts at home and let the East freeze in the dark.
    2 Jun, 07:11 PM Reply Like
  • DevilDog85
    , contributor
    Comments (266) | Send Message
     
    Let the Northeast freeze. Look at the idiots they vote for.
    2 Jun, 08:54 PM Reply Like
  • MWinMD
    , contributor
    Comments (2175) | Send Message
     
    Maybe we should just let you folks out west burn to the ground in your now-record-breaking warming-fueled forest fires, and stop subsidizing your unsustainable science-ignorant lifestyles. Ya think?
    2 Jun, 09:05 PM Reply Like
  • DevilDog85
    , contributor
    Comments (266) | Send Message
     
    Not allowed to cut out dead trees per the environmental control freaks. They must remain. The only unscientific thinking belongs to the radical progressive. All emotions lies, all the time. Look at your emotional post. ,
    2 Jun, 09:36 PM Reply Like
  • DevilDog85
    , contributor
    Comments (266) | Send Message
     
    And not record breaking warming. That was the 70s. We have droughts too. This is what happens in desert climates.
    2 Jun, 09:38 PM Reply Like
  • Blue Horshoe love Anacot Steel
    , contributor
    Comments (284) | Send Message
     
    we just had the coldest winter on record. think before you call others "ignorant"
    2 Jun, 11:40 PM Reply Like
  • westelk
    , contributor
    Comments (278) | Send Message
     
    Actually, in the early 70's both Time and Newsweek ran cover stories about the impending Ice Age after citrus crops were decimated in Florida and industries using NG were told to curtail usage so it would be available for home heating.
    3 Jun, 08:36 AM Reply Like
  • MWinMD
    , contributor
    Comments (2175) | Send Message
     
    Yawning at the 45,624th repetition of this tired conflation of what the popular media said about what was happening in the 70s, with what scientists were predicting at the time: coming warming. Yes, by a ratio of six to one, climate scientists in the 1970s were more worried about the greenhouse effect, than they were about the short-term cooling trend of the time (caused by aerosols from the post-war manufacturing boom):

     

    http://bit.ly/1oyf5Yj

     

    Not that I even dream that pointing out the blatant dishonesty of this talking point will keep you from dutifully plastering it up on some internet comment board in the future. But it's important to shame you humanity saboteurs when you do. Done.
    8 Jun, 03:32 PM Reply Like
  • MWinMD
    , contributor
    Comments (2175) | Send Message
     
    "we just had the coldest winter on record. think before you call others "ignorant" "

     

    This wasn't even the coldest winter in the last 40 years here in the 2% of the planet that you people seem to think represents the earth.

     

    And it was one of the hottest northern hemisphere cold seasons in recorded history, here on EARTH. You know, the planet you (purportedly) live on? Here ya go:

     

    http://1.usa.gov/1ho0erd

     

    Yessss, the earth is a wee bit bigger than your backyard! Now who'd have thought??
    8 Jun, 03:36 PM Reply Like
  • mapodga
    , contributor
    Comments (3085) | Send Message
     
    The prices for natural gas in US will grow and for coal will drop.

     

    There won't be any export of Natural gas because it won't be profitable. But it could make profit to export coal
    2 Jun, 07:59 PM Reply Like
  • DGI_Dan
    , contributor
    Comments (77) | Send Message
     
    You know what this means, rates for electric and natural gas will go up for all customers.
    2 Jun, 08:35 PM Reply Like
  • DevilDog85
    , contributor
    Comments (266) | Send Message
     
    Dan,

     

    Obama said utility rates would necessarily skyrocket.

     

    Obama cares only about Obama. He does not care about giving up a deserter for 5 Taliban. Obama has no moral compass. He is a megalomaniac. This was all available before two national elections. Now the coal miners from the United Mine Workers Union can thank each other for losing their jobs by selling their votes.
    2 Jun, 08:52 PM Reply Like
  • rossbro
    , contributor
    Comment (1) | Send Message
     
    What's all the crying about? Smokestack industries have been choking us for over a hundred years. It's about time they put some money into modernization. All industries go through this phase. Look at : shoes, clothing, plastic items, autos, steel. Now it's coal's turn. Now, it's time to put some earnings back into the egg-laying Goose.
    2 Jun, 09:19 PM Reply Like
  • DevilDog85
    , contributor
    Comments (266) | Send Message
     
    Yeah, another evil corporation. You mental midgets all sound the same. Obama bypassed Congress to do this. This is what you call tyranny.
    2 Jun, 09:39 PM Reply Like
  • gkalbfleisch
    , contributor
    Comment (1) | Send Message
     
    No way that NG will be able to keep up with demand. Look for substantially higher NG prices in the future that will make the cost of electricity (and heating) a budget breaker for many families. Not using our abundant coal resources is one of the stupidest plans I have ever seen.
    2 Jun, 09:19 PM Reply Like
  • WPSPIKER
    , contributor
    Comments (1158) | Send Message
     
    Dan true

     

    "Obama said utility rates would necessarily skyrocket." the ONLY QUOTE that Obama has kept...

     

    For (WLT) they make MET COAL 90 something percent so that coal will still be used to turn cast iron into Steel. Smelters have no other viable GOOD source of the carbon needed to make steel so that is what will still be used. They will keep selling well into future for (AKS) (X) and even overseas to Japan, India and China who need high quality Met Coal. Much of it will come from Australia from their mines there.

     

    On a play to cash in on this LONG TERM is to buy the Electrical Generators who use Nuclear as their base power source. Wind and Solar are OK but still require base load to be running when wind/sun is not. Look st one which was beaten down over last two years is (http://bit.ly/qbie0S) it has mostly clean electrical generation in nuclear and with some water/wind/solar. Next would be companies who already are set with getting rid of Old Coal plants in favor of already cleaner ones such as (http://bit.ly/LEd5sN). Both are near their lows with lots of room & good yields, stay away from ones who have lots of OLD coal such as (http://bit.ly/LsLuta) or ones who have ran up a lot such as (WEG)

     

    M
    2 Jun, 09:22 PM Reply Like
  • seeking betta
    , contributor
    Comments (183) | Send Message
     
    No no - the flat earthers may prevail - climate science is all a hoax. It's actually getting colder. The glaciers are actually growing, it's all a Obama conspiracy. Much preferred to keep literally blowing up W Virgina - what's the value of a few thousand watersheds compared to King Coal. Meantime, utilities are scared witless that solar may take over the grid, and fight it's viability wherever possible. Hello, Arizona Power Systems? Solar in Arizona - it will never work! You climate denying flat earners will eventually wither away and die. Just how it is. Perhaps too late - but nevertheless, in the fullness of time. But oh yes, thinning out dead trees - that will make a difference. Abundant coal reserves indeed - never mind that every day solar makes inroads. Southern Companies buys a solar farm - yes, liberal whackos,indeed.
    2 Jun, 11:31 PM Reply Like
  • matt8265
    , contributor
    Comments (125) | Send Message
     
    I'm buying ACI and ANR which have been beat up. At the end of the day, 5 billion tons of coal has great value. When NG soars, coal prices will follow. NG up 100% in two years and 1.7% yesterday as the gouging begins.

     

    $5.00 propane 4 months ago. You really going to cut coal? ... I don't think so.
    3 Jun, 08:09 AM Reply Like
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