resourceman

Coal is the Next Fertilizer

Nice piece Trader Mark. I agree that COAL is a 2009 story, and on and on ! Our government is in complete denial on coal & yes, the next admin. will probably also have their head in the sand. Plentiful coal , I believe, could be the bridging commodity we will use for power generation until we finally accept that nuclear power in the best energy source-- who would have believed that those crazy frenchmen could figure this out long ago--now they,re off the fossil fuel habbit. There are viable technologies currently available to clean-up coal for power generation. I live near Tucson Az. where our largest power company , AEP , uses coal. I,ll bet most of my fellow Arizonans don,t even no that. You can see these huge unit trains of 90 cars full of coal arriving regularly--and we don,t really have a pollution problem here. Liked your comments on THE ANALYSTS. They generally missed this move in coal stocks. What really gals me is they,re habit of setting a price target on a company,s stock , and when it reaches that price they brand it " overpriced " and downgrade it on valuation--What Nerve ! The thought that it could rise above MY PREDICTION is inconseivable. I too own ANR , ICO , WTN.TO & CBM.L ( which owns 45.7% of Wtn.To.) for the long term.

Coal Investors Partying Like It's 1999

ANR is an excellent LT investment in the coal sector. It,s the largest U.S. supplier of met coal & shipped to 17 different countries last quarter. They report that they have 21 million tonnes of met coal that is either unpriced or uncommitted for 2009 & 2010. For those investors/speculators who want a low priced idea in the sector, I suggest Western Canadian Coal Corp. symbol: WTN.TO, which trades on the Toronto Exchange at about $6.00. The interesting aspect of this company is that they announced on May 7 that they negotiated a majority of their 2008 hard coking coal contracts at an aver. price above $300 per tonne ( 365% above prior prices ) and a majority of their 2008 low-vol PCI ( pulverized coal injection coal ) at approx. $248 per tonne ( 350% above prior prices ). CEO John Hogg says " company should be producing significant cash flow shortly "--well I guess so !! WTN is 45.73% owned by Cambrian Mining PLC , which trades on the LSE under the symbol CBM.L at a price of 194.00 GBP. WTN plans to increase their capacity for high quality met coal which now stands at 3.7 million tonnes per an. They recently added 15.7 million tonnes , or 18% , to their coal reserves. These 2 stocks could be real winners over the next several years--or until supply of met coal exceeds demand. I have positions in all 3 companies mentioned.