Commodities Bubble: Why I'd Avoid Iron Ore at Current Levels [View article]
Current price trend is exciting, and should continue for the next year, but the music will stop when the developing capacity hits the market.
The graphical representation of capital expenditures above indicates an appealing optimism. Mesabi fee owners are enticing potential operators with advantageous offers, edible commodity brokers and junk dealers are in serious ventures concerning the production of products for the iron market. Eastern Canada is being considered as a greater source of product with expansion of existing, and of raw new ventures based on a restudy of the cores of castoff properties, this expansion requires an extension of market to far off Asia. Brazil, India and Australia will be expanding while working to reduce the effect of inhibiting traditions and policies imposed by politics.
Iron ore trade has become a more dynamic market with much sharper moves. Labor, rail and equipment costs are also moving,but often only move up on long contracts while the short contract price of the iron product may move every few months possibly resulting in an uncomfortable squeeze.
Northshore Mining's January Shipping and Its Implications for Mesabi Trust's Q1 Distribution [View article]
Good information about an equity that is seldom covered by the financial press. Question suggested about the continued existence of Mesabi Trust as regards the mineral deposit limited to the original trust lands. What is the expected life of the deposit?
China Lights, Global Floods, Australian Coal [View article]
Comments regarding Queensland coal and flooding are blather on the disaster. Properties will be back in production within weeks or months. Material effect will be temporary, but lives of thousands have been permanently impacted.
Wind Power: Bad News Blows In From Denmark [View article]
Early comment about the danger of proximity to nuclear plants did not receive much attention. What has been the experience of our nuclear navy? Have the sailors suffered excessive dosage of radiation? Have there been excessive incidents of exposure? Is the environment aboard a nuclear powered sub more dangerous than a Diesel-electric powered vessel?
Why isn't the experience of the nuclear fleet not developed as an example of the safety of nuclear power? Is it so safe that we take it for granted? Or so dangerous that we don't want to frighten the public
Book Review: 'The Monster: How a Gang of Predatory Lenders and Wall Street Bankers Fleeced America - and Spawned a Global Crisis' [View article]
Banks as predators is believable, but if managed by ethical persons they would not encourage the unqualified to assume greater burdens than it would later be possible for them to manage. The lenders had a responsibility in this mess to their institution, and to the public. Banks failed, and their failure was deliberate in order to increase the current flow of income. Borrowers failed to check the contract and in trusting the financial institution to not allow them to get in too deep.
Banks in the past would never loan more than the value of the assets being purchased, or that the reputation of the borrower would allow. Lenders should have known from past experience that home prices don't grow to the sky when there are ever greater numbers of homes on the market.
U.S. Steel's Canadian Plant Closure Provides Backdrop for Potash/BHP Deal [View article]
I don't see the connection between USS-Stelco reducing operations and the sale of Potash. Steel is a struggling industry and Potash is vibrant. Growing demand for fertilizer will encourage the production from marginal sources that should bolster the value of the product of Potash.
Ref: Al-USA Your concern abut big business paying less in taxes should be pleasing for you as "big business" doesn't pay taxes:They just collect taxes from you their customer, and a lesser tax may result in lower price for you.
BOP failed on the refernced disaters, and yet ther has been little discussion of the cause of the BOP failure. Ixtoc blowout the BOP was insufficiently powerful. Horizion had no activation at a timely moment. In one case the BOP was inadequate and the other a lack of activation device.
Is the BOP just window dressing for the authorities and management to feel satidfied that all the "safety devices" are in place, but no one knows if they will ever be effective? That appears a significant failure by the manufacturer, driller and operator.
Fundamental Shift in Iron Ore Market Has Begun (Part 2) [View article]
Under the 20th Century system the price domestically was set by negotiations between producers and mills. Mills in most instances owned a substantial part of the mine and therefore could dictate the "responsible" price for the product. Capital, payroll, royalty, fees and taxes are easily carried in the fat years, but are a serious burden in the lean, so a balanced revenue stream benefited both miner and mill. Relationship of mine and mill ruptured with the advent of international miners; RTP,BHP,VALE. These producers control the resource and the facilities to shipment. No longer the cozy relationship of the past,but a contract relationship thatis honored and dependable.
It is now known how some Communist Chinese mills will dishonor a contract with their commanding purchases when the price is rising and the suppliers are foreign. How will differences be resolved? A secret court with hidden proceeding has been their practice. The fat-market price should include coverage for that future risk as price and delivery conflicts could arise in the lean years due to the leverage of the mills in a buyer's market and the experience cited in the article where the Chinese mills refused to honor the contract.
Steelmaking Ingredients Gain Bullish Traction [View article]
Check out the domestic producers and fee owners; CLF,MSB, GNI. Their stocks have anticipated the international news on the increased price of iron ore.
Article an obvious plea for protection and tariffs, both injurious to America. Relationship of yuan and labor cost and the US $ will not remain the same as they will eventually change, and sometimes to the benefit of the U.S.
Why Is Congress Agnostic About Natural Gas? [View article]
Comments are heavy with frustration, but this is a technology new to the public, and will require time for acceptance. It is not as easy as depicted: Attach a hose to the household gas line. Whoa! The government didn't collect any tax on that transaction. Consider the cost of the conversion and household safety, and safety of operation as mentioned by the Italian correspondent. Pickens and McClendon propose the most feasible plan to get NG into our transportation system: Trains and trucks and a string of stations to serve along a central corridor of travel.
How Natural Gas Can Save the U.S. Economy [View article]
Great article! I'm new to this open discussion of the importance of using NG as central station power plant and vehicle fuel. Current price favors NG, but we will see the ratio change when the demand of the modified vehicles hits the road and central station gas-fired plants become the norm. Exploration and production are in place, web of pipelines available to transport for power plant needs, but the retail facilites to dispense must be constructed. Will the majors front the change over at their retail locations? Will the government allow their auto companies to produce the modified vehicles?
Chesapeake (CHK) vision of initially selling NG for commericial vehicles would be a logical beginning followed by the service for passengers cars. What is the latest on the Chesapeake intentions?
A Summary of UNG for New Investors and Traders [View article]
Appealing to you bloggers out there: What is the resaon for the relatively low price of Nat Gas? Certainly a better souce of energy than sunny mirrors, roof panels, corn-based alcohol, wind farms and tidal generators.
Currently the price is restarined by the inbalance of demad with supply, but what about the longer term? .
Commodities Bubble: Why I'd Avoid Iron Ore at Current Levels [View article]
The graphical representation of capital expenditures above indicates an appealing optimism. Mesabi fee owners are enticing potential operators with advantageous offers, edible commodity brokers and junk dealers are in serious ventures concerning the production of products for the iron market. Eastern Canada is being considered as a greater source of product with expansion of existing, and of raw new ventures based on a restudy of the cores of castoff properties, this expansion requires an extension of market to far off Asia. Brazil, India and Australia will be expanding while working to reduce the effect of inhibiting traditions and policies imposed by politics.
Iron ore trade has become a more dynamic market with much sharper moves. Labor, rail and equipment costs are also moving,but often only move up on long contracts while the short contract price of the iron product may move every few months possibly resulting in an uncomfortable squeeze.
Northshore Mining's January Shipping and Its Implications for Mesabi Trust's Q1 Distribution [View article]
China Lights, Global Floods, Australian Coal [View article]
Wind Power: Bad News Blows In From Denmark [View article]
Why isn't the experience of the nuclear fleet not developed as an example of the safety of nuclear power? Is it so safe that we take it for granted? Or so dangerous that we don't want to frighten the public
Book Review: 'The Monster: How a Gang of Predatory Lenders and Wall Street Bankers Fleeced America - and Spawned a Global Crisis' [View article]
Banks in the past would never loan more than the value of the assets being purchased, or that the reputation of the borrower would allow. Lenders should have known from past experience that home prices don't grow to the sky when there are ever greater numbers of homes on the market.
U.S. Steel's Canadian Plant Closure Provides Backdrop for Potash/BHP Deal [View article]
Mesabi Trust Is Picking Up the Pace [View article]
Why Taxes Are Going Up [View article]
Straight Talk on the BP Oil Spill [View article]
Is the BOP just window dressing for the authorities and management to feel satidfied that all the "safety devices" are in place, but no one knows if they will ever be effective? That appears a significant failure by the manufacturer, driller and operator.
Fundamental Shift in Iron Ore Market Has Begun (Part 2) [View article]
Relationship of mine and mill ruptured with the advent of international miners; RTP,BHP,VALE. These producers control the resource and the facilities to shipment. No longer the cozy relationship of the past,but a contract relationship thatis honored and dependable.
It is now known how some Communist Chinese mills will dishonor a contract with their commanding purchases when the price is rising and the suppliers are foreign. How will differences be resolved? A secret court with hidden proceeding has been their practice. The fat-market price should include coverage for that future risk as price and delivery conflicts could arise in the lean years due to the leverage of the mills in a buyer's market and the experience cited in the article where the Chinese mills refused to honor the contract.
Disclosure: No positions in companies mentioned.
Steelmaking Ingredients Gain Bullish Traction [View article]
U.S. Industries at Risk [View article]
Why Is Congress Agnostic About Natural Gas? [View article]
Pickens and McClendon propose the most feasible plan to get NG into our transportation system: Trains and trucks and a string of stations to serve along a central corridor of travel.
How Natural Gas Can Save the U.S. Economy [View article]
Exploration and production are in place, web of pipelines available to transport for power plant needs, but the retail facilites to dispense must be constructed. Will the majors front the change over at their retail locations? Will the government allow their auto companies to produce the modified vehicles?
Chesapeake (CHK) vision of initially selling NG for commericial vehicles would be a logical beginning followed by the service for passengers cars. What is the latest on the Chesapeake intentions?
A Summary of UNG for New Investors and Traders [View article]
Currently the price is restarined by the inbalance of demad with supply, but what about the longer term? .