paul.hendry

KAL Energy: Avoid This Stock At All Costs

Hallgarten & Company who Mark Turner works for.

KAL Energy: Avoid This Stock At All Costs

HALLGARTEN AND GARTEN : A COMPANIES ADVICE I WOULD TAKE WITH A PINCH OF SALT.

KAL ENERGY : JORC compliant resources = 204 million! "exceeds initial estimation"

KAL Energy: Avoid This Stock At All Costs

Mark, you raise some valid points although now the company has its proven resources of 204 million that takes the most important one of your list.

You have gave this new founded company a complete bashing for being what..a new company. The have extremely good fundamentals and also have lots in their favour moving forward..lets remember they are a Junior Mining Company so therefore like all junior companies financial challenges lie ahead as they strive to go into production. Share dillution again like most Junior companies will happen but I think all who invest in the Juniors are aware of this as will probably be the case with KALG.

When it comes down to Bob Moriarty..his reputation for investing speaks for itself can we say the same for you...lets wait and see..hope you put your money where your mouth is..I now where mine is!!

Kal Energy: A Smallcap Start to the Coal Stock Boom

WolfStone and all FYI......

While tons of money have been made in the most recent up-cycle (about 7 years) in the coal business, and it may be a good investment for the future......

.....the company being promoted by the owner of the elaborate 321energy.com website, KAL Energy, Inc. (KALB on the over-the-counter market), is a classic case of why I do not believe anything that anybody tells me about an OTCBB stock.

For instance, amidst the glowing recommendation by "Bob Moriarty" he says: ""I have a third party report on KAL Energy done by Tri-State Capital in early March. According to their figures, KAL Energy has a NPV (Net Present Value) of $776 million US. According to the stock market, the company has a market cap of about $91 million. I think Tri-State's figure is lot closer to reality and the stock remains very undervalued."

What Mr. Moriarty is not telling anyone is that "Tri-State-Capital" is not the independent invest advisory firm it sounds like. It's sole business appears to be creating hype for companies when it is hired to do so:

www.tristatecapital.co...

KAL Energy, Inc. likes Bob Moriarty a lot! They link to his article from their own website:

www.kalenergyinc.com/i...

Hey! www.kalenergyinc.com proudly links that exact same Tri-State-Capital article from their website too!:

www.kalenergyinc.com/i...

Read that report. It is basically 22 pages of "paid-for-hype". If you read carefully enough, you start finding little details such as:

"As of November 30, 2006, KAL Energy had current assets of $115,123, consisting of $11,123 in cash, $90,000 in a loan to Thatcher, and a note receivable of $14,000 from its former consultant. This consultant repaid $31,000 of the $45,000 due and owing to the company. As of November 30, 2006, the company had liabilities of $55,766, consisting of accounts payable and accrued liabilities of $12,946 and a non-interest demand loan of $42,820"

This is supposed to be a company that has a current market value of between 91 Million and 776 Million dollars? "News" about this company was non-existent before January, and their has been a blizzard of it since then.

This company just raised 3.5 Million dollars for "phase 1 drilling" (testing). Next in the game plan is to raise 6 million dollars for "phase 2 drilling" (more testing). Guess what happens to the value of the current shareholders shares when they issue enough stock to raise that kind of money? Correct, it gets diluted. We won't address the dilutive effect of the "USD 50M+" they plan to raise in 2008 >> if