They're a dozy lot down at IC. Today they have a piece on the flotation of Asia Energy plc on AIM. Chunky coal deposits in Bangladesh. Market cap. expected to be about 30m.

What IC fails to notice is that CBM has a 55% stake in AE. 55% of 30m wd be 16.5m.

CBM's current total market cap at 63p is er... about 16m!!

So we get Western Canadian Coal (about to float on AIM), Pageton Coal in West Virginia, AGD Mining, Subranum Gold in Ghana, and CBM'z most recent acquisition Zhibek Resources (again planned to float on AIM in 2004) FOR NOTHING.

Fill your boots folks, this is set to double.

beaufort,

Sounds interesting, any chance of adding a chart to the header post pls?

TIA,

Andy.

Sorry Andy don't know how to do that.

Cambrian is now ridiculously cheap at 53.5p. Commodities markets have been spooked by the concern about China overheating.

At current share price, CBM's market cap is 15m. The value of its 31% share in AEN ALONE is 7.75m (at 73.5p).

So all the rest of its assets - Western Canadian Coal, Pageton in W Virginia, Subranum Gold, AGD in Australia (gold and antimony) and Zhibek (oil & gas) are priced at 7.25m.

Time to top up!

beaufort1,

Select "edit" on your first post, (ie double click the blue "edit")

Cut and paste the link below into the "link" box below your first post.

Click the "insert image link" box, and the chart will appear!
---------------------------------------------------------------

http://chart.bigcharts.com/bc3/intchart/frames/chart.asp?symb=uk%3Acbm&compidx=aaaaa%3A0&ma=0&maval=9%2C50%2C150&uf=0&lf=1&lf2=2&lf3=4&type=64&size=2&state=8&sid=1230131&style=350&time=8&freq=1&comp=NO%5FSYMBOL%5FCHOSEN&nosettings=1&rand=3536&mocktick=1

CBM is a waste of time. No way it can double - it is on the way down.

hlyeo98,

Intersting comment, are there any reasons for your negativity?

I have not looked at CBM properly yet, so interested in your reasoning.

Now do you believe me guys!

beufort1,

Nice call!

Exactly what percentage of AEN do CAmbrian hold BTW?

And what percentage of Cambrian do RAB hold? (I hold RAB)

beaufort1,

Ok just read that Cambrian hold 27% of AEN.

Yes that's right Andy - don't know about RAB.

Don't forget that CBM holds about 50% of Western Canadian Coal Corp, which floats on AIM on Thurs. So more upside to come.

Up like a rocket today--wish I'd bought some. I'm watching and waiting now!

And CBM marches ever upwards. Both AEN and WTN are soaring ever upward.

Hate to say this, but I told you so. CBM now 210p

Market cap of CBM is now about 110m

CBM up 17% so far today.

asia energy flying

Buy note out from Cazenove on AEN today.

CBM has come onto my bottom feeders watchlist after a price drop was followed by significant director share buying. And the news all looks good: a five fold increase in profits was reported at the end of March in addition to the earlier items noted on this BB. Hope that others are watching.
sd.

Hi Squidd,

Yes agree with your analysis. I think it still has a little way down to go. Hard to judge where the bottom will be but there is little resistance until about 1. Long term its ridiculousy cheap. The SP has always been very news driven - AEN and WTN being its main shareholdings. It now also has COIL and also the linked company CLN which it does not currently have a shareholding in.

The share price fall is way overdone.

B1

beaufort1: Thanks for the additional information. I rarely gauge the bottom exactly, so I try to straddle it. I hope soon to be looking to scatter takings from ELA - an earlier bottom feeders ready meal - and CBM is high on my watchlist.
sd.

Having looked again at the charts, I can see no sign of the bottom; the good news and directors buys have been brushed aside and now both the SP and OBV are rolling speedily downhill. In the present gloom over AIM , there must be a lot of investors who came aboard last year at between 40 - 100p, still sitting on decent profits and looking nervously at the exit. So I think this could stay on my watch list for some time.
The shape of chart I like to watch is IGE, and readers interested in recovery stocks could have a look at exchanges with PpP on ELA and APH.
sd.

Shares Mag Today:

"Cambrian Mining is becoming increasingly vulnerable to a hostile takeover bid.........Cambrian's investment portfolio is worth close to 162 million, more than double its market value of 77 million.......the shares look too cheap".

Market value is actually about a 100m. There are about 78m shares in issue.

This has come up on the radar again following more share buying by a director.
The CEO has got to get it right sometime and it could be now - the chart certainly looks very interesting.
Any views.
sd.

Yes looks as though its bottomed out for now. At the moment the SP depends largely on the fortunes of AEN and WTN

Recovery seems to be taking hold - fairly respectable volumes as well.
sd.

MAJOR STORY HAS BROKEN TODAY'S GUARDIAN LEADER STORY
..........
FTSE 100 mining company Xstrata was in focus yesterday amid rumours that it is poised to purchase a large stake in a London-listed rival.
Ever since Xstrata lost out in the $7bn (4bn) battle for Australia's WMC Resources to BHP Billiton, 2p weaker at 841p, the Swiss-based company has been on the acquisition trail.

Last month it paid almost 1bn for a 19.95% stake in Canadian nickel miner Falconbridge and speculators in the Square Mile believe it has now turned its attention to Asia Energy, the Aim-listed company that is developing the Phulbari coal mine in Bangladesh.

According to the City rumour mill, Xstrata, the world's biggest exporter of thermal coal, has approach Asia Energy's largest shareholder, Cambrian Mining, 3p higher at 165p yesterday, with an offer for its 23% holding.
By all accounts Cambrian, one of Asia Energy's pre-flotation backers, is willing to sell as long as it can reach an agreement with Xstrata over royalty payments from Phulbari.

Before Asia Energy was listed on Aim at 75p in the spring, Cambrian struck a deal whereby it would retain a $1 a tonne royalty on coal production from Phulbari.

To give readers an idea of how much that might be worth, the latest estimate is that Phulbari has coal reserves totalling 572m tonnes. Production is due to begin in 2007.

Asia Energy shares, which have enjoyed a good run this week, closed 7.5p higher at 695p, meanwhile Xstrata climbed 17p to 13.30.

some excellent news for any holders out there

Cambrian Mining PLC
29 September 2005


Cambrian Mining Plc

Sale of 4.3 million shares in Asia Energy Plc

Cambrian Mining Plc ('Cambrian') advises that it has sold 4.3 million shares in
Asia Energy Plc ('Asia Energy') at 640p per share in cash to financial
institutions that have been long-standing supporters of Asia Energy and its
plans to bring the massive 572 million tonne Phulbari coal deposit in Bangladesh
into production.

As a result of the sale, Cambrian will book a pre-tax profit of approximately
27 million, equivalent to about 30p per Cambrian share. The proceeds of this
sale will be used to support its broader coal, iron ore, nickel, gold and other
investments.

Cambrian has given an undertaking to W.H. Ireland, who acted for Cambrian in the
transaction, that it will not sell any further Asia Energy shares before 30
June, 2006.

Cambrian retains 4,515,000 shares, or 11.3% of Asia Energy's capital, and has a
$US1 a tonne royalty on future coal production from Asia Energy's Phulbari
deposit.

GREAT announcement...

SOMETHING NEW TODAY:



Funds News

Printer Friendly | Email Article | RSS (Page 1 of 2)
Framlington's Luckraft says investment opportunities abound
Thu Oct 13, 2005 9:18 AM BST



By Laurence Fletcher

LONDON (Citywire) - The UK economy's current difficulties needn't translate into tough times for the stockmarket, argues Framlington star income fund manager George Luckraft.

Luckraft, who runs the Framlington Monthly Income, Equity Income and Managed Income funds and who holds an AA rating from Citywire, notes the inflationary pressures in the UK economy as well as the continuing consumer slowdown. Nevertheless he sees opportunities to make money.

He commented: "There has been a definite slowdown, with oil prices acting as a tax out of consumer pockets. We'll see more of this as electricity and gas prices continue to increase.

"Oil is likely to stay above $50 a barrel for the foreseeable future with a danger that it could spike considerably higher if we get either unrest in some of the oil exporting nations, or we see new violence in Iraq. There's plenty of oil in Iran and Iraq but, with their regimes not particularly stable, it will be difficult to get the investment that's required there.

"I am concerned that the current oil situation will have a knock-on effect on inflation levels. This means that the Bank of England and the Federal Reserve may have to take action; the former not to take rates down, as expected, and the latter to take rates higher than the market currently predicts. Because of Hurricane Katrina, US interest rate expectations have been, I feel unjustifiably, pulled back substantially. However, I think that these will correct upwards again.

"The levels of growth we have seen in personal debt are unsustainable and, as such, the UK economy is going through a tougher time."

However he said: "Although it's not a great background for the UK economy, this does not necessarily mean it's a bad time for UK stockmarkets.

"Profit warnings are rising, and this will continue as the impact of squeezes of raw material prices and a slower consumer takes the edge off some of the expectations for corporate profit growth, cashflows are generally very strong and balance sheets are in good order."

Luckraft sees opportunities for skilful stockpickers in the high levels of bid activity, as Europeans use low interest rates to fund acquisitions in the UK. "Providing we avoid the pitfalls, we'll reap some benefits from bid approaches," he said.

He is steering clear of consumer stocks because of the tough consumer environment although he is keen on Topps Tiles which, whilst experiencing tougher trading conditions, has gross margins of over 60 percent.

He also likes sausage skin maker Devro, which he expects to benefit from the "predicted increase in sausage consumption in China", Renova Energy, which turns grain into ethanol, and Cambrian Mining, which has stakes in coal groups Asia Energy and Western Canadian.

08.40 01/11/05 close

LONDON (AFX) - Cambrian Mining PLC announced maiden dividend of 1.5 pence following a sharp rise in full year profit, and said it expects a significant rise in profits in 2006 following the sale of part of its Asia Energy PLC stake. Further, its 41 pct stake in Western Canadian Coal is expected to provide a significant contribution to earnings in the current year. In the full year, the company recorded pretax profits of 4.452 mln stg from a loss of 89,000, mainly from the disposal of non-core assets while sales rose to 718,000 stg from 30,000 the year before. Chairman Charles de Chezelles said: "We anticipate that operating profit will grow this financial year as the Dillon mine reaches a full 12 months of production, as AGD brings its gold and antimony mine into production in the first quarter of 2006 and the US coal group moves rapidly to achieve its production targets."

Just a note on this share which I have also put on the AEN thread

CBM is trading at over a 20% discount to its listed investments as at last reports in early Nov

It has a royalty of $1/tonne from the AEN mine in Bangladesh if that gets started. Assuming the mine figures from aen are correct

570m tonnes
15m tonnes mined a year from 2007
And a discount rate of 10%

The royalty is worth to CBM well over the market cap of the company

Add on to this its unlisted assets and this looks not a bad little place to be

that is an uderstatement. add to that the cash they have realized from AEN while retaining the royalty arrangement it is very undervalued. i am in at this level and would look for 250p

there's something up

all quiet then deals coming thru apace since about 12.50

AEN spikes 10% on similar trading ??

Someone knows the Bangladesh decision on the Phulbara mine ?

AEN collapse leaves CBM with what is likely to be worthless roylaties

With there biggest holding being whacked on a share price front -- WTN -- look like the stock will tread water at best

Management remains excellent and don't forget they got out of their whole AEN stake with profits that have effectively been a company maker

NOt holding since May but will keep watching -- WTN remains the big negative and coal prices still slide

Why no one has discussed this share today,high volume,highest gainers,i mean one of them with a take over chance.

ateeq, if you check out the WTN thread i,ve compared both over the last few days.
cyril

not a bad day especieally profit taking from yesterdays hike,could see another surge once the profit takers are happy with there profits.

SP ticking up very nicely to recent high,some way still to go imho?

My last post said it all (some way to go, 140p at the time), 192p at present and still rising.
A quick summary
CBM owns a large slice of WTN (which it has up for sale), and is presently in nogotiations with CLN (almost started a thread for CLN but with no interest, thought better of it),which has moved from 38p to 49p at present.
Coal at present is one of the most profitable commodites at present and is doing
very nicely for me(CDN up to 78p) and i find it a shame that so little interest has been shown.
cyril

http://www.cambrianmining.com/Doc/Presentations/MayRoadshow2008.pdf

Yes,so little interest(post41), up 16% today at 227p and could go a whole lot further?
aimo
cyril

Well done
looks like it might have legs to 270
quiet boards always a good sign :-))

Niceonecyril, well done on your research. Lurker on Moneyam.Holding CBM.

As we all know CBM is trading well below NAV of 4+.

WTN @ 4 a share means 348 millions cash to CBM & @ 5 means 435 millions cash to CBM.

CBM 215 millions at close today.

CBM have 87m shares in WTN closed 430p; 35% of CLN closed 66p ; 28% of EGB ;50.5% of Xtract ; AGD 100pc & 9 other investments.

Flying again this am, could we be haeding for 3 by the end of the week?
cyril

is this worth buying today?

Great article on
http://www.minesite.com
You need to register( well worth it and free) to read the article.
cyril

With CBM, about to buy CLN i thought it wprth posting todays RNS on here.
http://www.investegate.co.uk/Article.aspx?id=200806160700047281W
Looks like a barguin for CBM?
cyril

Getting betterer and betterer.
http://www.investegate.co.uk/Article.aspx?id=200806170951328694W
cyril

Of course you could always buy CLN which has 3.25 to 1 CBM share on offer, making it a cheaper way in?
3.25* .69p = 224p against the 243p for CBM?
cyril

WTN updates on its thread, exciting times ahead with the possiblty of a sale?
aimho
cyril

All 3 of the triangle doing well today, which is to be expected imho?
cyril

All 3 trading well up, at 516p, 312.5p and 91.75p
cyril

Cambrian Mining Plc

Operations Update
London, 19 August 2008: Cambrian Mining Plc ('Cambrian' or 'the Company' or 'the Group') is pleased to update investors on the progress at its key mining operations. This press release is intended as an update on the operations of Cambrian that are more than 50% owned. As such it does not cover an update for our principal investment in Western Canadian Coal Corporation ('WCCC') which is subject to a strategic process for maximising value (Cambrian's fully diluted ownership in WCCC is 86.6 million shares).

Highlights

Scheme of Arrangement with Coal International Plc effective from 1 August 2008 giving Cambrian 100% indirect ownership of the Gauley Eagle and Maple Coal mining properties in West Virginia and 50.6% of Energybuild Group plc

Production at Gauley Eagle and Maple Coal operations is expected to be 2.4 million short tons of coal in the year ended 30 June 2009 at a cash cost of below US$75 per ton

Energybuild Group plc expects to produce 0.4 million tonnes of coal in the year ended 30 June 2009

Production at Costerfield gold and antimony mine is expected to reach 16,000 payable gold ounces and 2,000 payable antimony tonnes for the year ended 30 June 2009 at a cash cost of below A$400 per equivalent ounce, net of antimony as by product credit

Average contracted coal prices for 2008/2009 are in the US$/ton $63 to $121 range. Spot markets are in the US$/ton $100 to $250 range, depending on coal type and quality

Key risks to meeting planned production targets include the timely receipt of permits, cost inflation and availability of manpower. These risks are matched by opportunities to expand production in various areas if additional mining units can be brought on stream

Mark Burridge, CEO commented,

'Following the successful acquisition of Coal International earlier this month, Cambrian now has wholly owned coal mining operations with expected annual production of

2.4 million short tons over the coming year.

cyril

Bought back into CBM today at 193p which i believe to be a snip.CBM hold shares
and other options of over 86.5m of WTN which at todays value is worth 234m toCBM agaiNst a M/Cap of just 220. Now read my WTN post and see how undervalued that is and you will get my reasoning? Add to ths they own what was CLN (a coal producer)with a min value of 100m+ holdings in two other companies.
cyril

An article from the FT?

Cambrian Mining rose 13 per cent to 176p on talk that Western Canadian Coal, which also has a London listing, was poised to launch an offer for its rival. The two companies have a common investor, Audley Capital, the investment group run by Julian Treger. Audley's stake in Cambrian currently stands at 25 per cent.FT

cyril

BULLETIN U.K. REGULATOR PLACES TEMPORARY BAN ON SHORT SELLING

Britain bans short-selling, citing 'extreme' market climate

By Steve Goldstein
Last update: 1:11 p.m. EDT Sept. 18, 2008Comments: 11
LONDON (MarketWatch) -- Britain's Financial Services Authority on Thursday announced the unprecedented move of banning short-selling and forbidding any increase in new positions. Also, disclosure will be required on all positions of more than 0.25% of a stock. The ban is due to remain in force until Jan. 16, but it will be reviewed in 30 days. "While we still regard short-selling as a legitimate investment technique in normal market conditions, the current extreme circumstances have given rise to disorderly markets. As a result, we have taken this decisive action, after careful consideration, to protect the fundamental integrity and quality of markets and to guard against further instability in the financial sector," said Hecton Sants, chief executive of the FSA.

And not before time imho
cyril

for what the chart in this sort of company is worth, this does not look very healthy .... shame cyril can't see it - silly sulky boy!

Taken from another board of CBM's valuation.

The sums are at 2.75p for WTN which is where we are now CBM share is worth 239m pounds.Total valuation of CBM today is 183m pounds.

Oh and lets not forget we have a mine in west Virgina worth according Landbankski and SP at least 1.70p per share or 196m pounds.

And 50pc of Energybuild who have great results next week.

And we own AGD doing 18k ounces of gold and other stuff.

We need a recalc.We had a seller today in CBM but value will out.

We should be 4.10p right now without gimmicks or false valuations.

In fact lets give a 33pc discount for, well I don't know but we always have to give a f@cking discount for some reason, so thats 2.87p.Why are we we 1.55p.

Surely someone will see sense.

cyril

beats me,
down,..eventually.. seems to be the order of the day, may take a while, or may not.
even though that black line seems to be offering support and maybe suggesting otherwise.
dont know why, just seems to be so to me.
could be wrong, yet again.
so whats new?
just my opinion as always.
regards
jkd

Market turmoil is making a mockery of stock values,yesterdays non_decision
certainly put the boot in.IMHO those who don't need to sell should not, and their
are some great bargains about. CBM is undoubtably one imo, its assets in WTN
justify the M/Cap alone on top of that we have the former CLN miner making plenty
of profit,Energybuild which just annouced record profits(50%) and the gold
producer AGM for free. WTN is selling $2.8m of coal a day which is $100m net profit and is in the process of being bought, i'm considering topping up at these levels,apart from value i believe an agreement will come from the USA which will
see a sharp mark up?
Something worth reading and makes my point?

Steelguru September 30, 2008

Global coking coal prices set to go up - Report
Mr Steve Leer chairperson & CEO of Arch Coal Inc said that globally, coal prices are witnessing a significant spike, thanks to the growing steel demand and supply constraints. Coal, which is one of the major raw materials for producing steel, is already short of 25 million tonnes to 35 million tonnes in 2008 fiscal across the globe, which is likely to reach 70 million tonnes in 2009 fiscal.

According to Macquarie Bank Limited, coal production from Australia may decline by approximately 15 million tonnes or about 12% of Australia's annual exports in 2008 fiscal. Recent floods in Australia forced several coal producers to shut down their mines, resulting in a huge decline in coal output in the first quarter of 2008.

In addition, a power crisis faced in South Africa in January 2008 and thereafter a reduced power supply from Electricity Supply Commission resulted in a shutdown of several mines and forced coal producers to cut their output, which further decreased the coal production.

China plans to reduce exports of coal in 2008 fiscal, as it remains concerned with its domestic power needs, since two third of China's energy production depends on coal. Moreover, in order to curb the ever-increasing inflation rate and the over heated Chinese economy, the government of China raised its export tax for steel billets from 15 percent to 25%, effective from January 1st 2008, to reduce the inflow of funds.

This resulted in a tight global coal supply condition, leading to a hike in coal prices. While China's coal exports are expected to decline moderately, coal production capacity is expected to increase to 2.73 billion tons in 2008 fiscal, supported by expansion of coalmines and technical renovations to meet the growing demand from domestic market. Furthermore, with the steep increase in oil and gas prices, coal's importance in the world energy mix is set to increase in the future.

According to the International Energy Agency, there are abundance of coal resources of approximately 200 years worth of coal reserves, evenly distributed in the US with 27%, Russia with 17%, China with 13% and India with 10%. It is estimated that by 2030, coal will account for 27% of the global energy mix, up from the 24% that it holds today. Given the abundance and accessibility of coal resources, the increased usage of coal will facilitate minimizing the global energy crisis.

Going forward, the demand supply mismatch is expected to last for at least two to three years before it recovers from the supply bottlenecks in Australia and ease power shortages in South Africa. Hence, coal price outlook in 2009 fiscal is likely to remain strong with coking coal prices expected to increase to USD 320 a tonne and thermal coal to increase to USD 135 a tonne for 2009 coal year.

AIMHO
cyril

Reported today, Coking coal holding up well for the next 6 years $350/$250/tonne

Thermal Coal Tightness in the thermal coal market has moderated in recent
weeks. Newcastle prices down ~US$20/t and European prices (C&F) are down
~US$40/t over the month. In Europe, coal's competitive position vs gas is finely
balanced. In China, domestic thermal coal prices are softening as the acute
energy crisis eases. Inventories at utilities are being rebuilt as coal shipments
on the rail network receive the highest priority. But, imports of Vietnamese
anthracites will decline. The risk of surging Chinese exports has disappeared.

Coking Coal Our coking coal forecasts remain unchanged. We have reduced
our assumption of crude steel production globally. However the slower steel
production growth in 2009 and 2010 continues to see the coking coal market
being tight over the forecast time horizon. Supply constraints in Australia show
little signs of easing.

JFY 2009(e) JFY 2010(e) JFY 2011(e) JFY 2014(e)
Coking 350.0 330.0 310.0 250.0
cyril

Cyril
Thanks for good posts. Note that it is CNL (Coal Int) and not CHL (Churchill Mining) that CBM owns.
Regards

Cheers, yes your right will correct.
cyril

Cyril
Thank you. Have to apologise, however, it's actually CLN.

No probs, i did wonder?
cyril

.

Regained almost all of the days losses.
1.768m traded os far today.
cyril

Don't know why, but i seem to be getting a double post?
cyril

More on the strengh of Coking Coal,


Global coking coal prices set to go up - Report
Mr Steve Leer chairperson & CEO of Arch Coal Inc said that globally, coal prices are witnessing a significant spike, thanks to the growing steel demand and supply constraints. Coal, which is one of the major raw materials for producing steel, is already short of 25 million tonnes to 35 million tonnes in 2008 fiscal across the globe, which is likely to reach 70 million tonnes in 2009 fiscal.

According to Macquarie Bank Limited, coal production from Australia may decline by approximately 15 million tonnes or about 12% of Australia's annual exports in 2008 fiscal. Recent floods in Australia forced several coal producers to shut down their mines, resulting in a huge decline in coal output in the first quarter of 2008.

In addition, a power crisis faced in South Africa in January 2008 and thereafter a reduced power supply from Electricity Supply Commission resulted in a shutdown of several mines and forced coal producers to cut their output, which further decreased the coal production.

China plans to reduce exports of coal in 2008 fiscal, as it remains concerned with its domestic power needs, since two third of China's energy production depends on coal. Moreover, in order to curb the ever-increasing inflation rate and the over heated Chinese economy, the government of China raised its export tax for steel billets from 15 percent to 25%, effective from January 1st 2008, to reduce the inflow of funds.

This resulted in a tight global coal supply condition, leading to a hike in coal prices. While China's coal exports are expected to decline moderately, coal production capacity is expected to increase to 2.73 billion tons in 2008 fiscal, supported by expansion of coalmines and technical renovations to meet the growing demand from domestic market. Furthermore, with the steep increase in oil and gas prices, coal's importance in the world energy mix is set to increase in the future.

According to the International Energy Agency, there are abundance of coal resources of approximately 200 years worth of coal reserves, evenly distributed in the US with 27%, Russia with 17%, China with 13% and India with 10%. It is estimated that by 2030, coal will account for 27% of the global energy mix, up from the 24% that it holds today. Given the abundance and accessibility of coal resources, the increased usage of coal will facilitate minimizing the global energy crisis.

Going forward, the demand supply mismatch is expected to last for at least two to three years before it recovers from the supply bottlenecks in Australia and ease power shortages in South Africa. Hence, coal price outlook in 2009 fiscal is likely to remain strong with coking coal prices expected to increase to USD 320 a tonne and thermal coal to increase to USD 135 a tonne for 2009 coal year.
cyril

An article on the recent resuts of EGB a Welsh coal mining company of which XBM
have a 50% stake.

08:21GMT 24Sept2008-Energybuild soars after swings to pretax profit
--------------------------------------------------------------------
Shares in Energybuild Group jump over 10 percent to 21.5 pence after the
Welsh anthracite producer says it swings to full-year pretax profit of 954,000
pounds against a loss of 504,000 pounds the previous year.
Seymour Pierce, which notes the results are in line with its
expectations, says: 'Perhaps most importantly, the company met its three
key operational objectives for the year at Aberpergwm' underground mine.
'In the current high inflationary environment, it is also worth
noting that the budget for this work was not exceeded,' adds the broker.
'There is clearly the potential for the business to exceed our
expectations for the current year based on the potentially higher production
rate and we look forward to making upgrades once the various underground
development goals, planning permissions and construction targets have been
reached,' says the broker, which rates the company as 'buy' with
a 41 pence target price.
cyril

New York (Platts)--13th Oct2008

A major US producer has settled the majority of 2009 metallurgical coal
contracts with buyers of domestic steel makers at average prices above the
2008 benchmark of $300/metric ton for Australian hard coal.

Low-volatile premium coal settled around $300/short ton FOB mine, which is a
FOB port equivalent of about $380/mt, including transportation charges
estimated at $40/st, confirmed US mining executives.

Premium high-vol coking coal of 30-32 volatile matter was settled at
$260-$265/st while generic high-vol material with VM of more than 34 was
priced at $200-$220/st, said one source.

The contraction in economic output is expected to reduce steel demand, a
source at a major coking coal producer said last week.

The difference in prices between premium low-vol material and generic lower
quality high-vol coal is widening as increased coking coal production has led
to some coking coal companies accepting poorer quality materials and supply of
low-vol coal remains constrained, a mining executive said.

"The extra high-vol to meet demand has been the poorer quality," he said.
"We're expecting the differential between higher- and poor-quality coal to
widen."

About 75% of his company's domestic sales volume for 2009 has been contracted
already, with some tonnage priced based on multi-year contracts.

Buyers agreeing to higher prices

"It's probably too early to predict where those ranges will end up on the
seaborne side in 2009 since many buyers don't have contracts expiring until
the end of the first quarter of 2009," said one US met coal veteran. "However,
the strong signal coming out of the US is that prices for Appalachian-quality
hard coking coals are holding up very well.

"The vast majority [of buyers] are committing; some are holding back in
anticipation of economic events leading to lower prices," the US executive
said. "From now to the end of the year, domestic customers are still
scrambling for spot coal."

The prices miners have received come in the face of recent large declines in
steel prices for products and spot iron ore that some market sources say may
end up infecting the coking coal market and lead to lower term prices for
contracts starting in April 2009, under which the bulk of output is sold.

Last week, two commodity analysts cut forecasts for average coking coal prices
in 2009 and 2010 following upheaval in the global financial markets, a
stronger US dollar and weaker commodities demand from China. They predicted
the average yearly price for premium hard coking coal at $230-$250/mt FOB for
2009 and $190/mt FOB in 2010, down from $300-$305/mt forecast for 2008.

US miners at the end of 2007 settled coking coal term contracts for the 2008
calendar year with domestic customers at around $110/mt FOB mine before global
supply tightness led spot prices to surge.

Australia-based BHP Billiton-Mitsubishi Alliance, the largest seaborne coking
coal exporter, settled term contract prices for the Japanese fiscal year
starting April 1 at around $300/mt, with most other producers getting similar
prices, even though Xstrata held out and achieved a higher average price of
$362/mt for its term contracts.

At these type of prices all coking producers would be a snip, imho and perhaps
is responcable for the SP hike?
cyril

Topped up today, with WTN reporting on the 13th Nov(at 1;00pm) and CBM shortly afterwards also a possiblity of an offer for WTN still in the air who knows?
cyril

Both WTN (13th) and CBM shortly afterwards. CBM apart from how the former CLN
is performing, new contract prices expected to be annouced and here's a taster?

BRIEF: U.S. Coking Coal Producers Upbeat
Friday, November 07, 2008 3:54 AM

(Source: The Pittsburgh Tribune-Review)By The Pittsburgh Tribune-Review
Nov. 7--U.S. coking coal producers are set for a "decent year" in 2009 because of increases in North American contract prices driven by a shortage of supply and rising demand, coal trader Xcoal Energy & Resources said. Prices for premium hard coking coal used in steelmaking have been settled for next year's contracts by all but one of the major steelmakers in North America at an equivalent export price of $336-$361 a metric ton, up from $106-$110 a ton for this year, said Ernie Thrasher, president of the Latrobe-based company.
At anything close to these rates the SP should start to make a dramatic recovery
(well one can live in hope)?
cyril

UPDATE 1-Cambrian says in offer talks, shares jump

* Confirms possible share-for-share offer for company
* Shares rise 88 percent
(Adds details)
Dec 16 (Reuters) - Cambrian Mining Plc on Tuesday confirmed it was in
talks for a possible share-for-share offer for the company, pushing its shares
up as much as 88 percent in afternoon trade.
The AIM-listed coal, gold and antimony miner had said earlier this month
that it was cutting production to preserve cash and re-organising its operations
at Costerfield, Australia, in view of recent weakness in the world antimony
market.
Cambrian shares were up 55 percent at 25.25 pence at 1423 GMT, after
touching a high of 31 pence earlier.

cyril