RE: RE: RE: Down 300% in 6 x months......No they won't Miner!! They need to continue on with their plan. To begin to supply their future contracts they need a substantial stock pile of coal, so this is not the time to back off. The price of met coal is still high and the demand is still there. The third world countries are still in need of this limited resource so this is not the time to go in idle mode.
I work in a steel mill and we are still operating at full capacity. The growth of world economies may not be as much as originally expected but construction will continue, people will buy need cars, appliances etc. Steel is still in demand, so the raw materials to make the steel will still be required.
In my opinion, CMK is on track. People soon forgot that the original plan called for product rates to reach 3mty in 2012. Then they acceleratedt their projects to achieving 3mty by Q4 of 2011. When I first heard that I thought it was very aggressive. If they could achieve it great, but I was happy with the orignal plan. But it looks like they changed their plans once they found the new seams, but the new seams could not be mined as they were not part of the original mine plan so that led to the delays due to permitting.
So here we are in the 4th quarter of 2011, we are producing coal, and they are systematically ramping up. We will see the cash position in the Q3 report which should be out in a couple of weeks. I bet they sell a few more train loads of coal on the spot market before the end of Q4 just to keep cash coming in.
People need to realize the drop on coal stocks has nothing to do with changes in production guidances.....this is scary time for the world markets investors are getting their money out of higher risk equities and going into safer havens.
For me I have time so I have chosen to ride this one out as I did back in 2008/2009. The reward for being patient is there, we just have to give it time to work itself out. Investing in stocks is like gambling at the casino, if you can't afford to lose the money then don't bet. GLTA