RE: RE: Update ! "In the past months, the Company has experienced a steady increase in both demand and realized sale price for its coal. In 2012, the Company has received commitment and interest for a substantial quantity of Ulaan Ovoo coal from Russian buyers, however Prophecy is postponing sales to Russia pending the opening of the Zeltura border crossing and a revised export royalty scheme from the General Department of Taxation of Mongolia. Prophecy is currently paying export royalties based on a government-set benchmark coal price which is nearly 3 times higher than the Company's actual sale price. Prophecy is optimistic that progress will be made on both royalty and border opening fronts to improve the margin on sales."
Without the power plant, PCY didn't have a leg to stand on. With the power plant, PCY now carries a big stick.