Like a few it is possible they now become distress asset plays at best.....you may get a nibble late CY13 or CY14 but the price may not even pay you for a round of drinks. World glut of energy coal, power stations conversion to cheaper gas, sustained high AUD, high capex, above the odds opex, india developing rail to access 330mtpa cheaper homeland coal, S Africa production in 1st cost quartile, green movement, various layers of taxes etc etc
Have a look a EOC's recent take over...38c. For $70M market value you get the MDS thermal project that has 100% IRR on prices $100/t, Rockwood PCI 430mt, 4th largest land holding in premier bowen basin. Our foreign friends smell blood and will not pay 1c more than they have to in this environment.
COK Price at posting:
9.1¢ Sentiment: Sell Disclosure: Not Held
