Coking coal shoots to 20 month high !

http://www.hellenicshippingnews.com/coking-coal-price-shoot-to-a-20-months-high/

Coking coal prices have hit a 20 months-high at USD121/mt on Tuesday, an increase of 5.7% at a level not seen since December 2014

The spikes are linked to the demand push by Chinese and Indian buyers which prompted the price movement to rise by USD6.50/mt on a single day, 16 August 2016.

“The Chinese buyers are absorbing supply availability from the international markets with higher bids than those from India and Japan,” said a trade source.

@ShareJagger those $125-140/t prices aren't too far off now, coking coal is absolutely hammering !

The first 5 years DFS figures were $85/t and we can realistically shave 20+% off that IMO given the lack of investment in recent years, the cost of labor, parts, diesel etc

In terms of Cokal then:-

- $18M market cap
- $1.5M+ cash
- no debt
- 270Mt+ resource
- all licenses in place to commence mine construction and production

IMO any funding party will simply bid the stock rather than put up finance. The payback on the T/O would be <2 years based on free cash alone

Given that Platinum have/are closing their main fund and needing to offer redemptions in 2017, coupled with the fact their Cokal stock and options are escrowed for 2 years, I would hazard a guess they will now be shopping this around to take advantage of the coking coal breakout and finally source an exit

Cokal should be pushing 3.5-4c on Monday if the placement taker are done washing stock