old park lane research report update, page-3

Some highlights...

"We reiterate our price target of A$0.13 per fully diluted share. Given the recent share price weakness, we believe the shares now represent a cheap entry point into a quality coal play. With strong leverage to thermal coal prices and a quality pipeline of predominantly export projects, we expect a significant rerating of the stock as Continental ramps up production."

"We expect the indicated target price relative to the FT All Share Index to be achieved with 12 months on the date of this publication."

"...management are experienced operators capable of extracting the best from an operation."

"...the company believes that a corresponding reduction in mining costs will be forthcoming, especially considering that the higher cost to establish the initial boxcut at the Northern Pit operation is now out of the way."

"Continental Coals' share price has somewhat languished since its peak in mid to late January...while this is dissapointingwe do not believe there is any cause for alarm if CCC is viewed in relative terms against other companies in the sector and in context with global coal prices."

"We expect the stock to regain traction as the company proceeds with its aggressive growth plan."

"Coal prices slip from peak but outlook remains robust"