hold on to your seats

Below is some interesting commentary by Pangea partners International

http://www.pangea.com.au/energyeditorial.html


24 March 2009

Carbon Energy (ASX: CNX) announced today that the UCG syngas from its Bloodwood Creek commercial trial is 68% methane and ethane. Conservatively they estimate 2890 petajoules of methane/ethane based on 364 million tonnes of coal in seams over 5m thick, as per their trial. If the remaining coal reserves are included (668m tonnes total) we see 5,303 petajoules. This compares with an upper estimate of 259 petajoules in the Arrow Energy resource. In other words, Carbon Energy can produce conservatively 11 to 50 times more methane/ethane than Arrow.

And yet the CNX share price hovers around 0.30 while Arrow is $2.62. The mind boggles what CNX will climb to when the likely takeover activity or coal buy-out commences, if it has not already. If you are an investor in this stock hold on to your seats.