koreans moving to quality coal

http://www.bloomberg.com/news/2012-12-10/korea-considers-private-industry-for-coal-generated-power.html

http://www.argusmedia.com/pages/NewsBody.aspx?id=825447&menu=yes

"will see South Korean power sector imports rise sharply to 120.9mn t in 2017 from its current coal usage of 74mnt."

So Korea alone are wanting another ~50mtpa short term. Who said King Coal is dead? And they want high grade cleaner coal rather than the Indo product. Interesting too the discussion re USA shale gas "threat".

ECT have stated Korea/Japan are a clear focus to entice investment re demo/offtake....dont underestimate Mr Makino.

"S&J Chairman Dr. Kim Sung-Ryeal commented “S&J Group evaluated numerous coal drying technologies before we decided on Coldry. We like the fact that Coldry utilises a low temperature and low-pressure process, which means that the water released, is clean. S&J Group is a clean energy company and this is important to us. Also we are confident that ECT’s Coldry process is cost effective when compared to other technologies .”

KEPCO is heavily featured in the articles.....monster it is - do ECT/K-Coal have links?

http://www.ectltd.com.au/asx-announcements/shareholder-update-june-2012/

Page 7...ps KOWEPO are part of KEPCO...Sojitz/Japanese monster = Mr Makino too.

"K-­Coal has advised ECT that it is promoting Coldry technology to KOWEPO for the project "

I see POSCO is mentioned too...

Worth another read of Mikes AGM comments:

"Yesterday we announced our success in securing a 5% equity interest in the CDP from K-Coal of Korea and we are in negotiations to secure further equity investment from other resource companies, including several large Korean conglomerates. Whilst K-Coal’s equity interest is modest, we believe it will have significant influence on the other Korean companies to also invest in the CDP project.

K-Coal has committed to the CDP, in large part, because of the expectation that Monash will provide substantial project finance and, in doing so, mitigate the risk for other investors.

During my numerous discussions with Korean and Japanese resource companies in their offices in Seoul and Tokyo, it is made very clear to me that their interest in the project is contingent on a de-risking brought about by substantial financial participation by other parties, and this includes the provision of substantial project financing.

It is for these reasons that we have continued to work with Monash for the delivery of the share placement monies and, very importantly, the subsequent delivery of substantial project financing for the Coldry Commercial Demonstration Plant and other ECT projects ."

A monumental ann is coming one way or the other. It is clear that the 2 weeks since the AGM have seen some serious LT coy decision making/positioning.

Japan/Korea want long term reliable low sov risk/govt supporting supply of high cal cleaner coal - Vic needs LT investment/jobs etc ...all roads lead to a LT symbiotic Monash relationship imo...

tick tock...