northhern hemisphere winter just starting....lack of development and invesment in coal and gas projects over recent years....covid reopening in play....
"New Delhi chief minister warns of power crisis as coal stocks decline"
its not like they can just start a new mine overnight..
yes the coal price upside might be limited but if we look at the profitability of the energy suppliers at this price all it has to do is maintain these prices for 6 months or so for the underlying producers to continue to appreciate due to accumulated extraordinary earnings.
for an individual stock we need to look at how much of their production is contracted at fixed rates...which is the norm for these large energy supplies.
the commentary i read is that this current energy supply crunch is not, using the word of the day, so transitory....
