i quote the fol report from mining weekly as a comparison; it...

i quote the fol report from mining weekly as a comparison; it shows up ccc with higher production, more resource n at a more advanced stage of development IS SO MUCH BETTER. (NOTE that forbes coal is given a target price of C$6.05 that would give a mart cap of C320million):

QUOTE
SA to get new junior coal listing in third quarter


By: Matthew Hill
23rd February 2011

Updated 3 hours agoTEXT SIZE TORONTO (miningweekly.com) - TSX-listed Forbes & Manhattan Coal Corp. (Forbes Coal), which owns two producing mines in South Africa, expects to float its shares on the JSE in about six months, CEO Stephan Theron said on Tuesday.

The company is listing to satisfy South African Reserve Bank?s requirements, but believes there is a ?good domestic institutional investor appetite? in the country too.

?We hope to initiate the listing process within the next 30 days. Our estimate is that it will take more or less six months,? Theron told Mining Weekly Online.

Forbes Coal on Tuesday announced it had completed a C$36,4-million bought deal financing, most of which will go to paying for the KwaZulu Natal anthracite and bituminous coal mines it bought in July from Slater Coal.

Theron said the company won?t likely raise more money when it lists on the JSE, unless it was to make an acquisition, which the company was considering.

?There certainly are acquisition opportunities,? he said.

One asset that might be up for sale in the Dundee area is ASX-listed Riversdale Mining?s Zululand Anthracite Colliery (ZAC).

Rio Tinto, which is bidding $3,9-billion to gain control of Riversdale?s Mozambican assets, indicated it might sell ZAC once it owned Riversdale.

Theron declined to comment on specific potential acquisitions, saying the company reviews its opportunities constantly.

Dundee was the sight of South Africa?s first major commercial coal mining operations, starting in 1899, before the of the much larger Witbank/Middelburg coalfields.

EXPORTS

In December, Forbes Coal announced it had signed agreements with State-owned Transnet Freight Rail and Grindrod Terminals to increase its export capacity at Richards Bay.

Forbes Coal will, as a result, have export capacity of 600 000 tons in 2011, rising to 960 000 t/y in 2013.

Selling into the coal export market is seen to be more lucrative than the local market, with the international spot price being higher than that in South Africa.

However, the South African coal industry has struggled to increase its exports to match rising international demand. Last year coal exports at Richards Bay climbed slightly to 63-million tons, after falling for five consecutive years, mainly because of rail capacity constraints.

Forbes Coal had secured rail capacity for its export allocation at the Grindrod bulk terminal, located next to the Richards Bay Coal Terminal ? the biggest single coal export terminal in the world.

?We?ve already got product on the ground there, and we expect to send the first shipment of 50 000 t in March,? Theron said, adding most of the coal Forbes exports will he India-bound.

He said that export prices for steam coal at Richards Bay were around $115/ton, and anthracite was trading at a ?slight premium? to that.

DOUBLING PRODUCTION

Toronto-based Forbes Coal was looking to spend some C$20-million to triple its production to around 1,5-million tons yearly by 2014 of anthracite and bituminous coal.

The Magdalena bituminous coal mine sells 66% of its production to local companies, including South Africa?s biggest paper and pulp producers and cement makers, and one third to export customers.

The mine is set to produce one-million tons in 2013, more than double its output last year.

Aviemore will reach full capacity of 500 000 t/y of anthracite in 2014, with the bulk of its production supplying South African ferroalloy companies.

NATIONALISATION

Theron commented that the threat of nationalisation of South Africa?s mining industry coming from the ruling ANC?s youth league ?is a worry for Canadian investors?, and that it was crucial that the government communicate clearly that this was not its policy.

South Africa mines minister Susan Shabangu has consistently denounced nationalisation and reiterated earlier this month that it was ??not an option? for the country.

?It?s really a misconception that?s out there, but it is an overhang in the market,? Theron said.

?In our view, South Africa is a fantastic place to invest in.?

Canada's Globe & Mail reported last month that Canacord Genuity analyst Gary Lampard initiated coverage of Forbes Coal with a "buy" rating, giving the firm a 12-month target price of C$6,50.

Edited by: Liezel Hill