Hi Badvibes,If the coal from this mine can't be sold, then I...

Hi Badvibes,
If the coal from this mine can't be sold, then I guess the decision whether or not to buy this mine is a no brainer. Does your source tell you if the current owner is selling this coal to anyone, either locally or overseas? Or what the energy value of the coal is?

I do know that there is high energy coal mined in Sumatra as well as low energy coal. I have always assumed that ADD would not be wanting to buy a project which produced low energy unsaleable coal.

The current production of Sumatran Coal is as follows.

Lignite (brown coal) 59%
Sub Bitumous 27%
Anthracite & Bitumous 14%

I know that India produces a lot of Lignite and they import Sub Bitumous and Bitumous coal to blend with their local product to produce more energy. I also know that Sumatran coal has energy values ranging up to 6300KCal/Kg. Whereas the Indian and Sumatran Lignite is only 3000-3500 KCal/Kg.

I don't know what the coal energy values are in this particular mine. But Sumatran coal is not all low quality.