-46c vs -64c(expected)
"We also believe that the coal markets have bottomed out as coal supply has dropped dramatically from CAPP and coal demand is returning to more normal patterns."
That's the key insight I keep getting from those coal companies.
"Despite a difficult first quarter, the outlook for the remainder of the year remains positive," said Boyd Payne, President, Fording Canadian Coal Trust(FDG) Recent ER PR
"Overall, average sales prices in our Western U.S. Mining operations increased, mainly reflecting an increase of almost 24% per ton in the Powder River Basin. These increases from our Powder River Basin operations resulted from higher prices on contracts signed in the prior year that are replacing legacy contracts as they reprice or expire, and were partially offset by lower volumes due to weather, equipment issues and higher repairs and maintenance costs. On average, per ton sales prices in our Eastern U.S. Mining operations increased 2.1%, driven by higher contract pricing in certain regions. " Pearboy Energy recent 10Q (BTU)
Arch Coal (ACI)
Arch Believes U.S. Coal Market Fundamentals Are Improving
Arch believes market fundamentals are improving in 2007 as the peak summer demand period approaches.
Over the longer-term, Arch maintains a bullish outlook on coal markets.