Thought you might find this intereesting:
Hank 2010 (a person I have come to greatly admire over the years of posting) wrote this on ride the tiger. I thought it was very good.
"That being said, we pose an important question: How viable is thermal coal in Saskatchewan?
Good question, and the answer to which most people (other than most of those who read this forum) to date do not seem to have grasped. The significance and viability of this 22 metre thick, flat-lying coal deposit is that it will be more economically viable when compared to thin-bedded deposits, or deposits lying under greater thicknesses of over-burden, or deposits that have been faulted-off, tilted, up-lifted etc. at whatever price. (and even if there is no coking coal, Red!)
I believe this will be the discovery of the year, and that most folks do not yet recognize it as such. Recognition often comes in waves. Those who follow the exploration plays hit it, the momo players jump on board, things slow down, people get off the merry go round, then as things progress people start to get back on and the big boys (companies, funds and big investors) start to notice and the real appreciation starts.
Next wave will be GXS drill results.
I also think this is an unique area play. Most orebodies are small. Most of the 80 million ounces of gold at Hemlo was contained in about 3 or 4 claims (160 acres?). This coal deposit will go on for miles (we already know it goes for at least 1 mile from GXS drilling, and appears to go 70 km to WER ground in that direction). There was lots of money made (and lost) in the shares of the many area players at Hemlo, but nobody else found an orebody other than the initial 3 groups (Lac, Noranda/Sceptre/Goliath, and Teck/Corona) who shared the main orebody.
This coal deposit is a whole different critter! |
